Sector

Mining

Indonesia, a country rich in natural resources, boasts a mining sector that is undeniably one of its leading sectors. With vast reserves of mineral and non-mineral mining resources, the country stands as a global powerhouse in the mining industry. As of 2022, Indonesia’s mining industry contributed Rp2.3 quadrillion to the national GDP, accounting for 12.22 percent.

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Mining

Indonesia, a country rich in natural resources, boasts a mining sector that is undeniably one of its leading sectors. With vast reserves of mineral and non-mineral mining resources, the country stands as a global powerhouse in the mining industry. As of 2022, Indonesia’s mining industry contributed Rp2.3 quadrillion to the national GDP, accounting for 12.22 percent.

Mining flourishes across various regions of the country, each contributing to the nation’s economy. It is present in regions such as South Sumatra, Riau, Riau Islands, Bangka-Belitung, Central Kalimantan, East Kalimantan, South Kalimantan, and North Kalimantan. Additionally, mining is also prevalent in Southeast Sulawesi, Central Sulawesi, West Nusa Tenggara, North Maluku, Papua, and West Papua.

Indonesia’s wealth of mineral resources offers a wide variety of materials available for mining. From abundant reserves of gold, bauxite, tin, and copper concentrates to nickel ore, the country’s rich mineral resources signify significant potential for economic growth and development. In addition, Indonesia is also rich in coal mining, with its abundant coal reserves catering to the energy needs of both domestic and international markets.

The country's mining sector thrives on these resources. In 2023, mineral resources such as bauxite reached a production of 28 million tons, gold at 85 thousand kilograms, tin concentrate at 57 thousand metric tons, copper concentrate at 3 million metric tons, along with nickel ore at 98 million metric tons.3 Meanwhile, Indonesia’s coal production reached 775.2 million tons in 2023, almost double than ten years earlier when coal production stood at 421 million tons.

Additionally, Indonesia is home to oil and gas exploration and exploitation, although its output has been dwindling. Once an exporting country of oil and gas, Indonesia has transitioned into a net importer of these commodities since 2008 when consumption surpassed outputs, which stood at around 1 million barrels per day (bpd). In the first semester of 2023, Indonesia’s oil output stood at 615 bpd.

Subsequently, the government has worked hard to reverse the trend of falling oil output and has set a target to restore oil lifting to 1 million bpd in 2030, alongside a gas production target of 12 billion standard cubic feet per day (BSCFD). As of January 2023, Indonesia’s documented oil reserves were 2.41 billion barrels, and its natural gas reserves stood at 35.5 trillion cubic feet.

As for investments, Indonesia secured US$30.3 billion for the energy and mining sector in 2023, marking an 11 percent increase from the previous year. That same year, the oil and gas sector led the way,

achieving US$15.6 billion in investments, followed by mineral and coal at US$7.46 billion, electricity at US$5.8 billion, and renewable energy at US$1.5 billion.

Latest News

June 23, 2026

Students from Indonesia’s leading universities have once again taken to the streets in Jakarta and other major cities, about eight months after the last wave of mass protests turned violent. This time, they are specifically targeting President Prabowo Subianto’s leadership and governing style, which they blame for the country’s current economic difficulties.

Unlike in previous protests, however, the Indonesian Military (TNI) was deployed from the outset to help manage the situation amid growing calls from some government critics for political change. Despite a few minor scuffles, the demonstrations on June 12 remained largely peaceful, with both protesters and security forces exercising restraint.

Student leaders have vowed to return to the streets after giving Prabowo an opportunity to respond to their five-point list of demands. They also plan to reassess their strategy in light of the military’s involvement. The following Monday, additional student groups, joined by civil society organizations, staged demonstrations in Jakarta, suggesting that public dissatisfaction extends beyond university campuses.

The movement in Jakarta was led by the “Yellow Jackets,” a group of students from Universitas Indonesia, the country’s premier public university. They were joined by students from other public and private universities in the capital, as well as in several major cities across the country.

Under the banner “Toward a Bankrupt Indonesia,” the students are demanding that the government stop squandering state funds, reduce the prices of food and fuel and roll back the President’s flagship programs, including the free nutritious meal program and the establishment of the Red and White Rural Cooperatives program. They are also calling for an end to the military’s involvement in civilian affairs and for the President to acknowledge and take responsibility for policy mistakes.

The protests come amid an economic downturn marked by the rupiah’s decline to historic lows of more than Rp18,000 against the US dollar and a fall in the Jakarta stock market.

Analysts say that what began as a loss of confidence among foreign investors has spread to Indonesia’s middle class. The lower middle class, represented in part by the student movement, has expressed its frustration by taking to the streets. Analysts also point to an erosion of political confidence amid signs of shrinking civic space and the expanding role of the TNI in civilian affairs.

The protests last August targeted the House of Representatives over its perceived poor performance, particularly after legislators approved generous increases in their housing allowances. Students were soon joined by workers, and police attempts to crack down on the demonstrations led to violence that spiraled out of control. Prabowo subsequently ordered the military to help restore order.

This time, the military was deployed immediately as a backup force to assist the police.

In Jakarta, security forces were deployed to prevent students from staging their protest at the Hotel Indonesia Traffic Circle on Jalan Thamrin, the city’s main thoroughfare. Instead, they were directed toward the House of Representatives complex in Senayan. Student leaders, however, said the House was not their intended target.

Presidential Palace chief spokesman Mohammad Qodari said the students’ demands were broadly aligned with Prabowo’s efforts to make government spending more efficient and effective. He added that the free meals program was also under review following recent changes in the agency responsible for its implementation.

Qodari, however, did not address concerns about the military’s expanding role in civilian affairs, an issue that also featured prominently during the August protests.

For now, tensions remain contained. But with student leaders promising to reassess their strategy and public dissatisfaction showing few signs of easing, the prospect of renewed demonstrations cannot be ruled out.

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