Until the first quarter of 2026, Special Economic Zones (SEZs) in Indonesia recorded an impressive performance with total investment realization reaching IDR 353 trillion, or equivalent to US$ 19.7 billion. This achievement not only strengthens national economic stability but has also successfully absorbed more than 260,000 workers across 471 business entities in 25 SEZs throughout the country.
Secretary of the Coordinating Ministry for Economic Affairs, Susiwijono Moegiarso, revealed that high occupancy in these zones has prompted the government to process land expansion requests. Current development focus is prioritized on three main manufacturing hubs: Gresik SEZ in East Java, Kendal SEZ in Central Java, and Galang Batang SEZ in the Riau Islands. On average, the areas in these zones are proposed to be expanded up to double their existing size to accommodate a queue of new investors.
The government remains optimistic that Indonesia's investment climate will remain conducive, especially for Foreign Direct Investment (FDI) in the manufacturing sector. Future investment projections are predicted to reach IDR 846 trillion. This confidence is bolstered by commitments from business owners who have confirmed their business expansion plans within the SEZ areas.
Alongside infrastructure development, the government continues to foster ecosystem strengthening through strategic international partnerships. This is marked by the signing of a Memorandum of Understanding (MoU) between Singhasari Malang SEZ and the Indian Institute of Management (IIM) Bangalore. This collaboration is expected to groom future business leaders and innovators, while also strengthening bilateral trade relations between Indonesia and India, which continue to show a positive trend.
