Indonesia Set to Become the World’s Sixth-Largest Economy By 2026
Indonesia is set to become the world’s sixth-largest economy by 2026, surpassing Russia. At least, that is what the International Monetary Fund (IMF) is projecting.
The Growing Strength Of the Labour Force
Indonesia’s growing labour force is driving its ascent toward becoming the world’s sixth-largest economy. The professional working class in Indonesia is growing while Russia’s is shrinking. In comparison, Russia’s labour force only accounts for 30% now, the lowest it has been in 20 years. Russia’s labour force is predicted to keep shrinking as migrants see the country in a less favourable light compared to other Soviet republics.
Meanwhile, Indonesia’s labour force continues to improve steadily. This provides the country with a strong foundation to increase its private consumption. From the looks of it, Indonesia is on track to become a High-Income Country by 2045.
A Bright Future Ahead
As its economy grows, propelling Indonesia toward becoming the world’s sixth-largest economy, its confidence is also growing. A clear indication of this is Indonesia’s refusal to join the BRICS expansion. While Russia will need to rely on help to prop up its economy, Indonesia finds more countries eager to do business with it.
Good News for Investors
It would help if investors start taking note of Indonesia’s promising trajectory. With a burgeoning labour force, a resilient economy, and increasing global recognition, the country is becoming an increasingly attractive destination for investment opportunities. Ready to explore the potential of this thriving economy? Partner with 3E Accounting Indonesia, your gateway to seamless business ventures in this dynamic market. Contact us today to unlock a world of possibilities!