Global Connections: Connecting the Indonesia and the world

International connectivity remains the competitive advantage and HSBC Indonesia continues to strengthen its position as the only international bank that offers a full suite of products and services to government, companies and retail customers, connecting them to international opportunities, and connecting international businesses to opportunities in Indonesia, with around 5% of FDI to Indonesia was facilitated by HSBC Indonesia.

With its extensive footprint in Indonesia, HSBC Indonesia has contributed directly to the growth of the Indonesian economy, connecting customers to opportunities through its expanded capabilities and geographical reach, both locally and globally. The bank has nearly 140 years of experience in the Indonesian market, making it well-placed to be a guide for foreign investors looking to expand their business in Indonesia.

HSBC Indonesia has been recognized as The Best International Bank in Indonesia from Asia Money for two consecutive years since 2022. This recognition is attributed to HSBC Indonesia's strong commitment to supporting its customers in transitioning to net zero, as well as its capabilities and innovation.

New research “HSBC Global Connection” commissioned by HSBC Commercial Banking shows that international businesses from a selection of major global economies are increasingly optimistic about their growth prospects in Indonesia. Currently the world’s 16th largest economy with more than US$1 trillion of GDP1, Indonesia is a leading target for international businesses looking to expand in ASEAN.

Indonesia, with the largest population of the ASEAN markets and a rich resources sector, represents a major opportunity for international companies.

In the eyes of international businesses, the rising tide of Indonesia’s domestic income and wealth is the most attractive feature of the Indonesian market, a factor cited by over three in ten (31%) companies in the manufacturing industry and 29% of companies in the service industry. Other notably attractive features include its political stability, a supportive government and regulatory environment, and the optimistic outlook for the Indonesia economy.

Staffing and sustainability top the list of challenges for international businesses operating in Indonesia.

Indonesia’s large population and high smartphone penetration has fostered the development of several major technology platforms, and our survey reflect this lasting appeal. A quarter of foreign firms with operations in Indonesia believe that the country’s growing digital economy makes it a particularly attractive place for business expansion.

Sustainability and decarbonisation pose challenges and opportunities for Indonesia. While it relies heavily on carbon-intensive energy, Indonesia is expanding its production of metals and minerals that will be crucial to global emissions targets – notably in battery materials for electric vehicles.

Click here to explore more on our Global Connections report