Page 47 - The World About Us

Oil palm plantation
2.2.3

How developed is the economy of Indonesia?

Indonesia has experienced rapid Indonesia’s imports
economic change in recent decades. Indonesia's major imports in 2015 were:
The percentage of the workforce
¤ Refined petroleum - 9.3% of total imports
employed in agriculture has fallen as
manufacturing and services have ¤ Broadcas ng equipment - 2%
grown. ¤ Vehicle parts - 1.9%
Exact and accurate figures are ¤ Crude oil - 1.8%
hard to produce as so many ¤ Telephones - 1.7%
Indonesians are employed in the
informal economy. Rather than have Other imports included computers, wheat,
one permanent job, many must make soybean, aeroplanes, light kni ed rubberised
do, finding employment where they fabric and mining machinery.
can. This may involve them working
in agriculture, in seasonal plan ng or China
harvests, but then moving on to 35 25%
construc on or other jobs when work 30 Singapore
is no longer available in the fields. fig.124 Rice harvest in Bali. 20%

fig.125 Indonesia’s changing workforce and employment structure - 1965-2015. 25
1965 1995 2015 Imports by value, US$ 20
22%
35% 15 Japan
6% 72% South Korea Thailand Malaysia
32% 10 8.1%
55% 47% 5.6% 5.5% 5.3%
5
Total workforce 10%
42.5 million
21% 0
fig.126 Indonesia’s trading partners - imports.
87.5 million
Employment by sector
Agriculture Manufacturing Services 127.2 million Indonesia’s exports
Indonesia's major exports in 2015 were:
Indonesia remains heavily to cater for demand from the growing ¤ Coal 8.7% of total exports by value
dependent on agricultural produc on middle class within the country.
¤ Palm Oil - 7.6%
for employment, with almost one Indonesia aims to a ract tourists from
third of Indonesians working in the the growing economies of South East ¤ Natural Gas - 5.9%
agricultural sector. Despite the and East Asia. ¤ Crude oil - 5.7%
importance of this sector for jobs, it Tourism in Indonesia has been ¤ Rubber - 2.6%
only accounts for around 13% of Gross aided by the growth of budget
Domes c Product. This amounted to airlines. Several airlines, including the Other exports included coconut oil, leather
$53 billion in 2016. Palm oil and na onal carrier Garuda, operate shoes, n, gold, plywood, wood pulp and
rubber are vital sources of export across the archipelago. paper.
earnings.
While only 10 million Indonesians
Manufacturing has become more have a fixed telephone line, there are 30
important in recent years, with this 395 million mobile phone subscrip-
sector now accoun ng for 41% of ons - 150 for every 100 people. This 25 United States
economic ac vity. gives millions access to the internet. 20 China Japan
The service sector has also 12% 11% 11%
expanded, accoun ng for 46% of GDP fig.128 Budget airlines boost tourism. Exports by value, US$ 15
Korea
in 2016. Tourism accounts for 6% of Singapore India South
economic ac vity. Whilst this has 10
fallen as a percentage of GDP from 5.6% 5.5% 5.3%
5
8.5% in 1990, it is s ll growing in total
value. This growth is set to con nue 0
as Indonesia’s tourism industry is able fig.127 Indonesia’s trading partners - exports.

47

Many factors contribute to a country’s economic development.