The Undeniable Financial Benefits of Investing in Indonesia

Investing BY Mashum Nov 11, 2021
Investing in Indonesia

Indonesia is one of the largest nations in the world. And it’s made up of more than 17,000 islands. These islands are some of the most beautiful places on the planet if you’re lucky enough to ever pay them a visit.

Aside from its rich culture, amazing local cuisine, and natural beauty, Indonesia is a country on the rise. Even though it’s still a developing nation, it’s a country that is seeing immense business and financial growth.

The tourism industry in Indonesia is huge, but that’s not the only thing going for this archipelago nation. Investing in Indonesia is a smart move thanks to a huge population of middle-class residential consumers that is growing steadily.

Keep reading below to see why this nation should be a top contender for your portfolio diversification strategy.

Ample Tech Investment Opportunity

Because Indonesia’s population is so large, this nation costumes a lot. And because the millennial generation is over 100 million individuals, it’s a largely digital nation.

This is leading the growth for tech companies that are starting in Indonesia and expanding into the Indonesian markets. GoJek is one of the most well-known Indonesian startups.

What started as a call center in 2010 is now Indonesia’s premier ride-hailing service. Just like Uber in the West, GoJek makes it easy to hail a motorbike for a ride around town, or order food for delivery.

The company does business abroad, as well. It has expanded into other nations like Singapore and Malaysia. And it has renowned investors such as Google. Many other companies in the tech, media, communications and financial industry are emerging out of the Indonesian market as well.

And even if the companies never leave Southeast Asia and make it to western mainstream investment radars, they still serve millions of customers and are worth investing in.

Investing in Indonesia Makes an Impact

Indonesia is still a developing nation. The gender pay gap is huge across the country. The median income per month is around $800 USD.

Much of the investment coming into startups is making a financial impact on millions of people across Indonesia. Going back to the GoJek example, motorbike taxi drivers saw a massive increase in earnings as a result of the platform.

The government is building infrastructure and providing support to companies and startups prioritizing sustainability and helping to close the gender gap and providing jobs to those with disabilities.

So from an investor standpoint, each dollar you invest into Indonesia makes more of an impact than dollars invested into highly-developed nations.

Opportunity for Big Gains

Many of the largest Indonesian stocks are providing impressive returns, thanks to higher rates of growth. In the last year, Communication Cable Systems Indonesia (CCSI) is up over 200%. Metrodata Electronics (MTDL) is up over 100%.

Other companies can provide equally impressive returns in Indonesia. The New York Stock Exchange features two Indonesia ETFs that you can invest in, to make it easy to diversify into this market. Other ETFs are available that include some Indonesian companies, along with some other nations.

For more control over how you invest in Indonesia, an account at www.monexsecurities.com.au can make it easy.

Diversify With One of the Largest Economies

Any smart investor knows that diversification is key. The industries and locations in which your investments are located help provide more portfolio diversification.

By investing in Indonesia, you gain exposure to one of the largest economies on the planet, helping to balance your portfolio.

Looking for more tips like this? Head over to our blog today to keep reading.

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Mashum Mollah is an entrepreneur, founder and CEO at Viacon, a digital marketing agency that drive visibility, engagement, and proven results. He blogs at BloggerOutreach.io.

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