Indonesia has enjoyed strong and consistent economic growth of around 6% per annum over the past 15 years. The nation aims to become a high-income country in the 2030s. This will require continued rapid economic growth. As President Joko Widodo has said, growth needs to be people-centered to provide a high standard of living to all citizens, in all parts of the country.
It will be a challenge for Indonesia to deliver rapid yet inclusive economic growth in support of the ambitious social and economic goals expressed in the National Medium-term Development Plan (RPJMN 2015-2019). The five-year plan sets ambitious priorities for economic growth, food and energy security, poverty reduction, and natural resource management. These priorities reflect the nation’s urgent development needs as well as Indonesia’s international commitments to contribute to sustainable development goals and climate change actions.
This brief tells how green growth can help Indonesia achieve the development priorities in managing forests and land use within sustainable landscapes. Other briefs in this series focus on the role of green growth in energy, infrastructure in special economic zones, and climate change resilience. For a comprehensive guide, see Delivering Green Growth for a Prosperous Indonesia: A Roadmap for Policy, Planning, and Investment.
The first part of the brief provides an overview of the government’s current development priorities for forestry, agriculture, and other sectors related to land-use. The second part examines how a green growth approach can help achieve those priorities, by capitalizing on the value of ecosystems and developing innovative business models based on non-consumptive uses of natural capital as well as by making the use of natural resources more sustainable.