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become the world's second largest coal exporter

Indonesia's economic growth surpassed expectations in 2004, and accelerating growth has continued into 2005. Indonesia's real gross domestic product (GDP) grew at a rate of 5.1 percent in 2004, up from 4.9 percent in 2003. Real GDP growth is forecast to be 5.5 percent for 2005, although imbalances in the macroeconomic picture, such as increasing budget deficits caused by oil price subsidies on the local market, could lead to future problems. 

While Indonesia is still a member of the Organization of Petroleum Exporting Countries (OPEC), it became a slight net importer of oil in 2004, and its oil production has continued to decline. The current government is reportedly considering leaving OPEC, but no decision to do so has been announced.

Indonesia has 5.9 billion short tons of recoverable coal reserves, of which 58.6% is lignite, 26.6% is sub-bituminous, 14.4% is bituminous, and 0.4% anthracite. Sumatra contains roughly two-thirds of Indonesia's total coal reserves, with the balance located in Kalimantan, West Java, and Sulawesi. According to U.S. Embassy reports, Indonesia produced 132 million short tons of coal in 2003, up 16% from 2002. More than three-quarters of the country's coal production is exported, primarily to Japan and Taiwan, but also South Korea, the Philippines and Hong Kong. With coal exports from China declining over the last two years, Indonesia is now the world's second-largest coal exporter. 

Indonesia plans to double coal production over the next five years, mostly for export to other countries in East Asia and India. The new capacity will come primarily from private mines. The Clough Group of Australia was awarded a $215 million contract for improvements at the Indonesian firm GBP's Kutai mine in East Kalimatan.

Country Overview

Head of State

President Susilo Bambang Yudhoyono (since October 2004)


Southeastern Asia, archipelago between the Indian Ocean and the Pacific Ocean

Population (2005E)



Bahasa Indonesia (official, modified form of Malay), English, Dutch, local dialects, the most widely spoken of which is Javanese


Muslim 88%, Protestant 5%, Roman Catholic 3%, Hindu 2%, Buddhist 1%, other 1% (1998)


Indonesian rupiah (IDR)

Exchange Rate (10/14/2005)

$1 = 10,107 Indonesian Rupiah

Inflation Rate (2004E)


Gross Domestic Product (GDP, 2004E)

purchasing power parity - $827.4 billion

Real GDP Growth Rate (2005E)


Exports (2004E)

$69.86 billion f.o.b.

Imports (2004E)

$45.07 billion f.o.b.

Energy Overview

Proven Oil Reserves (January 1, 2005E)

4.7 billion barrels

Oil Production (2004E)

1,178.6 thousand barrels per day, of which 82% was crude oil.

Oil Consumption (2004E)

1,196.3 thousand barrels per day

Proven Natural Gas Reserves (Jan 1, 2005E)

90.3 trillion cubic feet

Natural Gas Production (2003E)

2.6 trillion cubic feet

Natural Gas Consumption (2003E)

1,229 billion cubic feet

Recoverable Coal Reserves (2003E)

5,476.3 million short tons

Coal Production (2003E)

132.4 million short tons

Coal Consumption (2003E)

33 million short tons

Electricity Installed Capacity (2003E)

25.1 gigawatts

Electricity Production (2003E)

109.5 billion kilowatt hours

Electricity Consumption (2003E)

101.8 billion kilowatt hours

Total Energy Consumption (2003E)

4.7 quadrillion Btus*, of which Oil (51%), Natural Gas (26%), Coal (16%), Other Renewables (3%), Hydroelectricity (2%), Nuclear (0%)

Total Per Capita Energy Consumption (2003E)

21.5 million Btus

Energy Intensity (2003E)

6,923.1 Btu per $2000-PPP**

Jl. Pleburan Raya, Semarang

Central Java – Indonesia

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