According to Constrack360's Q2 2021 Global Construction Survey, Construction Industry in Indonesia is Expected to Record a CAGR of 9% During 2021-2025 | 10-Year Market Size & Forecast in Value and Volume | Growth Segments and Target Specific Opportunities

Large scale infrastructure development has been one of the topmost priorities of the current government. However, the wide-spread effect of the coronavirus outbreak has weighed heavily on President Joko Widodo's plans. The pandemic disrupted construction of several infrastructure projects in the country, as the government altered its budget to fund the fight against the virus outbreak.

With the renewed interest after the coronavirus induced slowdown, the Indonesian government is committed to build and develop the infrastructure of the country. Both the central and regional administrations are offering lucrative benefits for investors to invest in infrastructure development across Indonesia.
While the outlook for the infrastructure sector remains positive in 2021, other sectors such as residential and commercial will remain affected in the near term.

In the second quarter, the Indonesian economy contracted 5.32% year-on-year basis. However, Indonesia is projecting a recovery in 2021, with a GDP growth between 4.5% and 5.5%. While the infrastructure construction activities are picking up pace in the country, residential and commercial construction activities are still affected due to the global coronavirus pandemic.

To prevent Jakarta from flooding, the government is committed to continuing the development of National Capital Integrated Coastal Development (NCICD) in the country. The project requires a total investment of Rp 600 trillion (US$40.22 billion). But the drop in FDI investment in the last few quarters remains a concern for the government. However, in November 2020, Indonesia signed a US$750 million infrastructure and trade deal with the United States. This is expected to provide support for the infrastructure sector in the country.

Additionally, the government is developing the coastal barrier in the northern part of West Java, East Java provinces, Central Java, and Jakarta. The coastal barrier development project stretches over 59.1 KM and involves an investment of approximately Rp 641.5 billion.

Funded by the Japanese government - under the official development assistance loan - construction activities are ongoing at the Patimban seaport. For the construction of the first phase, the government has taken a loan of Rp 14.2 trillion from the Japanese government. As of September 13, 2020, the terminal and reclamation project at the Patimban seaport reached 81.9% completion, whereas the access bridge construction reached 11.9%. These ongoing construction activities at the Patimban seaport are expected to support the growth of the infrastructure sector in 2021.

Construction activity of Semarang - Demak toll road, which stretches over 27 KM in Central Java is also expected to support the infrastructure sector in Indonesia. The government is also speeding up the construction activities of Moto GP support facilities. A 17.4 KM long bypass has been constructed for connecting to the Lombok International Airport, whereas other roads and facilities are still being constructed for the Moto GP event next year.

As many 26 local and foreign companies have shown interest in the infrastructure development and operations of the Lombok International Airport. With an estimated project value of Rp 10.3 trillion (US$700 million), the overhaul of the Lombok International Airport will support the growth of the infrastructure construction sector in 2021.

In addition to this, the regional administration in Semarang is offering investors a total of five infrastructure projects. These projects are expected to involve an investment of Rp 17.13 trillion (US$1.15 billion).

The administration also promoted other infrastructure projects in the region to investors who are willing to invest in Semarang. Among other projects, the administration is offering a light rail transit project with estimated cost of Rp 14.76 trillion; an underpass construction in Semarang costing Rp 850 billion; and a waste-to-energy plant costing Rp 1.2 trillion.

According to ConsTrack360's Q2 2021 Global Construction Survey, construction industry in Indonesia is expected to grow by 11.0% to reach US$ 67096.3 million in 2021. Despite near-term challenges in certain construction sectors, medium to long term growth story in Indonesia remains intact. The construction industry in Indonesia is expected to grow steadily over the next four quarters. The growth momentum is expected to continue over the forecast period, recording a CAGR of 9.0% during 2021-2025. The construction output in the country is expected to reach US$ 94795.1 million by 2025.

This report from ConsTrack360 provides data and trend analyses on construction industry in Indonesia, with over 100 KPIs. This is a data-centric report and it provides trend analyses with over 140+ charts and 110+ tables. It details market size & forecast, emerging trends, market opportunities, and investment risks in over 40 segments in residential, commercial, industrial, institutional, and infrastructure construction sectors.

It provides a comprehensive understanding of construction industry sectors in both value and volume (both by activity and units) terms. The report focuses on combining industry dynamics with macro-economic scenario and changing consumer behavior to offer a 360-degree view of the opportunities and risks.

Scope
Market Data and Insights: This report provides market size and forecast across 40+ construction segments for a period of 10 years from 2016-2025 in Indonesia. KPIs covered include the following:
• Market size by value
• Market size by volume of construction
• Number of units

Indonesia Residential Building Construction Coverage: 10-year market size & forecast in value and volume (area and units) terms by
• Housing type (multi family, single family)
• Key cities (Tier – 1, Tier – 2, Tier – 3 segmentation)
• Price point / income level (luxury, mid-tier, affordable)
• Construction stage (new construction, re-development & maintenance)

Indonesia Residential Green Building Construction Coverage: 10-year market size & forecast in value and volume (area and units) terms by
• Green building by Housing type (multi family, single family)
• Green building by Key cities (Tier – 1, Tier – 2, Tier – 3 segmentation)
• Green building by Price point / income level (luxury, mid-tier, affordable)

Indonesia Commercial Building Construction Coverage: 10-year market size & forecast in value and volume (area and units) terms by
• Office (further broken down by Grade A, Grade B, and Grade C)
• Retail (further broken down by Grade A, Grade B, and Grade C)
• Hospitality (further broken down by Grade A, Grade B, and Grade C)
• Restaurant (further broken down by Grade A, Grade B, and Grade C)
• Entertainment
• Sports facility
• Construction stage (new construction, re-development & maintenance)

Indonesia Commercial Green Building Construction Coverage: 10-year market size & forecast in value and volume (area and units) terms by
• Office green building construction
• Retail green building construction
• Hospitality green building construction
• Restaurant green building construction
• Entertainment green building construction
• Sports facility green building construction
• Other commercial green building construction

Indonesia Industrial Green Building Construction Coverage: 10-year market size & forecast in value and volume (area and units)

Indonesia Institutional Building Construction Coverage: 10-year market size & forecast in value and volume (area and units) terms by
• Healthcare construction
• Educational construction
• Public sector
• construction stage (new construction, re-development & maintenance)

Indonesia Institutional Green Building Construction Coverage: 10-year market size & forecast in value and volume (area and units) terms by
• Healthcare green building construction
• Educational green building construction

Indonesia Infrastructure Construction Sectors: 10- year market size & forecast in value terms by
• Marine and inland water infrastructure

• Utility system construction (oil and gas infrastructure, communication infrastructure, power infrastructure, water and sewer infrastructure)

• Transportation infrastructure (highway, street and bridge construction, railway construction, airport construction, and tunnel construction)

• Construction stage (new construction, re-development & maintenance)

• Indonesia Green Infrastructure Construction: 10- year market size & forecast in value terms

To get detailed insights and FREE sample report please click here @ https://www.constrack360.com/reportstore/view/Indonesia-Construction-Industry-Databook-Series-4031

Reasons to Purchase
• In-depth Understanding of Construction Market Dynamics: Understand market opportunity, industry dynamics, key trends and drivers across 40+ market segments and sub-segments of building and infrastructure construction industry in Indonesia.

• Volume and Value Data: Get detailed understanding of the market both from value and volume (both by activity and units) perspective for historical as well as forecast period

• Develop Market Specific Strategies: Identify growth segments and target specific opportunities to formulate your strategy; assess market specific key trends, drivers and risks in construction industry.

• City Level Insights: Get city level trend analyses by tier-1, tier-2, and tier-3 cities.

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