Jakarta. Indonesia reported that it had attracted Rp 465.2 trillion (approximately $27.7 billion) in the first quarter of 2025, and over half of the money came from domestic investors, the government announced Tuesday.

The overall realized investment is about 24.4 percent of the annual target of Rp 1,905.6 trillion that Indonesia had set for this year. Past reports showed that foreign investors typically made up the lion’s share of the investments that Indonesia recorded. In Q1 2025, domestic investors made up 50.5 percent of the total investments, reaching Rp 234.8 trillion. The remaining realized investment came from foreign institutions (Rp 230.4 trillion). 

The government attributed the growing interest from domestic investors to infrastructure. Over the past years, infrastructure development -- ranging from toll roads to airport construction -- had been in full swing, particularly under the former Joko “Jokowi” Widodo’s rule. 

“The changes are not because foreign investors are losing interest in our country, but it is just that the domestic investments are growing at an even faster rate. Domestic investments soared 19.1 percent year-on-year [yoy] in Q1 2025, while foreign direct investment [FDI] jumped 12.7 percent yoy,” Investment Minister Rosan Roeslani told reporters. 

Rosan said: “[The rise in domestic investment] is due to the infrastructure development, particularly the tollways in Riau and North Sumatra. We have also begun accepting investment reports from the real estate and property sectors.”

Data showed that Jakarta became the most popular destination for domestic investors with the bustling metropolis amassing Rp 42.2 trillion in the first three months of 2025. Followed by West Java (Rp 33.8 trillion), East Java (Rp 22.1 trillion), Riau (Rp 18 trillion), and Banten (Rp 15.1 trillion). Rosan revealed that these domestic investments mainly went to telecommunications, transportation, and warehouses (Rp 48.4 trillion). Just like their foreign counterparts, domestic investors showed huge interest in Indonesia's mining sector, spending about Rp 29.5 trillion in the first quarter.

All these figures did not include investments made in the financial sector, as well as the upstream oil and gas industry. According to Rosan, Singapore retains its title as Indonesia’s biggest source of FDI. The neighboring island country invested $4.6 billion in Indonesia in January-March. Some $1.7 billion were in the industrial processing sector, with about 79.8 percent of the investment aimed at helping Indonesia move up its mineral production value chain.