Indonesia: A Major Opportunity for Canadian Businesses

• Population: 280+ million people - The 4th largest population in the world and Southeast Asia’s largest consumer market.

• Largest Economy in Southeast AsiaL ~$1.4 trillion GDP Indonesia represents over one-third of ASEAN’s total economy.

• Strong Economic Growth: ~5% annual GDP growth - Consistently one of the most stable large emerging economies globally.

• Rapidly Expanding Middle Class: 140+ million middle-income consumers - Driving demand for international brands, education, technology, and premium products.

• Digital Economy Boom: Projected to exceed $130B by 2025 - One of the fastest-growing digital markets in the world.

• Young Workforce: Median age ~30 - A young, productive, and rapidly upskilling workforce.

Canada–Indonesia CEPA: A Game Changer for Trade

CEPA Agreement, set to be implemented in mid 2026, is set to significantly expand trade and investment between the two countries. Once implemented, CEPA will:

• Reduce or eliminate tariffs on a wide range of Canadian exports.

• Open new market access in sectors including agriculture, clean technology, education, and professional services.

• Improve investment protections and regulatory transparency, making it easier for Canadian companies to operate in Indonesia.

• Strengthen long-term economic cooperation between two highly complementary economies.

• For Canadian companies looking at Southeast Asia, Indonesia is quickly becoming one of the most strategic markets to enter.

Indonesia is Southeast Asia’s largest economy and one of the fastest-growing consumer markets in the world. With a large population, expanding middle class, and increasing demand for international products and expertise, the country presents significant opportunities for Canadian businesses.

However, entering Indonesia successfully requires local insight, trusted networks, and a clear strategy.

Canada Indonesia Advisory helps Canadian companies explore, enter, and navigate the Indonesian market with greater clarity and confidence.

Indonesia At a Glance