Indonesia is currently at a crossroads. Having survived the Asian financial crisis in 1997-1998 and returned to democracy, Indonesia has shown impressive social and economic progress, with average economic growth of 5.7 percent between 2003 and 2012. The growth contributed to Indonesia’s “graduation” to a middle-income country and to reducing the poverty rate from 24 percent to 12 percent in the period of 1999-2012. It is very likely that Indonesia will become the world’s seventh, sixth, or even fifth largest economy by 2030.
Choosing a direction for growth that is climate-friendly is an opportunity to choose a direction for growth that is efficient and productive.