Living in Indonesia guide for expats

Covering an area of 1.905 million km², Indonesia is the largest country in Southeast Asia and the 14th largest in the world. Only about 8,000 of Indonesia's islands are inhabited. Each island has its own unique cultures, vibrant communities, and amazing destinations.

Indonesia has the second-highest level of biodiversity in the world. So, if you ever have the chance, don’t forget to explore the many wonders of Indonesia. Release your adventurous souls and hike various volcanoes across the country, dive to see the pristine coral reefs in Bunaken, spot orangutans in Borneo, or visit the famed Komodo Island.

The capital of Indonesia, Jakarta, is located in the nation’s most populous island of Java. Jakarta is the largest and most populous city in Indonesia. This bustling metropolitan serves as the central hub for business, economy, and entertainment in the country.

Demography of Indonesia

With more than 264 million people, Indonesia is the world’s fourth most populated country. It is home to more than over 700 languages and around 300 ethnic groups, making this wonderful country one of the most diverse nations in the world. The country is divided into 34 provinces, each with one-of-a-kind cultural traditions and lifestyles.

Despite having the world’s largest Muslim population, Indonesia officially recognizes six religions, including Islam, Hinduism, Buddhism, Protestantism, Catholicism, and Confucianism. Indonesia is also officially a secular democratic country and its people enjoy the freedom of religion.

The official language of the nation is Bahasa Indonesia. But many Indonesians are often multilingual, speaking one or more local dialects aside from Bahasa Indonesia. Additionally, English is rather widely spoken by young Indonesians, especially in larger cities. As a result, it wouldn’t be difficult for expatriates and tourists to communicate with the locals.

Economy of Indonesia

As of 2020, Indonesia is considered one of the world’s major emerging power. It is a member of the G20 and the 10th largest economy in the world in terms of purchasing power parity. Moreover, the country is also one of the fastest-growing economies in the world. In fact, it is expected to be the 5th most powerful economy in the world by 2030.

Despite its poor infrastructure and issues with corruption, investors are still attracted by its rich natural resources (namely gold, tin, copper, natural gas, and oil), agricultural production (namely palm oil, rice, coffee, tea, rubber, and spices), as well as its large consumer base. Besides, Indonesia’s booming economy has also opened new opportunities, both for local businesses and foreign investors. As a result, the country continues to attract foreign professionals. By the end of 2018, the Ministry of Labour in Indonesia reported that there are almost 100,000 expatriates residing in Indonesia.

Climate of Indonesia

Located across the equator, Indonesia has a tropical climate. So, you can expect the weather to be rather hot and humid all-year-round. The average temperature in the coastal plains is 28 °C and in the mountain areas temperature averages around 26 °C. The sun also shines quite strongly in the region, with the UV index reaching up to 10 on some days. So be sure to apply sunscreen before heading out to avoid sunburns.

There are two seasons in Indonesia, the wet season and the dry season. The wet season typically lasts from October to April and is characterized by heavy bursts of rain (and sometimes even typhoons). Meanwhile, the dry season spans from May to September.

Cost of living in Indonesia

The cost of living in Indonesia depends on which area you live in. Living in bigger cities, such as Jakarta, Medan, Denpasar, and Surabaya, calls for a higher living cost. However, you’ll be pleased to find out that Indonesia ranks 56th lowest cost of living in the world according to a survey conducted in 2017. This means, living in Indonesia is not too cheap or expensive.

The average person can live quite comfortably with just around IDR 10 million (around $750) per month. The number already includes the cost of food, basic utilities, internet, and rent for a humble apartment. Also, IDR 30 million (around $2,200) should be able to cover the living costs of a family of four, including rent for a small house.

 Useful link:

Indonesia National Portal
Indonesia Tourism Website
Indonesian Immigration Portal