1.47% yoy
Stable Inflation
USD13.389
GRDP Per Capita
78,83
Human Development Index
47.03%
Largest Economy in Kalimantan
Investment Project Ready To Offer in East Kalimantan
Balikpapan Waste Management
Balikpapan waste management initiative is centered on the Manggar Final Waste Management Facility (TPAS Manggar) which spans 40,9 hectares, divided into 7 landfill zones managed by Balikpapan Environmental Agency. With 4 hectares clear area available for development, there is significant potential for the construction of advanced waste processing building.
Palm Oil Downstream Industry of Fatty Acid
Downstream oil palm agro industry in the form of fatty acids (KBLI 20115) is one of the derivatives of oleochemicals that has a great opportunity to be developed in Bontang City, East Kalimantan Province, considering that the province has oil palm plantations covering an area of 1,208,697 ha with a production capacity of CPO 3,8 million tons/year.
The Development of Loading Unloading Facilities Of Penajam Port
Penajam port is already running and profitable. The port is used for loading-unloading of cargo and commodity between Penajam Paser Utara (PPU) and outside region. The project's purpose is to expand the port's services by developing new infrastructure.
Crumb Rubber Factory
The crumb rubber factory project aims to provide price security and bring added value to West Kutai rubber in farmer level. Currently, rubber is one of the top commodities. The investment project offered is the construction of a crumb rubber factory to produce SIR 20/SIR 10 products. The production capacity is 10,000 tons/year or ± 30 tons/day under the Design, Build, Finance, Maintenance and Operate (DBFO) scheme.
Chemical Based palm Oil Derivative Commodidties
The development of the palm oil-based chemical derivative industry (Oleochemical) holds significant value in Indonesia's economic development. As one of the world's largest palm oil producers, Indonesia has the opportunity to move beyond raw commodity exports and strengthen its downstream industry, increasing added value.to
Food Based Palm Oil Derivated Commodities
The palm oil derivative industry (oleo food) has great potential to drive national economic growth, supported by abundant natural resources and a broad market potential, both domestically and internationally. East Kalimantan Province, as the fifth-largest palm oil producer in Indonesia, plays a crucial role in this development with its vast plantations and established supply chain that ensure a sustainable production process.
Connectivity
Providing good infrastructure to support connectivity is the main development agenda of central and provincial governments. Connectivity in East Kalimantan is gradually improved and more connected between regions with Kalimantan's first toll road and continuous preservation projects by Government. In addition, Kariangau international cargo terminal and APT Pranoto international airport are already supporting the access of intra and inter region. Thus, business costs are decreasing, more competitive and the global market has become more accessible.
Investment Sector
Energy & Mining
Plantation
Industry
Fishery & Maritime
Tourism & Creative
Inviroment & Foresty
Transportation
Medicine & Food
Inflation Rate
The inflation rate of East Kalimantan in the fourth quarter of 2024 was recorded at 1.47% (yoy), which is lower than the same period in previous year rate of 3.46% (yoy). In addition, the inflation rate of East Kalimantan was slightly lower than the national inflation rate of 1.57% (yoy).
East Kalimantan Investment Performance
The capital inflow in Foreign Direct Investment (FDI) in 2025-Q2 was valued at USD 239.2 million, which is lower than the same period last year by 10,91% (yoy). The majority of FDI has been invested in Berau Regency with share of 38,0%. Meanwhile, Domestic Direct Investment (DDI) was recorded at IDR 19.82 trillion, representing a growth of 58,94% (yoy) from the same period of previous year, with the majority of DDI invested in East Kutai Regency with share of 37,2%.
Investment Sector
Energy and Mining sector
East Kalimantan is one of Indonesia's biggest energy provinces blessed with rich earth resources from coal, natural gas, and petroleum. The mining industry contributes significantly to national GDP, exports, and local development. Investments in downstream processing such as coal gasification, renewable energy, and petrochemical industries are increasingly prioritized to diversify and maximize the region’s energy economy.
Plantation sector
Plantation sector is one of the main sectors that drives East Kalimantan’s economy, especially palm oil, rubber, and cacao. With abundant land availability and supportive government regulations, this sector continues to attract investment. Increasing adoption of sustainable plantation practices (ISPO, RSPO certification) strengthens both environmental and ecological sustainability.
Forest and Environment Sector
East Kalimantan’s economy was once dominated by natural forest and forestry. With its vast biodiversity and peatland ecosystems, sustainable forest management and carbon trading are increasingly becoming new economic sectors. Green investment projects offer opportunities to balance ecology and economy strategy to optimize forest economy potential.
Fishery and Maritime
In terms of maritime and fishery sectors, East Kalimantan has abundant potential from capture fisheries, aquaculture, and marine economy. Investments in cold storage, fish processing, logistics, and maritime industries continue to increase. The region’s vast coastal line strengthens its competitiveness in the fishery sector, contributing to food security and export performance.
Incentives to Boost Industry Sector
Tax Allowance
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30% net CIT deductionfrom investment value in the form tangible fixed capital carried over 6 years period (5% every year).
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Accelerated depreciation of tangible fixed assets and accelerated amortization intangible assets
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Imposition of income tax on dividends by 10%
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Compensation for losses that occurs between 5 to 10 years.
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Eligible for 166 business fields and 17 business fields in specific location
Tax Holiday
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Subject
An investment in pioneer industry with a minimum value of IDR 500 bn
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CTI Reduction
100% Reduction Rate (single rate)
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Concession Period
- 15 Years IDR 500 Billion - IDR 1 Trillion
- 7 Years IDR 1 Trillion - IDR 5 Trillion
- 10 Years IDR 5 Trillion - IDR 15 Trillion
- 15 Years IDR 15 Trillion - IDR 30 Trillion
- 20 Years IDR ≥ 30 Trillion
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Transition
50% CIT Reduction for the next 2 years
Mini Tax Holiday
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Subject
An investment in pioneer industry with value between IDR 100 - 500 bn
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CTI Reduction
50% Reduction Rate (single rate)
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Concession Period
5 Year
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Transition
25% CIT Reduction for the next 2 years
Investment Project Ready To Offer in East Kalimantan
Tourism, and Investment Promotion Center (Truster)