Indonesia 2045: Between Dreams and Reality

A personal take on potential, promise, paradox, and pragmatism

Growing up in Indonesia, I’ve lost count of how many times I’ve heard the phrase “future superpower.” It’s a narrative that’s been woven into our national fabric, a story we tell ourselves about our destiny. As we approach 2045, our centennial of independence, this narrative has taken on new urgency. But we’ve watched years of grand visions collide with stubborn realities, so you can’t be hopeful about this country without a healthy dose of skepticism, probably much more than you might think.

Let’s talk about numbers first, because they tell an interesting story. By 2045, we’re projected to be home to 324-326 million people, up from today’s 284 million. Our GDP per capita could nearly triple from $4,900 to somewhere between $12,000-15,000 or optimistically, above $20,000 as set out by the government in their Digital Indonesia Vision 2045. The middle class could expand from roughly half the population to nearly 80%. These aren’t just numbers, they represent millions of individual dreams, aspirations, and potential futures.

But here’s where it gets complicated.

The Promise and the Paradox

Indonesia in 2024 is a study in contrasts. We’re a nation where gleaming skyscrapers rise above Jakarta’s perpetually flooded streets, where digital payments are ubiquitous yet basic infrastructure remains patchy, where tech unicorns coexist with traditional markets. Our youth are increasingly global in outlook while remaining deeply rooted in local traditions. It’s these contrasts that make both our potential and our challenges so fascinating.

The good news is substantial. Our digital transformation is real and accelerating. Barring any technological or societal collapse, practically everyone would have access to to the internet by 2045. Our demographic dividend provides a workforce that could power decades of growth. The country’s strategic location between the Pacific and Indian Oceans positions us perfectly for a time where maritime trade routes are increasingly crucial.

But, and there’s always a but, the challenges are equally substantial.

The Reality Check

Corruption isn’t just a governance issue, it’s a cultural challenge that has proven remarkably resistant to reform. Our corruption perception index, measured by Transparency International, had gone from 34 in 2014 to 34 in 2023. To be fair, it hadn’t been flat, in fact it went up by the end of Jokowi’s first term to 40, which is a good thing, but it fell back to 34 in 2022 and stayed there, while in terms of ranking we fell five spots. In 20 years, who knows where it will be, because it’s such a deeply rooted problem. Regional disparities remain stark as what’s true for Jakarta isn’t true for Bandung or Medan, let alone Denpasar, Pontianak, or anywhere else in the archipelago, and the gap isn’t closing as quickly as it needs to be.

The environmental challenges are particularly daunting. Rising sea levels threaten our coastal cities, especially our main cities like Jakarta and Surabaya. Deforestation continues despite commitments to the contrary. Our renewable energy transition, while accelerating from 12% to a projected 30-35% by 2045, may not be fast enough to meet climate challenges.

The Global Stage

This is where things get really interesting. By 2045, the global order will have shifted dramatically. China and India will likely be the world’s largest economies. The Indo-Pacific region will be the center of global economic gravity. Where does Indonesia fit in this new world?

Our potential role is significant. As the unofficial leader of ASEAN, a G20 member, a BRICS partner, and the world’s largest Muslim-majority democracy, our diplomatic leverage ought to count for something, more significantly than it is right now. Our economy could be the world’s 4th or 5th largest by 2045. Our cultural influence, from cuisine to creative industries, is growing.

But here’s the cynical part: we’ve heard all this before. The question isn’t about potential, we’ve always had that, we are the sleeping Asian tiger after all. The question is about execution.

The Balancing Act

Our foreign policy challenges exemplify this complexity. We’re navigating between China and the US, between regional leadership and domestic development, between economic sovereignty and global integration. We’re trying to be everyone’s friend while advancing our own interests, a challenging diplomatic dance that will only get more complex.

By 2045, Indonesia could be:

  • A regional power with global influence
  • A key player in global supply chains
  • A leader in environmental and climate diplomacy
  • A cultural and religious bridge between East and West

Or we could be:

  • Still struggling with basic governance issues
  • Caught in the middle-income trap
  • Vulnerable to climate change and environmental degradation
  • Left behind in the global technology race

The Hope and the Hurdle

What makes me cautiously optimistic? The resilience that’s evident. The youth’s entrepreneurial spirit. The way we’ve maintained a semblance of unity despite diversity that would tear many nations apart. Our ability to adapt and evolve while maintaining our core identity.

What keeps me up at night? The persistence of old problems. The way corruption seems to adapt faster than anti-corruption measures. The environmental clock that’s ticking ever louder. The risk that we might miss our demographic dividend window while we’re still sorting out basic educational challenges.

Looking Forward

By 2045, if I’m still around, I’ll be old enough to have seen this entire journey unfold. Will we look back at this moment as the turning point where we finally converted potential into reality? Or will we still be talking about being a “future” superpower?

The truth probably lies somewhere in between. We’re likely to see significant progress, higher incomes, better infrastructure, more global influence. But we’re also likely to face continued challenges with governance, inequality, and environmental sustainability.

The Personal Stakes

This isn’t just about national statistics or global rankings. It’s about the kind of future we’re creating for the next generation. It’s about whether my kids will have to leave the country to find opportunities, or whether they’ll be able to build their dreams right here.

The Indonesia of 2045 won’t be a utopia. But it doesn’t need to be. It just needs to be better, more just, more sustainable, more prosperous, than today. It’s certainly achievable but my skepticism tells me it’s not going to be what it needs to be. I mean, ten years ago we all had expected so much more under Jokowi and yet here we are with a middle class crunch and facing further economic challenges.

The country is not going to be the superpower some dream of, never will. But it needs to be something perhaps more valuable, a nation that has found its own path to progress, balancing tradition with modernity, economic growth with sustainability, global influence with local wisdom.

That’s a future some people think they’re working to achieve while others are seemingly working to ensure something else happens.

A Final Thought

We need to stop thinking about Indonesia as a “future” superpower and start thinking about it as a present responsibility. The future isn’t something that happens to us, it’s something we build, decision by decision, day by day.

We’ll definitely not get everything right and will certainly face setbacks and challenges, and as always, the country isn’t defined by its challenges but by its response to those challenges.

Funnily enough when you look back, how the country responded to challenges will not be enough and will instead predictably stunt its own growth because what is disappointment if not Indonesian politicians and their lack of willingness to put aside personal greed over national gain? Not to mention the seeds of conflicts that seem to be consistently sowed. 

Will the country grow and get better? I mean look at the progress that’s happened over the last 20 years. We’ve got better infrastructure, strong economic growth, improved social welfare, but corruption, inequality, and institutional fragility continue to hinder progres. Our democracy keeps regressing and there are active efforts within the government and among the people ourselves, to return the country into authoritarianism and take away people’s rights.

Golden Indonesia by 2045? Tell ‘em they’re dreaming.