The surge demonstrates growing confidence among Indonesian businesses in Batam’s economic outlook while indicating that the city’s growth is increasingly supported by domestic investors alongside foreign capital.
Foreign Direct Investment (PMA) also remained strong, totaling Rp25.58 trillion, up 47.81 percent from Rp17.30 trillion in 2024.
Singapore remained Batam’s largest foreign investor, followed by several strategic partner countries that continue expanding their business operations on the island.
The positive momentum carried into the first quarter of 2026, with investment realization reaching Rp17.4 trillion, representing a remarkable 102.85 percent year-on-year increase.
The figure comprised Rp8.8 trillion in foreign investment, up 50.71 percent, and Rp8.5 trillion in domestic investment, which surged 216.18 percent compared to the same period last year.
The top five foreign investors during the first quarter of 2026 were Singapore, Hong Kong, the United States, China, and Japan, highlighting Batam’s increasingly diversified investor base and greater resilience against global economic volatility.
Investment quality has also continued to improve, with high value-added industries dominating incoming capital.
The machinery and electronics industry accounted for 23.65 percent of total investment, followed by chemicals and pharmaceuticals (21.18 percent), other services (17.70 percent), and industrial estates and property development (13.09 percent).
This composition indicates that Batam’s economic expansion is increasingly driven by manufacturing, technology, and productive industries that generate employment while strengthening regional competitiveness.
