Indonesia

Outsourcing to Indonesia
Outsourcing index: 
6.7
Rank: 
2

Indonesia is positioned to make great strides in the development its Information Technology sector. Today the country is moving away from its dependence on exports and restructuring its strategy to meet the challenges of an economy driven by IT and IT-related services. Many economists expect growth of USD $700M this year, with a compound annual growth rate (CAGR) of around 15% over 2010-2014. As the country’s IT service market grows, most of these will concentrate on services that include system integration, professional services, training, support systems, internet services, and global sourcing.

Indonesia is continually liberalizing economic policies to support its outsourcing industry, including the Indonesian call center market. Aside from this, the government is implementing developmental strategies including the simplification of investment procedure and tax deductible expenses, and of training and research improvements for development programs. 

Indonesia was severely impacted by the recent global recession, but has responded effectively and efficiently because of the lessons learned from their 1997-1998 crisis. The Indonesian government established fiscal policy tools to lessen the economic impact, and the two instruments that it used were the tax-saving program for households and businesses and additional spending on infrastructure projects for private sector and household spending.

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