KADIN Indonesia × Kementerian Kesehatan Republik Indonesia | A Strategic Whitepaper | 2025

Health is the
New Wealth

The Role of the Health Sector in Building a Nation

Indonesia’s ambition to achieve 8% GDP growth requires bold, cross-sector transformation. This whitepaper makes the case that the health sector, guided by sound policy and supported by investment—is one of the most powerful levers available to the nation.

The Economic Case for Healthcare

IDR 614.5 Trillion

Healthcare GDP Contribution

Total health expenditure, Indonesia, 2023

2.94% of GDP

Share of GDP

With significant untapped potential to grow

Up to 3.2×

Economic Multiplier

GDP generated per rupiah invested in health

3.5 – 4 Million

New Jobs by 2030

Projected new direct jobs as the sector expands

~34,000

Doctors Needed

Specialist gap to be filled

Source: Health is the New Wealth, KADIN Indonesia × Ministry of Health, Republic of Indonesia, 2025.

Why Healthcare Is Indonesia’s Next Strategic Priority

The health sector already contributes significantly to Indonesia’s economy. With coordinated action between government and industry, its potential is far greater.

Healthcare Already Drives the Economy

Indonesia’s healthcare sector contributes IDR 614.5 trillion to the national economy annually—equivalent to 2.94% of GDP—with a multiplier effect of up to 3.2× across manufacturing, logistics, employment, and technology. This contribution is real, measurable, and growing.

The Potential Is Far Larger

Compared to regional peers, Indonesia’s per-capita health spending remains significantly lower—signalling vast untapped room for growth in hospital infrastructure, pharmaceutical production, medical devices, digital health, and workforce development. The opportunity ahead is a national one.

Structural Gaps Must Be Addressed Together

Critical challenges remain: a shortage of approximately 34,000 doctors, unequal distribution of health facilities across the archipelago, heavy import dependency in medical devices and pharmaceuticals, and financing gaps that no single sector can solve alone. These are national challenges that require national solutions.

Public–Private Partnership Is the Path Forward

The whitepaper’s central finding is that sustainable progress requires coordinated action—policy leadership and regulation from government, investment and innovation from industry, and shared accountability for outcomes that benefit all Indonesians. Neither sector can achieve this transformation alone.

What Indonesia’s Leaders Are Saying

The whitepaper has brought together the voices of government, industry, and the healthcare community. Here is what they have shared.

Health must be understood as foundational to Indonesia’s long-term competitiveness. A country that underinvests in health underinvests in its own future. Conversely, a nation that places health at the center of its development agenda lays the groundwork for a more innovative, productive, and resilient economy.

Budi G. Sadikin

Minister of Health Republic of Indonesia

Indonesia's healthcare transformation is central to inclusive growth, economic resilience, and better quality of life, with sustainable health insurance essential for equitable access, financial protection, and long-term investment in the health ecosystem. As the guardian of Indonesia's financial stability, OJK works in close coordination with the Ministry of Health, and the broader healthcare ecosystem to ensure health insurance remains fair, resilient, and sustainable amid rising costs and evolving risks.

Ogi Prastomiyono

Chief Executive of Insurance, Guarantee and Pension Fund Supervision, Financial Services Authority (OJK)

Health is a strategic industry in its own right. When this ecosystem is strengthened, its impact radiates across manufacturing, services, and the broader real economy.

Anindya Novyan Bakrie

Chairman KADIN Indonesia

Health is central to human development. It shapes whether people can learn, work, and participate fully in society, and it underpins Indonesia’s long-term social and economic resilience. By strengthening the health system, Indonesia advances more than health outcomes alone — it advances workforce readiness, reduces inequality, and ensures inclusive growth across regions and generations.

Shinta Widjaja Kamdani

Vice Chairwoman for Human Development, Culture & Sustainable Development KADIN Indonesia

Indonesia’s health sector is entering a decisive phase. This whitepaper positions healthcare as a strategic economic lever that can drive investment, job creation, and stronger value-chain coordination.

David Utama

Vice Chairman for Health KADIN Indonesia

This White Paper can serve as a foundation for setting the strategic policy direction of Indonesia’s health sector, while taking into account future trends in diseases and healthcare services.

dr. Bambang Wibowo

Chairperson PERSI — Indonesian Hospital Association

This white paper underscores the importance of the health sector in supporting sustainable national development. Synergy between government, industry, and stakeholders is key to strengthening Indonesia’s health system for public welfare.

FX Sudirman

Chairman AB3O — Bio-Pharmaceutical Raw Materials Association

In a world where health is the new wealth, insurance is the smartest investment you can make. Health is how you protect it

Budi Tampubolon

Chairman AAJI — Indonesian Life Insurance Association

Ready to Access Indonesia’s Health Economy Blueprint?

The full whitepaper is available through two pathways. The first is a standard stakeholder verification process, open to policymakers, investors, researchers, healthcare leaders, and development partners. The second is through a donation to the free medical checkup program run by KADIN Kesehatan, which directly supports equitable health screening access for Indonesians across the country.

Both pathways provide full access to the complete report. We invite you to choose the one that best reflects your commitment to Indonesia’s health future.

Full whitepaper access is provided as recognition of your contribution to the KADIN Kesehatan free medical checkup program.

Available to qualified stakeholders. Subject to review by the KADIN Healthcare Working Team.