Indonesia and India Expected to Drive Economic Growth During Trump 2.0 Era

JAKARTA, investortrust.id – Indonesia and India are expected to be key drivers of global economic growth from Asia during the second term of President-elect Donald Trump's leadership. This phase of his leadership is often referred to as Trump 2.0.

This confidence was discussed at the annual meeting of the World Economic Forum (WEF) in Davos-Klosters, Switzerland.

"When I was in Davos, the two 'I' countries were being discussed: India and Indonesia. These countries are the ones that will support growth in 2025 and possibly in the years ahead," said Anindya Bakrie, Chairman of the Indonesian Chamber of Commerce and Industry (Kadin), at the Mayapada Group Executive Gathering 2025 at Mayapada Tower 2 in Jakarta on Tuesday (Feb 4, 2025).

He reminded that there would be uncertainties in the Trump 2.0 era, but to some extent, Trump's decisions could be seen as strategies by his government to create the best conditions for the U.S.

One of the uncertainties facing emerging economies will be currency volatility, especially as the U.S. dollar strengthens.

Global business leaders' confidence in the economic growth of Indonesia and India was evident during a discussion held by one of the top consulting firms alongside the WEF Managing Director.

"25 top CEOs started the conversation with U.S. businesspeople, followed by European businesspeople, and then India and Indonesia. Both of these 'I' countries said, hey, next year, we’ll turn things around," Anindya continued.

This discussion gave a sense of confidence that Indonesia still has many opportunities for growth amidst global uncertainty.

According to Anindya, this confidence did not come by chance. Given Indonesia's experience in overcoming several economic crises, the Bakrie Group entrepreneur feels more optimistic about Indonesia’s growth prospects.

"We are always cautiously optimistic because we always remember those challenges. That’s why I believe many of our fiscal and monetary policies are very careful due to the déjà vu we’ve experienced," he emphasized.

The foundation for optimism in economic growth in Indonesia and India is supported by Indonesia's target of 8% economic growth and India’s population of 1.4 billion.

"I’m amazed that in India, they’ve been able to grow public investment to nearly US$ 1 trillion," Anindya added.

Looking ahead to the next five years, he believes Indonesia must learn much from India.

"At Davos, they spoke about restructuring growth, again, India and Indonesia, wealth creation will happen in these two countries," he concluded.

Wealth creation is expected to bring widespread prosperity to both countries’ populations. The welfare of the people is crucial, especially as these two fast-growing nations both embrace democratic governance systems.