Green Economy a Key to Unlock Prabowo’s Asta Cita, Minister Says
Main Takeaways
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JAKARTA, Investortrust.id — Industry Minister Agus Gumiwang Kartasasmita says the green economy holds a key role in realizing President Prabowo Subianto’s Asta Cita, the president’s eight-point national mission statement for Indonesia's development.
He made the statement on Wednesday, Aug. 20, 2025, during the opening of the Annual Indonesia Green Industry Summit 2025, which was held for the second time in Jakarta.
Agus stressed that sustainable industrial transformation would determine whether Indonesia’s next generation inherits a healthier environment and stronger economic resilience.
Manufacturing Growth Strengthens National Economy
Agus highlighted that Indonesia’s manufacturing sector continued to deliver strong results. In the second quarter of 2025, the contribution of processing industries to gross domestic product (GDP) reached 16.92 percent, up from 16.72 percent a year earlier.
Manufacturing output expanded 5.6 percent year-on-year, faster than national economic growth of 5.12 percent. Manufacturing exports reached $107.6 billion (Rp 1,736 trillion) in the first half of 2025, representing 83 percent of Indonesia’s total exports.
The sector also supported employment, absorbing more than 19 million workers nationwide.
From Asta Cita to Green Jobs
Despite the progress, Agus acknowledged that global challenges remained. Indonesia’s industries had to navigate geopolitical risks, adapt to clean energy transitions, and maintain competitiveness in a world increasingly shaped by environmental demands.
“We at the Ministry of Industry continue to emphasize that transforming toward green industry must not be seen as a cost, but as an investment,” he said.
Agus connected the forum’s agenda with four pillars of Asta Cita: building green and blue economic independence, creating green jobs, accelerating value-added industrialization, and achieving harmony with the environment.
“This is where circular economy, emission reduction, and other sustainable practices become increasingly relevant,” he added.
Drivers of Green Transformation
Agus identified four main drivers behind the shift to a green economy: global consumer demand, the expansion of green financing, government policy support, and trade mechanisms.
He urged all stakeholders to move past the old notion that economic growth and environmental preservation are in conflict.
“AIGIS and the Green Industry Standards and Certification Organization (GISCO) provide answers and solutions showing that green industry can create added value and competitiveness, which in turn boosts national economic growth,” he said.
Decarbonization as an Opportunity
According to Agus, the transition toward a green economy is a long-term journey requiring vision, innovation, and collaboration. Decarbonization efforts—ranging from energy efficiency and renewable energy to carbon capture and utilization (CCU) and circular economy practices—must be treated as opportunities, not burdens.
“This is not a burden but a golden opportunity to compete in global markets, to strengthen Indonesia’s green economy while safeguarding the environment as our shared responsibility,” he concluded.