Page updated on 19/01/2009

Indonesia consists of over 13,000 islands, of which the largest are Kalimantan, Sumatra, Java, Sulawesi, Papua and Timor. Its population is approximately 215 million people. Poverty in Indonesia is heavily concentrated among those with little or no formal education. Indonesia saw consistent growth, with the official poverty rate falling from 60 percent to 15 percent. However, not all groups and regions have benefitted equally, and Indonesia has a highly uneven distribution of income. The poorest fifth account for just 8 percent of consumption, whilst the richest fifth account for 45 percent. Average income today is about US$650 a year.

The tsunami which struck north-western Sumatra on 26 December 2004 illustrated dramatically and tragically the vulnerability Indonesia faces from natural disasters.

Poverty rate:  Approximately 38.4 million people Foreign loan:  US$ 176.5 billions (US$ 821 per capita)

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