NewsStory

Faster energy transition could add 600,000 net jobs in Indonesia by 2040, OECD model finds

KROV newsroom

10 Nov 2026, 1:59 pm IST1 min read

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Indonesia could have about 600,000 more jobs in 2040 than under current policies if it and its trading partners step up climate action, according to an OECD study released on November 10. The same scenario puts Indonesia’s GDP in 2040 about 1.4% above the level modelled under current policies. [evidence-1] [evidence-2]

The model puts most of the employment gains in services and construction. It also shows losses in fossil fuel extraction and processing, meaning workers would have to move between sectors for the overall gains to materialise. The employment estimates leave out informal-sector activity. [evidence-2]

Extra investment in the energy system drives most of the modelled GDP gain. The study assumes that all of that additional investment is raised and that private sources supply half. [evidence-2]

Sources and credits

Credit: OECD

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