Forecast: Real Estate Gross Value Added in Indonesia

In 2023, the Real Estate Gross Value Added in Indonesia was recorded at a stable rate, showing initial signs of future trends. However, forecasts for 2024 through 2028 indicate a slight but consistent decline in the Gross Value Added. Specifically, the values edge down from 2.5 in 2024 to 2.37 in 2028, demonstrating a clear downward trend.

Year-on-year variations for the initial forecasted years show minimal declines:- From 2024 to 2025, there’s a decrease of approximately 1.2%.- From 2025 to 2026, the decline continues at around 1.2%.- A further decrease of about 1.6% is expected from 2026 to 2027.- Another 1.25% reduction is forecasted from 2027 to 2028.

Analyzing the Compound Annual Growth Rate (CAGR) over this five-year forecast period, we observe an average annual decrease of about 1.4%, reflecting a consistent downward trend for the sector.

For future trends, it would be important to watch for potential impacts from infrastructure development, changes in regulatory policies, and economic conditions within Indonesia. Shifts in foreign investment and urbanization rates could either mitigate or exacerbate this declining trend.