UNDP, Bappenas and Denmark collaborate to support the development of Circular Economy in Indonesia

March 3, 2020

Jakarta, February,  24th  2020 – The United Nations Development Programme (UNDP), in partnership with the Ministry of National Development Planning (Bappenas), with support from the Government of Denmark  launched today a new initiative to support the development of Indonesia’s first national strategy on circular economy, a new economic model that can further boost growth, create new jobs and address climate change at the same time.

Circular economy strategies have already been successfully pursued by several countries, including Denmark. Through this initiative, Indonesia would  become the first country in South East Asia to adopt a national strategy on circular economy from which the country could gain a competitive edge to attract private sector investments. r.

The national strategy aims to facilitate a close partnership between the public and private sector in implementing circular economy. Adopting a circular economy will also accelerate Indonesia’s progress towards the several Sustainable Development Goals, which the Government is very strongly committed to,  - particularly SDG12 on sustainable consumption and production.

The  initiative was presented at a launching event presided over by Minister of Bappenas, Mr. Suharo Monoarfa and the Danish Minister of Environment, Ms. Lea Wermelin, who is on an official visit to Indonesia.

“A Circular economy model is key to achieving zero pollution and a toxic free environment as Indonesia embarks on an industrial and service-based economy in the next decade. The Indonesian Government is pleased to welcome this much-needed initiative which will ease the country’s transition away from a resource-based economy,” said Mr. Monoarfa.

“Transitioning to a circular economy is an important step towards sustainable development. It is important not only to Indonesia, but to all countries in the world, that we take faster steps towards reducing our consumption of natural resources and think smarter with resources already in use. I am very happy that Indonesia is taking this initiative to formulate a circular economy strategy, and I am glad that Denmark and UNDP can support this first step in the transition,” said Ms. Wermelin.

 The Resident Representative of UNDP in Indonesia, Mr. Christophe Bahuet stressed the huge economic, social and environmental benefits that transitioning to a circular economy can bring to Indonesia, and the potential it offers for concerted actions between the public and the private sectors entailing policy changes, creation of new business opportunities and the creation of new types of jobs for the Indonesian labour force. 

“This new initiative for circular economy illustrates the innovative dimension of the partnership between UNDP and the Government of Indonesia, and we are grateful to receive support from Denmark.  UNDP will work with Bappenas, Ministries and Agencies as well as international and domestic companies to develop a national circular economy strategy. We will adopt a very comprehensive approach that goes beyond waste recycling and capture all economic, social and environmental dimensions of the circular economy so that Indonesia can gain the maximum benefits from this new model. key sectors , “ said Mr Bahuet.

The workshop on Monday focused on five potential  areas of circular economy in  Indonesiia, namely food & beverage, textiles, construction, wholesale and retail trade (plastics) and electronics.


UNDP Indonesia Communication Specialist, Tomi Soetjipto, suryo.tomi@undp.org