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Located in the Indian Ocean and extending between the Asian mainland and Australia, Indonesia is made up of about 17,000 islands, of which only 6,000 are inhabited. The land area of this vast archipelago covers 1.9 million km². The population is about 222.2 million and is growing at a rate of 1.3 per cent per year. Indonesia is the world's fourth most populous country. It also has the largest Muslim population in the world. Indonesia is highly vulnerable to the impact of climate change, and to effects such as droughts, flooding and rising sea levels.

Agriculture
Agriculture’s share of GDP in 2006 was 13 per cent, far below that of industry and services. Although agriculture’s place in the economy has declined, the sector remains the largest in the economy in terms of people employed, accounting for 43 per cent of employment in 2006. The main change in the sector has been the reduction in the relative importance of food crops, accompanied by an increase in the importance of fisheries and livestock subectors.

Economy
Indonesia’s economy is well diversified and market-based. Growth in gross domestic product (GDP) between 2003 and 2006 averaged about 6 per cent per year. In 2008 output and private consumption were rising steadily and generating economic growth, which has been driven in recent years by services and construction.

Source: IFAD