GDP (PPP) in Southeast Asia, 2023

In the latest data released by the World Bank in July 2024, Indonesia has emerged as the leader in Southeast Asia in terms of GDP PPP (Purchasing Power Parity) for the year 2023. The country recorded a GDP PPP of 4,333,084.50 million USD, showcasing its robust economic position in the region.

GDP PPP is a valuable metric for comparing the economic performance of countries by adjusting for differences in price levels. It uses the US dollar as a reference currency, allowing for a more accurate comparison of the market value of goods and services between countries. This method reduces the impact of exchange rate fluctuations and local price variations, providing a clearer picture of economic prosperity and living standards.

Indonesia’s leading GDP PPP figure of 4,333,084.50 million USD reflects its significant economic strength and growth. As the largest economy in Southeast Asia, Indonesia has been a major player in the regional market, driven by diverse sectors including manufacturing, services, and natural resources. The country's large population and increasing consumer base further contribute to its substantial economic output.

While Indonesia leads the region, other Southeast Asian countries also demonstrate notable economic performances. However, at the other end of the spectrum, Timor-Leste has the lowest GDP PPP in the region, with a value of 6,950.88 million USD. This disparity highlights the economic diversity within Southeast Asia, with countries at different stages of development and economic capacity.

Indonesia’s position as the leading economy in terms of GDP PPP underscores its influence and importance in the Southeast Asian region. This economic strength enables Indonesia to play a pivotal role in regional trade, investment, and economic policies. The high GDP PPP also indicates better living standards and economic opportunities for its population compared to its regional counterparts.

The World Bank’s data for 2023 reaffirms Indonesia’s status as the leading economy in Southeast Asia in terms of GDP PPP. With a figure of 4,333,084.50 million USD, Indonesia’s economic prowess is evident, positioning it as a key player in the region. The use of GDP PPP as a comparative measure allows for a more accurate assessment of economic health and living standards across countries, highlighting both strengths and areas for improvement within Southeast Asia.