Market Update: We break down the business implications, market impact, and expert insights related to Market Update: UN Global Compact Network Indonesia and BAPPENAS Convene Circular Economy Executive Dialogue 2026 to Unlock Business Opportunities and Accelerate Indonesia’s Circular Transition – OBSERVER – Full Analysis.
Jakarta, IO – The UN Global Compact Network Indonesia (IGCN), in collaboration with the Ministry of National Development Planning (BAPPENAS) and National Research and Innovation Agency (BRIN), with support from PT Amita Tamaris Lestari, organized the Circular Economy Executive Dialogue 2026 at BJ Habibie building, BRIN. The high-level forum brought together government leaders, business executives, and ecosystem partners to explore strategies for accelerating Indonesia’s transition toward a circular economy while unlocking new business opportunities.
Indonesia’s shift toward a circular economy is a critical pathway to achieving sustainable growth, enhancing competitiveness, and meeting national commitments under the Long-Term Strategy for Low Carbon and Climate Resilience (LTS-LCCR) and Net Zero Emissions (NZE) by 2060. Beyond environmental benefits, circular economy models offer significant economic potential, projected by BAPPENAS to contribute IDR 593–638 trillion to national GDP by 2030 and generate more than 4.4 million green jobs across key sectors.
Y.W. Junardy, President of IGCN, emphasized the importance of private sector leadership in advancing circularity. “The transition to a circular economy is not only a sustainability imperative, but also a strategic business opportunity. Through this Executive Dialogue, we aim to strengthen collaboration between business and policymakers to accelerate scalable and impactful circular solutions in Indonesia.”
The dialogue featured keynote insights from Reo Kawamura, Director of the Environmental Policy Regional Knowledge Centre for Marine Plastic Debris (RKC-MPD) ERIA, followed by a context-setting session delivered by Leonardo A. A. Teguh Sambodo, Deputy Minister for Food, Natural Resources, and Environment at BAPPENAS. These sessions highlighted global and regional trends, as well as Indonesia’s policy direction in embedding circular economy principles into national development planning.
Leonardo A. A. Teguh Sambodo, Deputy for Food, Natural Resources, and Environment at Bappenas, emphasized that policies and regulations will have no impact without consistent and collaborative implementation. “Policies and regulations are merely stacks of documents if they are not followed by consistent and collaborative implementation. This is where the role of the private sector becomes crucial. The government will act as a facilitator by providing a green financing ecosystem and incentives. However, we need the private sector to take the initiative in launching pilot projects, collaborating and adopting research from Badan Riset dan Inovasi Nasional (BRIN), as well as strengthening internal human resource capacity to navigate the transformation toward sustainable business models,” he stated.
Deputy for Research and Innovation Utilization at the Badan Riset dan Inovasi Nasional (BRIN), Dr. R. Hendrian, M.Sc., stated, “On behalf of the Head of the National Research and Innovation Agency, I would like to express my highest appreciation to the Indonesia Global Compact Network (IGCN) and Bappenas for their collaboration in organizing this event. In the global context, the circular economy has become an integral part of decarbonization strategies and sustainable growth. In the national context, the circular economy is a key instrument in achieving the vision of Golden Indonesia 2045—an advanced, sovereign, and sustainable Indonesia.”
A key milestone of the event was the official launch of the IGCN Circular Economy Working Group (CE-WG). The Working Group is designed as a continuous platform for companies and partners to collaborate on circular innovation, policy dialogue, pilot projects, and measurable sustainability actions aligned with the UN Global Compact Ten Principles and the Sustainable Development Goals (SDGs).
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The panel discussion titled “Scaling Circularity – Challenges, Policy, and Partnerships,” moderated by Nicholas Goodwin, Country Director of Delterra, discussed the key challenges in accelerating the adoption of a circular economy in Indonesia, including financing, technological readiness, policy harmonisation, and changes in consumer behaviour. The discussion underscored the importance of cross-sector partnerships in building a sustainable circular economy ecosystem across the value chain. In line with this commitment, five companies joined as core members of the IGCN Circular Economy Working Group: PT Coca-Cola Europacific Partners Indonesia, PT TBS Energi Utama Tbk, PT Amita Tamaris Lestari, PT Unilever Indonesia Tbk, and PT Dynapack Asia.
The dialogue continued with a CEO Discussion Session, focusing on real-world business experiences, innovation pathways, and opportunities for value creation through circular economy models. Moderated by Verlyana Hitipeuw, CEO & Chief Consultant of Kiroyan Partners, the discussion underscored the role of business leadership in championing circularity as a core business strategy rather than a compliance-driven initiative.
Through the Executive Dialogue, IGCN aims to strengthen cross-sector collaboration, deepen understanding of the business case for circularity, and catalyze concrete actions with the newly formed IGCN Circular Economy Working Group. The outcomes of the dialogue are expected to contribute to ongoing policy engagement, business innovation, and collective action toward a more resilient and sustainable Indonesian economy. (des)