Indonesia's Unemployment Rate Remains Highest in ASEAN in 2025

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August 16, 2025 | 05:19 pm

TEMPO.CO, Jakarta - Indonesia continues to have the highest unemployment rate in ASEAN in 2025. According to a Trading Economics report released on Thursday, August 14, 2025, Indonesia's unemployment rate was 4.76% in March 2025. This figure represents over 7 million people who are unemployed.

While this data shows a slight decrease from the previous year's rate of 4.91%, it was not enough to change Indonesia's position at the top of the list. The country's very large population, approximately 285 million in 2024, is a major contributing factor to the high number of unemployed people.

Unemployment Rates in ASEAN Countries in 2025

Based on a report by Trading Economics, here is the ranking of ASEAN countries by unemployment rate, from highest to lowest:

1. Indonesia - 4.76% (March 2025)

2. Brunei Darussalam - 4.7% (December 2024)

3. Philippines - 3.7% (June 2025)

4. Malaysia - 3% (June 2025)

5. Myanmar - 3% (December 2024)

6. Vietnam - 2.24% (June 2025)

7. Singapore - 2.1% (June 2025)

8. Timor Leste - 1.6% (December 2024)

9. Laos - 1.2% (December 2024)

10. Thailand - 0.89% (March 2025)

11. Cambodia - 0.27% (December 2024)

IMF's Projections and Global Context

The International Monetary Fund (IMF) had previously estimated that Indonesia's unemployment rate would reach 5% in 2025. In its April 2025 World Economic Outlook report, the IMF noted that the trend of unemployment in Indonesia appeared to be increasing, with rates of 4.9% in 2024, a projected 5.0% in 2025, and 5.1% in 2026.

The IMF attributed this projected rise to renewed global economic volatility, especially after the United States' import tariff policy took effect on April 2, 2025. This policy has triggered trade uncertainty and slowed real-sector activities in many countries, contributing to a less stable economic environment.

Ilona Estherina also contributed to the report.

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