Equity dealmaking in Indonesia has been decelerating for 11 quarters on the trot as of the fourth quarter (Q4) of 2024.

According to data from the recent DealStreetAsia DATA VANTAGE report Mapping SEA & Indonesia’s 2024 Journey, Indonesian startups recorded only 13 deals in Q4 2024—the lowest quarterly deal volume in over six years. They raised a combined $59.2 million, the second lowest in at least six years.

The full-year deal volume in 2024 stood at 85 equity funding rounds, down 34% from the previous year. Total deal value, meanwhile, fell by 66% year-on-year to $437.8 million.

A pre-summit networking event, held in connection with the Indonesia PE-VC Summit 2025 and sponsored by Donnelley Financial Solutions (DFIN), featured an engaging panel discussion on the current investment climate in Indonesia. DFIN is a leading provider of innovative software- and technology-enabled financial regulatory and compliance solutions.
 

Held in Jakarta on Jan. 15 and moderated by Joji Thomas Phillip, Founder and Editor-in-Chief of DealStreetAsia, the discussion titled ‘Ups, Downs & Resets: A Decade of PE-VC Investing in Indonesia’ featured Pandu Sjahrir, Managing Partner of Indies Capital Partners, and Achmad Zaky, Founding Partner of Init-6.

Over 30 minutes, the panellists explored the dynamic shifts in Indonesia’s startup and investment ecosystem over the past decade.

Notably, 2024 also marks ten years since DealStreetAsia started covering the PE-VC landscape in Southeast Asia, making it an opportune moment to reflect on the successes and setbacks of the past decade while anticipating the future of Indonesia’s dealmaking and fundraising ecosystem.

“As we celebrate this significant juncture in the evolution of the PE-VC ecosystem, we recognise the synergy between our mission and the needs of Indonesia’s dynamic landscape. Our sponsorship of this event reflects our commitment to supporting the dealmaking communities, empowering dealmakers to accelerate processes and seize new opportunities. Whether it’s through IPOs, M&As, or other corporate actions, we strive to provide the software and expert support necessary for our clients to navigate an ever-evolving market. We look forward to continuing our partnership with Indonesia’s startup and investment ecosystem, ensuring our clients are future-ready in this competitive environment,” said Margaret Low, Senior Director of Global Capital Markets at DFIN.
The panel discussion was also attended by top leaders and key decision-makers in the Southeast Asian investment and startup landscape.

 

A decade of transformation in Indonesia’s startup landscape

The Indonesian startup ecosystem saw remarkable growth between 2012 and 2015, fueled by increasing investor interest and a supportive infrastructure. Reflecting on this evolution, Sjahrir highlighted the significance of celebrating entrepreneurial successes.

“[Achmad] Zaky has successfully transitioned into his second act with Init-6, focusing on venture capital and education,” said Sjahrir, who also serves as COO, Daya Anagata Nusantara Investment Management Agency (BPI Danantara); Founding Partner, AC Ventures; and Vice President Director, TBS Energi Utama.

Amidst the negative news in the startup ecosystem and concerns about an impending downturn, Sjahrir noted that it’s crucial to remember that downturns are an essential part of the cycle. They provide an opportunity for investors to identify and invest in the next wave of promising ventures.

Achmad Zaky, drawing from his experience as a successful startup founder, highlighted significant changes in the talent landscape. “When I started in 2010, roles like product managers and UX designers were rare. Today, we see a substantial supply of skilled talent across various sectors, marking a positive path for the ecosystem,”

 

Challenges and opportunities in market dynamics

While Indonesia’s large population and growing digital economy are often regarded highly, concerns about overestimations persist. Sjahrir stressed that many of us sometimes underestimate the speed of this change, particularly in terms of the players involved. He pointed out that the focus often lies on the three major sectors: e-commerce, fintech, and logistics.

“The market is growing, but the players have shifted. Beyond the dominant sectors like e-commerce, fintech, and logistics, emerging areas such as crypto and niche industries are showing profitability. These ‘hidden gems’ are rarely highlighted, yet they signify the evolving opportunities in the ecosystem.”

Zaky, who founded Init-6 four years ago, acknowledged that he has much to learn from experienced investors like Sjahrir. He explained that his firm differentiates itself by leveraging his ten years of experience as a founder.

“We focus on advising and operational support for our partners while maintaining strict evaluation standards. This disciplined approach helps companies grow efficiently, even in challenging liquidity conditions.”

Zaky also mentioned that Init-6 offers venture debt to help companies grow efficiently without requiring additional equity integrations, particularly for consumer-facing businesses that need to adapt. This approach, he believes, enables companies to grow more effectively while retaining capital.

Init-6 is an early-stage VC fund launched by Zaky and Nugroho Herucahyono (Xinuc), who were also co-founders of Bukalapak, to invest in seed and Series A-stage startups in Indonesia.

Source: DealstreetAsia