There's no such thing as a free lunch...Or is there?

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It's official. The next president of Indonesia is former army general Prabowo Subianto. Quite how the next five years will pan out is anyone's guess but hopefully the foreign pundits who always bring up his dodgy human rights record will be proven wrong. Nonetheless, on policy making, Prabowo's popularist move to literally offer the poor 'a free lunch' every day of the week does not augur well for the future. Such a policy - if it ever came to fruition - would cost a phenomenal amount of money and likely lead to huge inefficiencies (food waste) and poor incentives (make people lazy). Another concern is Prabowo's strong nationalist bent. Thus, in the possible event that he finds himself with his back against the proverbial wall in the face of stern economic challenges, there is a big chance that he will simply scapegoat foreigners. But he will have to be careful. Construction of the new capital city, Nusantara, for example, is highly dependent on foreign in

Cost of Living in Jakarta - 2013 Update

Whilst some global cities are unavoidably expensive (think London, Singapore, Tokyo etc), Jakarta is not one of them. Sure it can be very expensive to live in “the Big Durian” but it can also be pretty cheap as well. The range for the cost of living in Jakarta is vast.

What ultimately determines your overall cost of living is your lifestyle (do you eat street food or in plush shopping malls?) and what are the things you consider as luxuries (can you live without air-con, for example, and make do with a fan instead?).

To estimate your cost of living in Jakarta, there are several things to consider:

1) the red tape – i.e. the cost you will incur for having the “privilege” of being able to live in one of the world’s most crazy cities. If you are employed this cost will be covered by your employer, but otherwise you will have to shoulder this cost yourself - which could vary from anywhere between around Rp10million (US$ ) to Rp30 million per year depending on your type of visa (social, business, employed, retirement etc).

2) Housing costs. Housing costs vary hugely in Jakarta depending upon: 1) where you live, 2) your choice of housing and, just as importantly, 3) your bargaining skills. Generally speaking, websites exaggerate housing costs for expats or foreigners. This is because (as a foreigner) many landlords will want to charge you a higher “foreigner” price. In the past, a lack of transparency on prices made it difficult for foreigners to gauge rental costs. Now though, and thanks to the internet, things are much easier. Rentals for both apartments and houses are quoted by landlords on websites like the excellent Tokobagus. Do the research and you can get a much better picture of what housing costs should be in Jakarta.

3) Day to day living. In Jakarta you can get lunch for as little as Rp12,000 or easily pay more than Rp200,000. The choice is yours. To get an idea of how much you will pay for your daily needs each month, I’ve prepared a table of a basket of goods that are typically consumed by foreigners. Over time, prices change of course. Food costs generally rise steadily over time but also spike at certain times of the year due to seasonal factors such as the fasting month and the harvesting season (fruit prices can be particularly volatile). Prices of administered goods – fuel, electricity – are also prone to sudden sharp increases. Another factor affecting prices is the level of the rupiah. Indonesia’s currency has a shaky history and has been subject to sharp declines at times of economic/political distress.








         IDR        USD








Eating out





Fried rice from a street hawker 

12,000 1.06
Big Mac



27,500 2.42
Dinner for two in mid range restaurant 
400,000 35.22
Bottle of beer (large) in an average restaurant  50,000 4.40
Coffee in a mid-range cafĂ© 

20,000 1.76








The supermarket




1 liter of milk



15,000 1.32
1 loaf of wholemeal bread


50,000 4.40
1 packet of Marlboro 


15,000 1.32
1 liter of mineral water


4,000 0.35
5 gallon tank of mineral water

12,000 1.06
1 can of coke



7,000 0.62
1 chicken



40,000 3.52
5 kg sack of rice



100,000 8.81
1 kg beef (domestic)


90,000 7.93
1 bottle of beer (large)


25,000 2.20








Transportation





Metro Mini bus fare (*)


3,000 0.26
Jakarta “busway” (**)


4,500 0.40
Taxi (airport to center)


130,000 11.45
1 liter subsidized premium fuel

6,500 0.57
1 liter non subsidized premium fuel

9,500 0.84








Accommodation (month)



1 month room in boarding house w/fan
1,000,000 88.06
1 month room in boarding house w/aircon
2,000,000 176.12
Studio apartment (center)


4,000,000 352.24
Studio apartment (outside center)

3,000,000 264.18
Decent 3 bed house (suburbs)

8,000,000 704.47
3-4 star hotel (1 night)


700,000 61.64








Utilities (monthly)




Electricity (house, 2 air-con nights only)
800,000 70.45
Satellite TV



250,000 22.01
Internet (cable unlimited)


300,000 26.42
Internet (dongle modem)


100,000 8.81
Mobile phone



100,000 8.81


(*) and (**) Public transportation (bus) fares are incredibly good value in Jakarta. In theory, you can travel great distances for mere peanuts. In reality, though the buses are overcrowded and unbearably uncomfortable. Far better to get your own motorcycle if you are on a budget.

Exchange rate: 1 USD = Rp11,356
(As of November 6, 2013)

NOTES: This is only a rough guide to prices and prices can vary widely depending upon a number of factors. Also be aware that the local convenience store will be a lot more expensive than one of the large hypermarkets operating in Jakarta such as Carrefour. 

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