Indonesia is entering a decisive demographic transition. By 2045, more than 60 million Indonesians will be aged 60 and above, while the number of working-age people supporting each elderly person will shrink significantly. This shift will reshape families, public services, labor markets, and the economy as a whole.

In this paper, Arunala Institute & Foundation examines how Indonesia can move beyond seeing ageing as a social burden. and instead treat it as an opportunity to build a dignified, resilient, and future-ready care ecosystem .

About the Paper

Indonesia’s Silver Future brings together evidence, policy insights, and international lessons to explore how ageing societies can be prepared through ecosystem-based, market-aware, and people-centered approaches. The paper draws on discussions with policymakers, academics, industry leaders, and care practitioners from Indonesia, Japan, and Australia.

Rather than focusing solely on welfare, the paper reframes elderly care as part of a broader care economy—one that supports families, creates jobs, mobilizes private investment, and strengthens social cohesion.

Key Themes

1. From Demographic Bonus to Future Burden

Indonesia’s demographic bonus is coming to an end. With low pension coverage, limited household savings, and growing care needs, the paper highlights the risks of inaction—and the cost of relying on families and the state alone.

2. Reframing Ageing: From Burden to Capital

Ageing is not the end of productivity. The paper advances the concept of productive and healthy ageing, recognizing older persons as holders of human, social, and spiritual capital who can continue contributing to society.

3. Market-Driven and Inclusive Care Solutions

The paper explores how market-driven mechanisms—such as innovative financing, senior living models, and private sector engagement—can complement public policy and community care, without undermining social values.

4. Learning from Global Experience

Drawing lessons from Japan’s super-ageing society and Australia’s aged care system, the paper highlights the importance of balancing technology, professionalism, and human connection in care delivery.

5. Building an Integrated Care Ecosystem

At its core, the paper argues for an integrated ecosystem where government, academia, industry, and communities collaborate to ensure care is accessible, affordable, and sustainable.

Why This Paper Matters

As Indonesia advances toward its 2045 vision, preparing for an ageing society is no longer optional—it is urgent. This paper offers a roadmap for policymakers, businesses, universities, and civil society to rethink how care is designed, financed, and delivered.

By positioning care as both a social responsibility and an economic opportunity, Indonesia’s Silver Future invites a new conversation: one where ageing is met not with fear, but with foresight, collaboration, and dignity.

Indonesia’s Silver Future: Turning the Aging Challenge into an Opportunity