Indonesia Must Become the Sports Economy Platform of the Global South

By 2050, the global sports economy is projected to reach US$8.8 trillion. This is not simply a forecast about games and tournaments. It signals the convergence of manufacturing, tourism, digital ecosystems, finance, and lifestyle into one of the most powerful economic sectors of the century.

For Indonesia, this moment demands strategic clarity.

We must not aim merely to participate.

We must aim to become the sports economy platform of the Global South.

From Event Host to Ecosystem Builder

Indonesia has already demonstrated its capability to host global sporting events. The success of the MotoGP Mandalika in Mandalika and the F1 Powerboat Lake Toba confirmed that we possess the infrastructure, coordination, and global trust required to deliver world-class competitions.

However, hosting events alone does not create enduring economic strength. A nation becomes a platform when it builds permanent ecosystems around those events, training centers, sports science institutes, manufacturing clusters, digital media studios, tourism corridors, and financing mechanisms that operate year-round.

We must shift from being a venue provider to becoming a value orchestrator.

Transforming Manufacturing into Brand Ownership

Indonesia ranks among the world’s leading exporters of sports footwear. Yet much of our role remains concentrated in contract manufacturing.

This must evolve.

We need to move decisively from “Made for the World” to “Made by Indonesia.” That means supporting Indonesian brands to compete regionally and globally, investing in design and intellectual property, and building research capacity in sustainable materials.

The Global South, spanning ASEAN, Africa, the Middle East, and Latin America, represents the fastest-growing consumer base. These markets seek affordability, durability, and cultural alignment. Indonesia is uniquely positioned to meet this demand, leveraging our manufacturing scale and demographic insights.

If we control brand equity and innovation, we capture margins.

If we remain solely producers, we capture only labor value.

Becoming Southeast Asia’s Digital Sports Capital

Indonesia possesses one of the largest and most engaged gaming populations in the world. This is not incidental. It is a strategic asset.

Through institutions such as the Indonesia Esports Association, we have begun formalizing the competitive structure. Yet to become a platform, we must go further:

• Establish permanent esports arenas in major cities
• Incentivize local game development studios
• Develop Indonesian intellectual property
• Export tournament management expertise

In the digital age, competitive gaming is not merely entertainment. It is media, data, advertising, and global youth culture combined. If we lead in this sector, we shape the future sports economy of emerging markets.

Integrated Sports Cities: Clustering for Competitive Advantage

Nations that dominate global industries do not disperse their efforts. They cluster them.

Indonesia should develop specialized integrated sports cities:

• Jakarta as the hub for mega events and sports finance
• Bandung as a center for sports science and athlete education
• Palembang for aquatic sports
• Mandalika for motorsports
• Lake Toba for endurance and adventure events

This clustering strategy strengthens investor confidence, builds talent density, and creates long-term switching costs for international federations and commercial partners.

Why the Global South Needs an Anchor

The traditional sports economy remains centered in North America and Europe. Yet the demographic and economic momentum of the 21st century lies in the Global South.

Emerging economies require scalable sports infrastructure models, affordable manufacturing ecosystems, climate-resilient event planning, and inclusive digital platforms.

Indonesia, as a middle-power nation with strategic geography and a large domestic market, is positioned to serve as that coordinating anchor. Our role within emerging economic blocs further enhances this opportunity.

This is not solely an economic ambition. It is a geopolitical positioning.

A platform nation sets standards, coordinates supply chains, and shapes regional growth patterns.

Policy Alignment Is Essential

To secure this position, Indonesia must:

1. Establish a national sports investment framework to mobilize public and private capital
2. Provide regulatory clarity for sports technology and event operators
3. Integrate sports science and digital innovation into higher education
4. Promote sustainable sports manufacturing
5. Enable capital market participation through structured financing instruments

When policy, private sector leadership, academia, and digital innovation move in alignment, ecosystems mature rapidly.

The Strategic Choice Before Us

Indonesia can continue to host successful global events and grow incrementally.

Or we can architect a comprehensive sports economy platform that serves emerging markets,  exporting goods, brands, expertise, digital content, and integrated infrastructure solutions.

The sports economy is no longer defined only by competition on the field. It is defined by competition for value chains.

Indonesia has the population.

It has the manufacturing capability.

It has the digital youth demographic.

It has the strategic geographic position.

What remains is collective resolve.

The Global South is rising.

Indonesia must not simply participate in that rise, we must help lead it.