Jakarta Claims World’s Largest Urban Title As Indonesia Joins BRICS - A New Economic Power Emerges

Jakarta just grabbed the global urban crown—and Indonesia's joining BRICS marks a tectonic shift in the world order.

More Than Just a City Title

This isn't about bragging rights for population density. Jakarta's new status as the world's largest urban area coincides with Indonesia's formal entry into the BRICS bloc—a move that reshapes economic alliances and challenges Western-dominated financial systems.

The BRICS Play

Indonesia brings massive Southeast Asian influence, natural resources, and a digitally-savvy population to the table. BRICS gains a strategic foothold in a critical region, accelerating its de-dollarization ambitions and creating alternative trade corridors that bypass traditional financial gatekeepers.

Digital Infrastructure Race

Watch for accelerated investment in Jakarta's tech backbone—smart city initiatives, digital payment systems, and blockchain infrastructure. BRICS nations are already experimenting with digital currencies and settlement systems; Indonesia's inclusion adds fuel to that fire.

The Finance Jab

Meanwhile, traditional banks are still trying to figure out how to charge fees for cross-border transfers that take three business days. Good luck with that.

What Actually Changes

Expect faster trade agreements between BRICS members, increased local currency usage in transactions, and Jakarta positioning itself as Southeast Asia's digital finance hub. The old financial world just got another credible challenger—and this one brings 10 million new urban residents to the party.

Jakarta’s Largest Urban Area Status Sparks Economic Growth Amid Indonesia’s BRICS Entry

Indonesia Strengthens Regional Position

The capital of Indonesia is now home to approximately 42 million people, which places it ahead of Dhaka’s 36.6 million and even Tokyo’s 33.4 million residents. This urban population growth actually reflects the momentum of Southeast Asia’s digital-driven transformation, spearheading several key developments across numerous significant economic sectors.

Alexander Titov, Deputy Secretary General of the International Digital Economies Association (iDEA), along with Duane Dizon, a noted author on geopolitics and economics, have detailed the analysis. How Jakarta became the largest urban area coincides with Indonesia’s BRICS entry, which has catalyzed various major opportunities for one of the developing world’s most dynamic economies right now.

Economic Impact And Digital Innovation

With Indonesia accounting for over 40 percent of ASEAN’s population, the economic impact in Jakarta is pretty substantial and has actually accelerated across multiple essential sectors. The city hosts more than 2,400 tech startups and boasts over 80 percent penetration in digital payments, leveraging various major technological advancements that position the largest urban area as a testbed for fintech and e-commerce solutions.

Elisa Sutanudjaja, Director of the Rujak Center for Urban Studies, stated:

Urban Growth Challenges

The BRICS joining of Indonesia gives demographic weight to Southeast Asia and in fact it is already enhancing the bloc in terms of influencing future growth patterns because of a series of major strategic initiatives. iDEA and the Indonesia Fintech Association will organize a strategic meeting in this month as part of the National Fintech Month 2025 which will aim at aligning various significant policy frameworks. There are a few challenges associated with the urban population growth such as congestions and flooding issues which have been quite pronounced of late.

In fact, the UN estimates that there will be 10 million individuals in the region by the year 2050, changing many of the major infrastructure needs. The changing global city rankings highlights how the biggest urban centre in Jakarta is the hub of economic activity in Indonesia and it is establishing itself as a key destination to investors across the globe, as Indonesia becomes part of the BRICS, enhancing the international relationships in several key areas.