Indonesia is the largest country in South East Asia region. Having population of more than 240 million, which is growing steadily, Indonesia is a really promising market. The large number of population create huge demand for goods and services. As a result, the GDP growth of the country is driven mainly by domestic consumption.

Indonesia has only one stock exchange, the Indonesia Stock Exchange (IDX), which is based in Jakarta, the capital city. IDX has listed 399 public companies, with market capitalization reached about $250 billion in April 2010.

Below is a list of several blue chip stocks in IDX that an emerging market investor should be aware of.

• Telekomunikasi Indonesia, or Telkom (NYSE: TLK) (IDX:TLKM). Telkom is the  largest telecommunication group in Indonesia which offers both fixed line and fixed wireless telephone, data and internet services. Telkom also offers mobile cellular services through its subsidiary, Telkomsel.
• Unilever Indonesia (IDX:UNVR).  The largest consumer goods company in Indonesia that was founded during the Dutch’s occupation in 1933.
• Astra International (IDX:ASII). The leading automotive company which also engages in other business lines: agribusiness, information technology, financial services, heavy equipment, mining and energy.
• Indofood (IDX:INDF). A total food solutions company, producer of the most popular instant noodle brands in Indonesia
• Perusahaan Gas Negara (IDX:PGAS).  A state owned company that engages in transmission and distribution of natural gas to residential and industrial customers.

This concludes part 1 of Investing in Indonesia Stock Market. In the next part we will look at how an American can invest in Indonesia stock market.