Building resilience with nickel: mining revenues and subnational spending in Indonesia

Alia Yusuf and Herlina Utamawati

LSE Research Online Documents on Economics from London School of Economics and Political Science, LSE Library

Abstract: Indonesia’s downstream integration into global nickel supply chains has had significant economic benefits, strengthening the country’s position in the global energy transition and increasing the Government’s fiscal revenues. At the same time, nickel-producing regions face heightened exposure to climate-related and environmental risks, including flooding, ecosystem degradation and pollution. These dynamics make growing demands of subnational governments, which play a central role in disaster response and climate adaptation. Best practices from other commodity-driven economies offer some useful policy lessons for Indonesia, ranging from stakeholder coordination platforms to revenue stabilisation funds.

JEL-codes: J01 N0 R14 (search for similar items in EconPapers)
Pages: 42 pages
Date: 2026-07
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Persistent link: https://EconPapers.repec.org/RePEc:ehl:lserod:140368

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