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September 30, 2025Research Horizon

A Longitudinal Study on Deforestation Trends in Indonesia from 1996 to 2022

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Longitudinal analysis reveals the relationship between GDP and deforestation in Indonesia, suggesting policy implications.

Deforestation initially increased with GDP growth but declined after a turning point of USD 2,443.41 million.
The study supports the environmental kuznets curve hypothesis, indicating an inverted U-shaped relationship with GDP.
Population density and renewable energy consumption significantly reduced deforestation rates, while FDI had an insignificant positive effect.
Stronger forest governance is needed post-economic development to ensure sustainable management and combat illegal activities.

Khoiriyanah et al. (2025) studied this question.

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