| Indonesia has been undergoing a process of rapid urbanization that is expected to continue in the future. As with many other developing countries, Indonesia's provision of urban facilities and services has not kept pace with the increases in the urban population. Thus, Indonesia has been faced with enormous backlogs as well as the need to build urban infrastructure and provide urban infrastructure services for the future increases in the urban population.;The main objective of this study is to examine the process of Indonesia's urbanization between 1971 and 1990; and to predict, for the period 1990-2020, the future dynamics of urbanization associated with the change in distribution of the urban population and urban settlements, the relationships among city size, and the function cities perform; and to estimate the need for future urban infrastructure services and investments to accommodate the increasing demands resulting from urban population growth and increasing real income per capita.;The hypothesis of this study is that, as technology changes, productivity increases, real income rises, and the percentage of the population that is urban becomes greater, the urban system will expand--an enormous number of cities of various sizes will be added--and the need for infrastructure services as intermediate and final consumption goods will increase remarkably.;Total population is projected, the percent of the population that is urban is projected, the urban population is distributed over a hierarchy of urban places. Forecasts are made of the increment of urban population, new urban settlements above 10,000 population, additional land requirements for urban areas, and new infrastructure of various kinds to meet the needs of the projected urban population.;The empirical findings are that the urbanization process in Indonesia has been proceeding at a rapid pace, and the set of urban settlements has become more concentrated in the largest cities. Over the next three decades, it is expected that the set of urban settlements will become even more concentrated in the largest cities. A great number of smaller places will be added, but not as many as expected. As the urban population increases and real income rises, the need for infrastructure investments, including urban land areas, will increase enormously and exceed the government budget available for infrastructure investments. |
