The Indonesia Competitiveness Report 2011 is being released at the occasion of the 20th annual World Economic Forum on East Asia and at a critical juncture for Indonesia’s economic future. It is natural to predict a bright future for the country—and for the region as a whole, which is expected to contribute some 50 percent to global GDP growth in the next five years. Yet, as this Report describes, a number of challenges remain, which must be addressed in order to ensure that Indonesia sustains the recent positive momentum into the future.