This chapter examines how circular economy practices enhance business productivity in Indonesia. Using large-scale local data, it finds that higher circular it is consistently associated with improved firm productivity, with the strongest effects observed in agriculture, particularly in value added and labour productivity. The findings suggest that scaling circular models in agri-food systems should be prioritised, as the circular economy offers a productivity-enhancing and resilience-building pathway for Indonesia’s development.

Suggested Citation:

Rishanty, A., Juhro, S.M., Sylviani, E., Suryahadi, A., Li, D. (2026). Cultivating Circular Economy for Sustainability. In: Juhro, S.M., Harun, C.A., Rishanty, A., Hermawan, D. (eds) Sustainable Economy: The Indonesian Pathways. Springer, Singapore. https://doi.org/10.1007/978-981-92-1215-6_13