[Jakarta, November 28, 2025] – In a historic demographic shift, Jakarta, the capital of Indonesia, has officially overtaken Tokyo to become the world’s most populous city. According to the United Nations’ World Urbanisation Prospects 2025 report released this week, the Indonesian metropolis is now home to an estimated 42 million people.

This development marks the end of Tokyo’s decades-long reign as the world’s largest urban agglomeration. The Japanese capital has slipped to third place with 33 million residents, while Dhaka, Bangladesh, has risen to the second spot with approximately 37 million people.

The Shift in Global Rankings

The UN report attributes this major reshuffle to a new, standardized methodology for defining “urban areas,” which now better accounts for urban sprawl and the functional connectivity of satellite towns.

• Jakarta (Indonesia): 42 million
• Dhaka (Bangladesh): 37 million
• Tokyo (Japan): 33 million

While Tokyo’s population has plateaued due to Japan’s aging demographic, Jakarta and Dhaka have seen explosive growth driven by rural-to-urban migration and industrial expansion. The report highlights that nine of the world’s top 10 most populous cities are now in Asia, underscoring the continent’s dominance in global urbanization.

A City on the Edge: The “Sinking” Reality

While the population milestone is a testament to Jakarta’s economic magnetism, it exacerbates the city’s existential crisis. Jakarta is widely known as the “fastest-sinking city in the world,” with some northern areas subsiding by up to 25cm annually due to excessive groundwater extraction and the weight of its own infrastructure.

Combined with rising sea levels and chronic traffic congestion—which costs the economy billions annually—the sheer density of 42 million people has pushed the city’s infrastructure to its breaking point.

The Move to Nusantara

This demographic pressure validates the Indonesian government’s controversial but necessary decision to relocate the national capital. The new capital, Nusantara, is currently being constructed on the island of Borneo.

• Goal: To relieve the burden on Jakarta and spread economic activity outside of Java.
• Status: While Jakarta remains the business and financial heart of the country (and now the world’s largest city), the administrative transition to Nusantara is slowly underway to prevent total ecological collapse in the historic capital.

Future Projections

The UN report predicts that Jakarta’s reign at the top may be temporary. Dhaka is projected to overtake Jakarta by 2050, as Bangladesh’s urbanization rate continues to accelerate. Meanwhile, Tokyo is expected to fall further down the rankings as its population naturally declines.