Analysts are trying to assess whether Widodo will accelerate the cautious reform agenda of his first term and open up more areas to foreign investors, or even try to free up restrictive labour laws.
This will partly hinge on his ability to get laws through a newly elected parliament and to take on nationalist forces.
Widodo campaigned on his record of deregulation and improving infrastructure, calling it a step to tackling inequality and poverty in Southeast Asia's biggest economy.
But religion has also been a factor. Conservative Muslim groups have been increasingly influential.
Widodo, a moderate Muslim from Java island, had to burnish his Islamic credentials after smear campaigns and hoax stories accused him of being anti-Islam, a communist or too close to China, all politically damaging in Indonesia. He picked Islamic cleric Ma'ruf Amin, 76, as his running mate.
Prabowo, a former special forces commander who has links to some hardline Muslim groups, and his running mate, business entrepreneur Sandiaga Uno, pledged to boost the economy by slashing taxes and cutting food prices.