Mr. Obama lived in Indonesia from 1967 to 1971, when he was a boy. He lived and attended elementary school not far from where the statue now stands.
The statue, at left, shows the child version of the president smiling as he looks at a butterfly poised on his thumb.
It was erected with the goal of inspiring Indonesian children.
"We welcome the statue, which is designed to give Indonesian children the spirit to reach their dreams," Central Jakarta Mayor Sylviana Murni said, according to the Associated Press.
The statue reportedly cost more than $10,000 and was paid for by patrons, a television station and a charity.
When he lived in Indonesia, as the AP notes, Mr. Obama had a pet monkey and saw baby crocodiles swimming in a pond near his house. He also got a first-hand view of the country's poverty.