Indonesia's ambassador to Switzerland submitted a letter from President Joko Widodo to the International Olympic Committee (IOC) last week.
"The IOC has acknowledged Indonesia's capabilities during the Asian Games and Asian Paragames of 2018," the Antara news agency quoted Ambassador Muliaman D. Hadad as saying.
"We feel that is a strong foundation."
A senior official in the coordinating ministry for human development and culture, Gunawan, who goes by one name, confirmed the bid.
If Southeast Asia's most populous nation wins the opportunity to host the summer Olympics, it would become the fourth Asian country to do so, after Japan, China and South Korea. The IOC will pick the 2032 host by the year 2025.
Tokyo is to host the next Summer Olympics in 2020, with Paris holding the 2024 Games and Los Angeles confirmed to host the event four years later.