The wisdom of BlackBerry's new strategy of seeking growth in emerging markets will be put to the test in Indonesia where it has launched a new smartphone for that market.

BlackBerry later this week will market a budget handset called the "Z3 Jakarta Edition" in Southeast Asia's biggest economy. BlackBerry has retained a loyal customer base in Indonesia due to its former reputation as a top-notch business phone and the popularity of its BBM messaging service.

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BlackBerry said the smartphone comes with a 5-inch touchscreen and a long battery life. There's even a limited edition with the word "Jakarta" inscribed on the back of the phone.

The Z3 is expected to retail at 2,199,000 rupiah or $190, a price roughly comparable to mid-range phones made by other Chinese brands.

The company hopes the Indonesian model will be a hit. While designed for Indonesia, the Z3 will be sold in other emerging markets later on.

The handset is the first to be produced in partnership with Taiwan's Foxconn Technology Group, the world's largest electronics contract manufacturer.

It is the first new BlackBerry smartphone since CEO John Chen became boss of the company last November. Chen is regarded as a turnaround expert who the new owners expect will reverse BlackBerry's sagging fortunes.

During the launch of the Z3 in Jakarta, Chen said BlackBerry intends to re-pivot to make sure that its customers are taken care of. He said the phone was codenamed "Jakarta" during production, noting that "Jakarta is a very, very strong market for the BlackBerry."

Analysts see the Z3's performance in Indonesia as a key test if BlackBerry's new emerging market's strategy will work. Others, however, are skeptical of the new handset's potential, noting that BlackBerry's market share has shrunk significantly in the past year.

One analyst even described the Z3 as BlackBerry's final stand in the Indonesian market.

Market research firm IDC said BlackBerry's market share had plummeted from 40 percent in 2011 to a mere five percent in the fourth quarter of 2013. Unrelenting competition from Samsung, Apple's iPhones and devices running the Android operating system are credited with eliminating BlackBerry's market share.

TagsBlackberry Z3, Indonesia