Indonesia Q3 GDP growth at 5.47%, beats expectations
Indonesia has contended with weaker investor sentiment this year amid heightened scrutiny of the government's fiscal plans and its broader policy directions.
Indonesia's economy grew by 5.47% in the third quarter of the year, surpassing market expectations, according to official data released on Thursday. This marks a stronger performance compared to the 5.29% growth recorded in the previous quarter. The Southeast Asian nation's economic expansion was driven by sectors such as manufacturing, particularly the processing of palm oil to produce fuel, as the government has expanded its mandatory biodiesel programme.
The 2026 state budget anticipates economic growth of 5.4%, though Finance Minister Suahasil Nazara believes the figure could exceed that target and reach 5.5% this year. The projected growth range set by Bank Indonesia, the country's central bank, sits between 4.9% and 5.7%. Despite the positive growth, central bank officials acknowledge the need for further strengthening of the domestic economy.
President Prabowo Subianto, who assumed office two years ago, has set an ambitious goal to raise economic growth to 8% by 2029.
Written by urgent.news from CNA - Business's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
Also reported by 2 other outlets
- Indonesia Q3 GDP growth at 5.47%, beats expectations channelnewsasia.com
- Indonesian Rupiah gains as Q3 GDP beats expectations fxstreet.com
