Indonesia's Economy Soars: Second-Highest Growth in G20

Indonesia's Q1 2025 Economic Performance Outshines Global Giants

Jakarta - Indonesia witnessed a remarkable economic performance in the first quarter of 2025, achieving the second-highest year-on-year (yoy) growth among G20 nations. The country's economy expanded by an impressive 4.87 percent during this period, trailing only behind China, which reported a 5.4 percent growth.

Coordinating Minister for Economic Affairs, Airlangga Hartarto, announced the positive figures during a press conference in Jakarta on Monday. He highlighted that Indonesia's economic growth outpaced several other nations, including Malaysia (4.4 percent), Singapore (3.3 percent), and Spain (2.9 percent).

However, the Minister also noted that Indonesia's growth still lagged behind Vietnam, which led the ASEAN region with a 6.93 percent yoy growth during the same period.

In stark contrast, several countries experienced economic contractions. South Korea and Germany saw annual declines of 0.1 percent and 0.2 percent yoy, respectively.

"We will monitor developments in the next quarter. It is because the state budget will start to be spent in the next quarter, which will help to sustain economic growth," Hartarto added, hinting at further positive trends.

Statistics Indonesia (BPS) confirmed the 4.87 percent yoy growth for the first quarter of 2025. The Gross Domestic Product (GDP) at current prices (ADHB) reached Rp5,665.9 trillion, while GDP at constant prices (ADHK) hit Rp3,264.5 trillion.

Key sectors driving Indonesia's GDP included manufacturing, trade, agriculture, construction, and mining, collectively contributing 63.96 percent to the national GDP.

Adding to the positive economic news, the rupiah appreciated by seven points, or 0.04 percent, against the US dollar on Monday morning, moving from Rp16,438 to Rp16,431 per US dollar.