TheJakartaPost
Please Update your browser
Your browser is out of date, and may not be compatible with our website. A list of the most popular web browsers can be found below.
Just click on the icons to get to the download page.
GDP growth drops below 5% as consumer spending loses steam
Change text size
Gift Premium Articles
to Anyone
Share the best of The Jakarta Post with friends, family, or colleagues. As a subscriber, you can gift 3 to 5 articles each month that anyone can read—no subscription needed!
Coordinating Economic Minister Airlangga Hartarto briefs reporters on the development of the third-quarter gross domestic product (GDP) growth at his Jakarta office on Nov. 5, 2024. (JP/Deni Ghifari)
I
ndonesia’s gross domestic product (GDP) growth has slowed down every quarter this year on the back of a slowdown in household spending, which economists attribute to weakening purchasing power.
The country’s economic output increased just 4.95 percent year-on-year (yoy) in this year’s third quarter, according to Statistics Indonesia (BPS) data published on Tuesday.
In the first three months of 2024, the economy logged annual growth of 5.11 percent, which was followed by 5.05 percent the following quarter.
That brings GDP growth over the first nine months to 5.03 percent yoy.
“There was no seasonal factor such as long holidays or religious festivities in the third quarter,” BPS interim head Amalia Adininggar Widyasanti explained in a press briefing on the latest data release, noting that Indonesia’s GDP relied heavily on household spending.
Consumer spending tends to get a nationwide boost from festive seasons like the Ramadan and Idul Fitri period or Christmas and New Year.
