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View all search resultsGovt aims for 5.7 percent GDP growth in second quarter
The government believes it can push gross domestic product growth beyond the typical 5 percent rate in the second quarter despite unfavorable external conditions.
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Finance Minister Purbaya Yudhi Sadewa takes questions from reporters after the monthly budget press conference in Jakarta on Nov. 21, 2025. (Antara/Bayu Saputra)
T
he government believes it can push gross domestic product growth beyond the typical 5 percent rate for this quarter despite unfavorable external conditions due to the Middle East conflict.
Finance Minister Purbaya Yudhi Sadewa said in a media briefing on Friday that second-quarter growth “will be pushed toward” 5.7 percent, and to ensure this, “we will give the economy a push”.
The first quarter growth figure, which Statistics Indonesia (BPS) is set to announce next week, is widely expected to be above 5 percent, thanks to a seasonal consumer spending boost during Ramadan and the Idul Fitri holiday period.
A so-called base effect also supported first quarter annual growth, given that the GDP figure was compared with a relatively weak first quarter of 2025.
Purbaya said the government would monitor the economy and “provide stimulus” to prevent a slowdown. The push for higher growth could also include expedited government spending and improved budget management, said the minister.
Asked whether elevated prices of certain goods, such as liquefied petroleum gas (LPG) and cooking oil were a concern for growth in the second quarter, Purbaya said they would not automatically translate into slower growth, while the overall level of inflation was the more crucial factor for GDP growth.
Higher inflation drags down real GDP growth, as the rate is calculated after adjusting for increases in consumer prices to reflect the true change in economic output.
