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Indonesia Economy Expands 5.04% in Q3 2025, Driven by Manufacturing and Household Spending

by Raidi
2025-11-05
in Economic
A A
Indonesia Economy

(YouTube/BPS Statistics)

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Jakarta, Indonesia Sentinel — Statistics agency (BPS) reported Indonesia economy grew 5.04% in the third quarter of 2025 compared to the same periode last year, supported by strong manufacturing output and steady household consumption.

On a quarterly basis, economic growth expanded 1.43% from the previous quarter.

The report was revealed by BPS Deputy for National Accounts and Statistical Analysis Moh Edy Mahmud. Edy said Indonesia’s nominal GDP at current prices reached 6,060 trillion rupiah ($375 billion) in the third quarter, up from 5,638.9 trillion rupiah in the same period last year.

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GDP at constant prices, which strips out inflation effects, stood at 3,444.8 trillion rupiah, compared with 3,279.5 trillion rupiah a year earlier.

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“Indonesia’s economic growth in the third quarter of 2025 reached 5.04% year-on-year,” Edy said in Jakarta, Wednseday (November 5).

Regionally, Sulawesi recorded the fastest growth at 5.84%, followed by Java at 5.17%. Together, these regions continued to drive the country’s overall economic performance.

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By sector, the main contributors to GDP were manufacturing, agriculture, trade, construction, and mining, which together accounted for roughly 65% of total output.

The manufacturing industry remained the biggest growth driver, particularly in food and beverage production, basic metals, and pharmaceuticals, including traditional medicines, as domestic and export demand strengthened.

From the expenditure side, all components posted positive growth in the third quarter. Household consumption, which makes up 53.14% of GDP, grew 4.89% year-on-year, reflecting resilient consumer spending.

The increase in household consumption was mainly supported by higher spending on transportation and communication, as well as on restaurants and hotels.

 

(Raidi/Agung)

Tags: BPSIndonesia Economic GrowthIndonesia newsStatistic Agency
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