Jakarta — The government confirmed that the fiscal spending stimulus in the third quarter has provided a significant boost to the projected economic growth in 2025. This expansive yet measured fiscal policy is a key instrument in maintaining national stability while strengthening the foundation of economic recovery.
Finance Minister Purbaya Yudhi Sadewa stated that the third-quarter economic performance demonstrated the effectiveness of state budget management, which closely coordinated with monetary and financial sector policies.
“The state budget plays a role in maintaining public purchasing power and supporting the business sector to be more competitive, especially globally. Fiscal support is also provided through the prudent allocation of Rp 200 trillion in state funds to ensure adequate economic liquidity, including non-fiscal support for debottlenecking to achieve higher, sustainable investment,” he said.
Meanwhile, Coordinating Minister for Economic Affairs Airlangga Hartarto stated that the Indonesian economy has once again demonstrated strong resilience and competitiveness amid global uncertainty. According to data from the Central Statistics Agency (BPS), Indonesia’s Gross Domestic Product (GDP) grew by 5.04% year-on-year in the third quarter of 2025, remaining on track to achieve its 5.2% annual growth target.
“GDP growth of 5.04% (yoy) in the third quarter of 2025 demonstrates the fundamental strength of the national economy, driven by solid household consumption, increasing investment, and well-coordinated fiscal and monetary policies. The government is committed to maintaining this momentum by supporting the productive sector and industrial downstreaming, accelerating state spending, and strengthening social protection,” said Airlangga.
Optimism about the Indonesian economy is also reflected in the IMF report, which has raised its projections for Indonesia’s economic growth for 2025 and 2026, making Indonesia one of the “bright spots” amid the global economic slowdown.
Similarly, Moh. Edy Mahmud, Deputy for Balance Sheet and Statistical Analysis at the Statistics Indonesia (BPS), also stated that amidst the current global economic uncertainty, Indonesia’s economy remains stable at around five percent. The Central Statistics Agency (BPS) recorded 5.04 percent year-on-year (yoy) growth in the third quarter of 2025.
“Indonesia’s economic growth in the third quarter of 2025, compared to the third quarter of 2024, or year-on-year, grew by 5.04 percent. Compared to the third quarter of 2025, or on a quarter-to-quarter basis, it grew by 1.43 percent. On a c-to-c basis, the Indonesian economy grew by 5.01 percent from January to September 2025,” said Edy.
The government will continue to strengthen cross-ministerial coordination to ensure optimal spending realization in 2025. With an adaptive fiscal strategy and support from the public and the business sector, the government is optimistic that Indonesia’s economy can grow more inclusively and sustainably.
