By: Syaifullah Ahmad)
Amid ongoing global economic uncertainty, the Indonesian public has reason to remain optimistic as the national economy continues to hold steady. Various indicators show that Indonesia’s economy has remained resilient, even achieving growth in several strategic sectors.
This achievement is inseparable from the government’s consistent efforts over the past year to maintain fiscal stability, strengthen household purchasing power, and ensure that the industrial sector continues operating despite global pressures.
One key indicator reflecting national economic resilience is the performance of the manufacturing sector. The latest data shows that Indonesia’s Manufacturing Purchasing Managers’ Index (PMI) in March 2026 stood at 50.1. Although slightly lower than the previous month, the figure remains above the 50 threshold, indicating that the industrial sector is still in an expansion phase. This suggests that national production activity continues to run and withstand various global challenges.
Director General of Economic and Fiscal Strategy at the Ministry of Finance, Febrio Kacaribu, assessed that Indonesia’s manufacturing sector remains resilient due to strong domestic demand and stable performance among key trading partners. Domestic demand has become the primary pillar sustaining industrial activity, even as external pressures intensify.
Global pressures are indeed unavoidable. Geopolitical conflicts, rising energy prices, and disruptions in international supply chains pose challenges experienced by nearly all countries. However, Indonesia has demonstrated relatively strong resilience. While many countries are experiencing contraction in their industrial sectors, Indonesia has managed to remain in expansion territory, sending a positive signal for the national economy.
Strong domestic consumption is one of the main factors supporting economic stability. This is reflected in the Real Sales Index, which grew by 6.9 percent year-on-year. The increase is evident in rising car sales by 12.2 percent, cement sales by 5.3 percent, and continued expansion in electricity consumption within the industrial and business sectors.
In addition, public confidence in economic conditions remains high. The Consumer Confidence Index was recorded at 125.2, indicating that the public maintains a positive perception of both current economic conditions and future prospects. This stability in confidence is the result of government policies that have successfully maintained price stability and purchasing power over the past year.
Minister of Industry Agus Gumiwang Kartasasmita stated that the resilience of the manufacturing sector amid global pressures is an achievement worth appreciating. According to him, this reflects the strong resilience of Indonesia’s industrial sector despite facing significant domestic and external challenges.
Compared to other countries, Indonesia’s position in the manufacturing PMI index remains competitive. Indonesia is among the group of countries in Asia and Southeast Asia that continue to show expansionary performance. This demonstrates that the national industry remains capable of competing and maintaining growth momentum amid global uncertainty.
Agus Gumiwang Kartasasmita emphasized that the government will continue to collaborate with various stakeholders to ensure the industrial sector remains active and competitive. He noted that manufacturing is the backbone of the national economy and must be safeguarded to support economic growth and job creation.
Meanwhile, Coordinating Minister for Economic Affairs Airlangga Hartarto assessed that Indonesia’s economic condition remains strong. He stated that the national economy continues to move toward a more modern and efficient system, with stability maintained despite global dynamics.
As part of these efforts, the government has implemented various efficiency policies, including digital transformation and flexible working arrangements for civil servants. A work-from-home policy for one day per week has been introduced to improve efficiency while reducing state expenditures. Additionally, restrictions on the use of official vehicles and reductions in official travel have been implemented as part of more disciplined budget management.
Despite adjustments in working patterns, the government ensures that public services continue to operate optimally. Healthcare, security, and other strategic sectors remain fully operational, while the education sector continues face-to-face learning to maintain educational quality.
From a fiscal perspective, the State Budget (APBN) remains in a safe and controlled condition. The government uses the budget as a key instrument to mitigate the impact of global turbulence. Through disciplined fiscal management, the government has been able to maintain economic stability while protecting purchasing power through various priority programs, including energy compensation.
Indonesia’s current economic resilience is the result of consistent and well-directed policies. The maintained stability not only reflects economic strength but also demonstrates that the government’s strategic measures over the past year have delivered tangible results. Therefore, public support remains essential to ensure that the national economy continues to grow and stays resilient in facing future global challenges.
*) The author is an economic policy observer
