Jakarta – The government continues to emphasize that domestic consumption is the main pillar in driving national economic growth.
The Minister of Investment and Downstream and Head of BKPM, Rosan Roeslani, stated that household consumption currently contributes more than half of Indonesia’s Gross Domestic Product (GDP).
“The contribution of household consumption reaches 54 percent. So, domestic consumption is still the main pillar of our economic growth,” said Rosan.
On the same occasion, Rosan revealed that the government has targeted an investment of IDR 1,905 trillion in 2025.
“The total investment from 2025 to 2029 is approximately IDR 13,032 trillion. The hope is that this investment will not only create quality jobs, but also become a driving force for economic growth,” he explained.
Acting Head of the Central Statistics Agency (BPS), Amalia Adininggar Widyasanti, confirmed that household consumption is the largest component of expenditure throughout 2024.
“The increase in public mobility can be seen from the increase in communication traffic, the number of passengers on rail, sea, and air transportation,” said Amalia.
She added that consumption also grew in the restaurant and hotel sectors along with the increase in tourism activities during school holidays and religious holidays. According to her, this shows the strength of domestic consumption as an indicator of economic resilience.
In the midst of global conditions that are still full of uncertainty, focusing on domestic consumption is considered the most realistic strategy to maintain growth momentum. The government also continues to strengthen support for MSMEs as the backbone of the people’s economy.
By strengthening the domestic demand side, economic stability is expected to be maintained sustainably.
Chairman of the Indonesian Chamber of Commerce and Industry, Anindya Bakrie, said that domestic consumption contributed around 60 percent of Indonesia’s economic growth which reached 5.03 percent in 2024.
“Domestic consumption must be maintained, especially because 70 percent comes from the upper middle class and upper class. They are the ones who drive spending,” he said.
To maintain purchasing power, the government has launched various early-year programs such as airline ticket discounts, HARBOLNAS 2025, EPIC Sales, BINA Discounts, and food price stabilization, as an effort to encourage public consumption amid global uncertainty.
