Growth of 5.12 Percent Proves Indonesia’s Economic Resilience Under Prabowo’s Administration
Jakarta – Indonesia’s economy is showing a positive trend amid global pressures. The Central Statistics Agency (BPS) reported that national economic growth reached 5.12 percent year-on-year (yoy) in the second quarter of 2025, marking the best performance in recent quarters.
BPS Deputy for National Accounts and Statistical Analysis, Moh. Edy Mahmud, revealed that gross domestic product (GDP) at current prices in the period was recorded at IDR 5,947 trillion, while GDP at constant prices reached IDR 3,396.3 trillion.
“Thus, Indonesia’s growth in Q2 2025 compared to Q2 2024 rose by 5.12 percent,” Edy stated.
This growth also improved compared to Q1 2025, which recorded only 4.87 percent. On a quarter-to-quarter (qtq) basis, the economy grew 4.04 percent, indicating a strong recovery after facing pressures earlier in the year.
Responding to the achievement, Coordinating Minister for Economic Affairs Airlangga Hartarto said that President Prabowo Subianto’s strategy of focusing on productive sectors and digital transformation has borne fruit.
“Q2-2025’s economic growth of 5.12% is a strong signal that Indonesia’s economy remains resilient. This is the highest in recent quarters,” Airlangga remarked.
He explained that growth was supported by the performance of publicly listed companies, particularly in the retail sector. The shift in consumer spending toward digital channels has further strengthened the recovery of the industrial sector. Convenience stores, kiosks, and e-commerce have become the main pillars of changing shopping behavior.
“Impulse buying still exists, but the retail sector has become increasingly structured digitally. The digital economy is now a vital pillar, with Indonesia accounting for nearly 40 percent of ASEAN’s digital market,” Airlangga said.
To maintain this momentum, the government has prepared various incentives such as the Labor-Intensive Industry Credit scheme and the optimization of export proceeds (DHE). In addition, economic cooperation is being expanded through the Comprehensive Economic Partnership Agreement (CEPA) and Free Trade Agreement (FTA).
Bank Indonesia’s (BI) Executive Director of the Communications Department, Ramdan Denny Prakoso, emphasized that BI also projects the economy to grow within the range of 4.6 to 5.4 percent throughout 2025. Growth will be driven by household consumption, investment, and a significant increase in exports.
“Overall growth in 2025 is projected to be in the range of 4.6 to 5.4 percent,” Ramdan said.
Measured government policies under President Prabowo are considered successful in maintaining purchasing power, encouraging investment, and opening broader opportunities for export markets.
