Indonesia GDP Growth Accelerates in Q3

The Indonesian economy advanced 4.73 percent year-on-year in the September quarter of 2015, up from 4.67 percent expansion reported in the previous period but fractionally below market consensus. A faster expansion in government spending and investment offset a further decline in exports while private consumption was flat.

On the expenditure side, private consumption expanded by 4.96 percent year-on-year, following a 4.97 percent growth in the preceding quarter. Government spending rose by 6.56 percent, accelerating from  a 2.28 percent expansion in the June quarter. Gross fixed capital formation also grew 4.62 percent, up from a 3.55 percent rise in the previous three months. Private non-profit expenditure expanded by 6.39 percent, reversing from a 8.25 percent in the preceding quarter. In contrast, exports fell 0.69 percent, following a 0.13 percent decline in the second quarter. Imports  also dropped by 6.11 percent, following a 6.85 percent contraction in the three months to June.

On the production side, mining and quarrying sector contracted by 5.64 percent year-on-year, following a 5.87 percent drop in the second quarter. In contrast, information and communication sector recorded the highest annual growth rate of 10.83 percent, followed by finance & insurance (+10.35 percent); education (+8.25 percent); other services (+8.15 percent); business services (+7.61 percent); water and waste management (+7.58 percent); transport and storage (+7.07 percent); construction (+6.82 percent); social services (+6.49 percent); healthcare (+6.49 percent); real estate (+4.78 percent); hotel and restaurants (+4.53 percent); manufacturing (+4.33 percent); wholesale and retail trade (+1.49 percent) and electricity and gas (+0.56 percent).

For 2015, the country's economy is expected to grow less than 5.0 percent, mostly due to weakening demand and cooling commodity prices. In 2014, Indonesia's GDP grew by 5.02 percent, slowing from a 5.58 growth in a year earlier.

On a quarter-on-quarter basis, the economy expanded by 3.21 percent, slowing from a 3.78 percent growth in the previous quarter. Private consumption grew 3.66 percent, accelerating from a 1.10 percent expansion in the preceding quarter. Government spending rose 9.27 percent, slowing from a 32.05 percent expansion in the June quarter. Private non-profit spending also grew by 3.64 percent, after registering a 2.39 percent rise in the previos three months. Investment expanded by 3.38 percent, accelerating from a 3.10 percent. Exports slightly fell by 0.02 percent from a 1.79 percent growth Imports also dropped by 4.40 percent from a 1.04 percent increase in the preceding quarter.

Indonesia GDP Growth Accelerates in Q3

Statistics Indonesia l Rida Husna |
11/5/2015 5:23:06 AM