Indonesia Q4 GDP Growth Highest in Over 3 Years

2026-02-05 04:16 By Chusnul Chotimah 1 min. read

Indonesia’s GDP advanced 5.39% yoy in Q4 2025, accelerating from 5.04% in Q3 and surpassing market expectations of 5.01%.

It was the strongest yearly growth since Q3 2022, boosted by solid private consumption (5.11% vs 4.89% in Q3) on continued government support measures and lower borrowing costs, even as government spending slowed (4.55% vs 5.66%).

Also, fixed investment gained traction (6.12% vs 5.04%).

However, net trade was less supportive, with export growth sharply easing (3.25% vs 9.14%) while imports picked up (3.96% vs 0.86%).

By sector, output quickened in agriculture, forestry and fishing (5.14% vs 4.93%), wholesale/retail trade (6.07% vs 5.46%), transport and warehousing (8.98% vs 8.62%), and finance and insurance (7.92% vs 0.77%).

For the full year, GDP rose 5.11%, below the government’s 5.2% target, reflecting the impact of natural disasters in three provinces, though still the strongest annual growth in three years.

For 2026, the economy is expected to grow by 5.4%.



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Indonesia Q4 GDP Growth Highest in Over 3 Years
Indonesia’s GDP advanced 5.39% yoy in Q4 2025, accelerating from 5.04% in Q3 and surpassing market expectations of 5.01%. It was the strongest yearly growth since Q3 2022, boosted by solid private consumption (5.11% vs 4.89% in Q3) on continued government support measures and lower borrowing costs, even as government spending slowed (4.55% vs 5.66%). Also, fixed investment gained traction (6.12% vs 5.04%). However, net trade was less supportive, with export growth sharply easing (3.25% vs 9.14%) while imports picked up (3.96% vs 0.86%). By sector, output quickened in agriculture, forestry and fishing (5.14% vs 4.93%), wholesale/retail trade (6.07% vs 5.46%), transport and warehousing (8.98% vs 8.62%), and finance and insurance (7.92% vs 0.77%). For the full year, GDP rose 5.11%, below the government’s 5.2% target, reflecting the impact of natural disasters in three provinces, though still the strongest annual growth in three years. For 2026, the economy is expected to grow by 5.4%.
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