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21 April 2025 (closed)
Jakarta Composite Index (6,445.97) +7.70 +0.12%
Below is a list with tagged columns and company profiles.
Latest Reports GDP
The long Idul Fitri holiday (that ends on 7 April 2025) somewhat disrupts our access to Indonesia’s macroeconomic data as much of the private and public sector is closed during this holiday (hence do not release any data during this period).
On Tuesday (18 March 2025), the Indonesia Stock Exchange (IDX) decided to temporarily suspend trading as the benchmark Jakarta Composite Index (IHSG) plunged 5 percent. Such trading halts target at stabilizing Indonesia's capital markets (as the rupiah was also dragged down by the capital outflows).
On 5 February 2025, the Statistical Agency of Indonesia (Badan Pusat Statistik, BPS) announced that Indonesia’s gross domestic product (GDP) was recorded at a growth rate of 5.03 percent year-on-year (y/y) in 2024. In another article in this month’s edition, we devote an analysis concerning Indonesia’s 2024 GDP growth.
On Wednesday 05 March 2025, Indonesia Investments released the February 2025 edition of its monthly report. The report discusses a range of national and international topics that impacted on Indonesia in the month of February 2025.
On Tuesday 4 February 2025, Indonesia Investments released the January 2025 edition of its monthly report. This report discusses key political, economic and social developments that unfolded in Indonesia in the month of January 2025.
On Friday 03 January 2025, Indonesia Investments released the December 2024 edition of its monthly report. The report presents a selection of subjects (related to the economy and politics of Indonesia) that were relevant in December 2024.
Albeit still at an admirable level, Indonesia’s economic growth rate fell slightly short of expectations in the third quarter of 2024 (Q3-2024). Based on the data released by Indonesia’s Statistical Agency (Badan Pusat Statistik, BPS) on 5 November 2024, Indonesia’s gross domestic product (GDP) grew by 4.95 percent year-on-year (y/y) in Q3-2024.
On Tuesday 05 November 2024 Indonesia Investments released the October 2024 edition of its monthly report, titled: "Eight President of Indonesia Enters Office – the Transition in Focus". It presents analyses of political, economic and social matters that were relevant in Indonesian society in October 2024.
The middle class plays an important role in the economic development of Indonesia. Typically, nations with large middles class grow faster for a combination of reasons. And so, if Indonesia wants to achieve its ambition of becoming a developed country by 2045, then a significant percentage of its population (preferably over 70 percent) needs to join the middle class in the next two decades.
On Friday 4 October 2024 Indonesia Investments released the September 2024 edition of its monthly report. The report discusses a range of economic, political and social topics to assess the state of the Indonesian economy.
Latest Columns GDP
It was a welcome surprise when Indonesia’s Statistics Agency (in Indonesian: Badan Pusat Statistik, or BPS) announced in early August that the country’s gross domestic product (GDP) expanded 5.27 percent year-on-year (y/y) in the second quarter of 2018.
Although overshadowed by the news of the devastating earthquake in Lombok, Statistics Indonesia (BPS) released the official Q2-2018 gross domestic product (GDP) growth figure of Indonesia earlier today. The economy of Indonesia expanded 5.27 percent year-on-year (y/y) in the second quarter of 2018. This growth pace exceeds our expectations although it is not enough to necessitate a revision to our full-year 2018 GDP growth forecast of 5.2 percent (y/y).
There are doubts whether Indonesia's gross domestic product (GDP) growth can reach 5.2 percent year-on-year (y/y) in full-year 2018 as Indonesia is experiencing a couple of major challenges. Challenges include the global trade war, the fragile rupiah, Bank Indonesia's higher benchmark interest rate, the current account deficit, and political tensions ahead of the 2019 legislative and presidential elections. Currently, Indonesia Investments' forecast for Indonesia's economic growth is set at 5.2 percent (y/y) in 2018.
There are signs that household consumption in Indonesia is rebounding ahead of this year's Idul Fitri holiday. This would be a great boost for Indonesia's overall economic growth as private consumption accounts for around 57 percent of the nation's total economic growth. One of the reasons why Indonesia's gross domestic product (GDP) growth has been stuck around the 5 percent (y/y) mark in recent years is subdued household consumption (which has fallen slightly below the 5 percent y/y mark).
The World Bank revised down its economic growth projection for Indonesia from 5.3 percent year-on-year (y/y) to 5.2 percent (y/y) for full-year 2018 amid the complex external environment: tightening monetary conditions, a potential global trade war, financial volatility, and geopolitical concerns. Such external factors put pressure on Indonesia's export performance, hence on domestic economic growth.
In the April 2018 edition of its East Asia and Pacific Economic Update, the World Bank is cautiously optimistic about economic growth in developing East Asia and Pacific (EAP). After a better-than-expected global economy in 2017, growth in developing EAP is expected to remain stable in 2018, reflected by solid prospects in Thailand and several commodity exporters, notably Indonesia. Domestic demand is estimated to remain robust in most of the region's economies and continue to underpin growth in 2018 and beyond. However, with economies operating close to their potential, price pressures are expected to rise.
The World Bank released the latest edition of its flagship publication Indonesia Economic Quarterly on Tuesday (27/03). The March 2018 edition of the report is entitled "Towards Inclusive Growth". In the report the World Bank is positive about Indonesia's economic outlook after seeing the nation's real gross domestic product (GDP) growth picking up at 5.2 percent year-on-year (y/y) in the fourth quarter of 2017 (accelerating from 5.1 percent y/y in the previous quarter).
At a special occasion at the Presidential Palace in Jakarta, Indonesian President Joko Widodo urged local banks to become more aggressive in terms of lending as credit disbursement in Indonesia's banking sector only reached IDR 4,782 trillion (approx. USD $349 billion) in 2017, hence growing by only a modest 8.3 percent year-on-year (y/y), thus unable to provide an optimal boost to domestic economic growth.
Rating and Investment Information, Inc (R&I), a Japan-based provider of credit ratings, investment appraisal and information services, announced that it has upgraded Indonesia's sovereign credit rating from BBB- (positive outlook) to BBB (stable outlook) per 7 March 2018. Last December, Fitch Ratings had already upgraded Indonesia's long-term foreign- and local-currency issuer default ratings to BBB (stable outlook), from BBB- previously.
In full-year 2017 the Indonesian economy expanded 5.07 percent year-on-year (y/y). Indonesia's Statistics Agency (BPS) announced on Monday morning (05/02) that the nation's gross domestic product (GDP) growth reached 5.19 percent (y/y) in the fourth quarter of 2017. These figures show a mixed picture.
