BPS: Indonesia’s Economy Grows 5.29% in Q2 2026

BPS: Indonesia’s Economy Grows 5.29% in Q2 2026. (Picture source: YouTube/BPS)

JAKARTA, Jakartaweekly.com—Indonesia’s economy expanded 5.29 percent year-on-year (y-o-y) in the second quarter of 2026, according to data released by Statistics Indonesia (BPS). On a quarterly basis (q-o-q), the economy grew 3.73 percent, while cumulative growth for the first half of 2026 reached 5.45 percent compared with the same period last year.

In its Official Statistics Release published on Wednesday, August 5, 2026, BPS reported that Indonesia’s Gross Domestic Product (GDP) at current prices reached Rp6,552.1 trillion in the second quarter of 2026, while GDP at constant 2010 prices stood at Rp3,576.2 trillion.

On an annual basis, economic growth was supported by nearly all business sectors. The Electricity and Gas Supply sector recorded the strongest growth at 10.81 percent, followed by the Accommodation and Food Service Activities sector at 10.60 percent.

Meanwhile, the Manufacturing sector—the largest contributor to the national economy—expanded 4.52 percent.

From the expenditure side, all major components posted growth. Government Final Consumption Expenditure recorded the highest increase at 15.97 percent.

It was followed by Final Consumption Expenditure of Non-Profit Institutions Serving Households (NPISHs) at 6.93 percent, Gross Fixed Capital Formation (GFCF) at 6.87 percent, Household Final Consumption Expenditure at 5.06 percent, and exports of goods and services at 4.13 percent. Meanwhile, imports of goods and services, which are deducted in GDP calculation, increased 8.82 percent.

BPS also noted that Indonesia’s GDP structure on the expenditure side continued to be dominated by household consumption, which accounted for 53.32 percent of the national economy.

The next largest contributors were Gross Fixed Capital Formation (GFCF) at 29.36 percent, exports of goods and services at 23.13 percent, and government consumption expenditure at 7.57 percent.

Regionally, Java remained the largest contributor to Indonesia’s economy, accounting for 56.47 percent of national GDP while posting 5.65 percent year-on-year growth.

The strongest regional growth was recorded in Bali and Nusa Tenggara, at 6.10 percent, followed by Java at 5.65 percent, Sulawesi at 5.53 percent, Sumatra at 5.06 percent, Kalimantan at 4.10 percent, and Maluku and Papua at 1.36 percent.

For the first half of 2026, Indonesia’s economy grew 5.45 percent compared with the same period in 2025. By industry, the Accommodation and Food Service Activities sector recorded the highest growth at 11.83 percent, while on the expenditure side, Government Final Consumption Expenditure posted the strongest growth at 18.62 percent.

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