Indonesia's economy set to maintain over five percent growth in Q2

Antara NewsState / PublicCenter5 hr. ago

Indonesia's economy is projected to grow at over five percent in the second quarter of 2026, according to Coordinating Minister for Economic Affairs Airlangga Hartarto. The government reported first-quarter growth of 5.61 percent year-on-year, surpassing its target of five percent. This growth was driven by strong investment and government incentives, with Gross Fixed Capital Formation expanding 5.96 percent due to private-sector investment and infrastructure spending. Investment reached Rp1,010.6 trillion in the first half of 2026, up 7.2 percent from the previous year. The government is addressing regulatory barriers through the P2SP task force to boost investment and public spending, which is expected to drive growth in the third and fourth quarters.

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