Heaptalk, Jakarta — Indonesia’s Central Bureau of Statistics (BPS) reported the country’s economic progress, attaining only 4.94% YoY in the third quarter (Q3) of 2023. This Indonesia’s economy output is lower than the earlier, reaching 5.17% YoY in the second quarter of 2023.
During the press conference in Jakarta (11/06), the Head of the Central Bureau of Statistics, Amalia Adininggar Widyasanti, conveyed, “Amidst the slowing global economy, climate change and declining prices of leading export commodities, Indonesia’s economic resilience is again reflected in economic growth of 4.94% annually, or growing by 5.05% cumulatively.”
Several factors have triggered this decline, such as a significant diminishment in export performance, reaching -4.26%, compared to the former of -2.97% in the second quarter. Based on her statement, exports of non-oil and gas goods, such as mineral fuels, fats, and electrical equipment, encountered a decrease. Export activity was also contracted on oil and gas goods, such as natural gas, oil products, and crude oil.
Further, according to the Gross Domestic Product (GDP) size at current prices, the Indonesian economy reached Rp5,296 trillion, or at constant prices in 2010 had reached Rp3,124 trillion. In terms of production, the Transportation and Warehousing Business Field experienced the highest growth of 14.74%. Besides, in terms of expenditure, the Consumption Expenditure Component of Nonprofit Institutions Serving Households (PK-LNPRT) experienced the highest growth of 6.21%.
However, Amalia also revealed multiple sectors contributed to the economic improvement. Based on her statement, the growth of people mobility and tourism has influenced this economic output, whereby the number of passengers in the entire transportation modes increased in this quarter, including the increase in rail transportation passengers (26.71%), sea transportation (11.12%), and air transportation (29.18%) on an annual basis.
Besides, the growth of foreign tourists’ arrival in the archipelago also uplifted by 64.87% in Q3 this year. The domestic tourists also increased to 13.35% due to the national and international events, mainly related to the 43rd ASEAN Summit agenda this year.
Multiple industries also contributed to this economic outlook, including the processing industry (1.06%), the basic metal industry (10.86%), the transportation equipment industry (7.31%), and the non-metallic minerals industry (7.2%).
“The major contributions to the gross domestic product according to the main business fields are the processing industry, agriculture, construction, trade, and mining, continuing the positive trend. This point also contributes to Indonesia’s GDP by 65.32%,” added Amelia.
Spatially, the Indonesian economy in almost all provinces experienced slowing growth YoY, whereby multiple regions in Java became the most significant contributor to the economy, reaching 57.12%, and the economic growth rate was 4.83% YoY.
