Indonesia's Economic Indicators Show Continued Strengthening, Says Finance Minister
Translated from Indonesian, summarized and contextualized by DistantNews.
At a glance
- Indonesia's Finance Minister Purbaya Yudhi Sadewa highlighted strengthening economic indicators, including an expansive Manufacturing PMI, robust liquidity growth, and banking credit expansion.
- He emphasized that this economic growth translates into improved community welfare through job creation and poverty reduction, citing 1.9 million new jobs and a decrease in the poverty rate.
- Purbaya also detailed the government's eight priority national programs aimed at achieving inclusive and sustainable development, covering areas like food sovereignty, energy independence, education, and infrastructure.
Indonesia's economic growth continues to strengthen and benefit the community, according to Finance Minister Purbaya Yudhi Sadewa. He pointed to several key indicators, including an expansive Manufacturing Purchasing Managers Index (PMI) at 50.0, annual economic liquidity growth (M0) of 14.8 percent, and banking credit growth of 11.5 percent.
"Most crucially, this robust economic growth translates directly into an improvement in the real welfare of the wider community through the improvement of the labor market," Purbaya stated in an official release. The nation's external position is also strong, supported by a 72-month trade balance surplus and foreign exchange reserves of $144.9 billion, covering 5.6 months of imports and debt payments.
The positive economic trend is reflected in the labor market, with approximately 1.9 million new jobs created, reducing the open unemployment rate to 4.68 percent in 2026. The poverty rate also saw a decrease, falling from 8.57 percent in September 2024 to 8.25 percent in September 2025.
To ensure tangible development results, the government has established eight clusters of national priority programs. These include food sovereignty, energy and water independence, education, health, and infrastructure development. The government is also accelerating structural transformation through downstream and industrialization programs, strengthening the people's economy, and poverty alleviation initiatives. These efforts are further supported by advancements in defense, law enforcement, governance, digitalization, and economic diplomacy.
Most crucially, this robust economic growth translates directly into an improvement in the real welfare of the wider community through the improvement of the labor market.
Originally published by Tempo in Indonesian. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.