The International Monetary Fund (IMF) revised its projections for Indonesia's economic growth for 2026 and 2027 to 5.1% in its World Economic Outlook (WEO) update released in January 2026. These figures are 0.2 percentage points higher for 2026 and 0.1 percentage points higher for 2027 than the October 2025 projections. However, a number of business risks and challenges still loom over the national economy.
According to Reuters, Indonesia's projection increase aligns with the improving global economic outlook. The IMF now pegs global economic growth at 3.3% in 2026, a 0.2 percentage point increase from its October 2025 forecast. Global growth is maintained at 3.2% for 2027. "The projection shows an upward revision for 2026, while there is no change for 2027 compared to the October 2025 World Economic Outlook," the IMF wrote in its latest report. "The projections show an upward revision for 2026, while there are no changes for 2027 compared to those presented in the October 2025 World Economic Outlook," the IMF wrote in its latest report.
The IMF assesses that global economic resilience is supported by investment in technology, particularly artificial intelligence (AI), fiscal and monetary stimulus, and the private sector's ability to adapt to changing trade policies.
