Entering mid-2024, the national economy of Indonesia is demonstrating stronger growth with a first-quarter growth rate of 5.11% year-over-year (yoy), higher than both Q1-2023 and Q4-2023, which were 5.04% (yoy). Coordinating Minister for Economic Affairs, Airlangga Hartarto, attributes this solid economic growth to positive assessments from various rating agencies, affirming Indonesia's economic resilience supported by stable and high growth rates. During the Economic Seminar of the Alumni Association of Kanisius College Jakarta (PAKKJ) on May 11, Airlangga highlighted that the Manufacturing Purchasing Managers’ Index (PMI), a leading economic indicator, remains in the expansionary territory at 52.9 points. This figure surpasses other countries such as China at 51.4, South Korea at 49.4, and Malaysia at 49 points. Regional economic growth also outpaced Q1-2023 in several areas, including Kalimantan, Maluku and Papua, as well as Bali and Nusa Tenggara. Notably, Maluku-Papua experienced a significant growth rate of 12.15%, driven by mining activities, while Java remains the highest contributor to the national GDP at 57.70%.
Capitalizing on sustained economic growth, the Government's Final Draft of the National Long-Term Development Plan (RPJPN) 2024-2045 envisions Indonesia Emas 2045. The targets for 2045 include achieving a nominal GDP of USD 9.8 trillion and a GNI per capita of USD 30,300. To attain High-Income Country status by 2045, annual economic growth must be driven to around 6-7%, accompanied by consistent investment growth. “To achieve a transformative economy, we must foster global cooperation. Hosting the G20 and being respected globally demonstrates our potential soft power in the G20 due to our international diplomatic and economic strength,” stated Airlangga. Besides its role in the G20 Presidency in 2022, Indonesia showcased its economic prowess globally through ASEAN Chairmanship in 2023 and participation in initiatives such as the Indo-Pacific Economic Framework (IPEF) and the Asian Zero Emission Community (AZEC). Strategic partnerships like the Indonesia-European Union Comprehensive Economic Partnership Agreement (IEU-CEPA) and the Indonesia-Korea Comprehensive Economic Partnership Agreement (IK-CEPA) underscore Indonesia's capacity to navigate the global economy. Indonesia further strengthens its position by pursuing membership in the Organisation for Economic Co-operation and Development (OECD), becoming the first Southeast Asian country and third in Asia, after Japan and Korea, to attain Open for Accession Discussion status for full OECD membership.
