Bank Indonesia has identified palm oil and coffee as key economic drivers for Bengkulu in the third quarter of 2024. Darjana, Head of Bank Indonesia's Bengkulu Office, noted that palm oil production is expected to rise following the end of the dry season, and high coffee prices are accelerating agricultural sector performance. These two commodities are anticipated to mitigate the economic slowdown in Bengkulu during Q3 2024. Palm oil and coffee are projected to buffer the provincial gross domestic product (GDP) against a deeper contraction.
Bank Indonesia forecasts that Bengkulu’s economy will grow at a slower pace of 4.28-4.88% year-on-year in Q3 2024, influenced by decreased household consumption, exports, and gross fixed capital formation. The slowdown is also evident in trade, transportation and warehousing, manufacturing, and mining sectors. This deceleration is attributed to the normalization of consumption and mobility following major national religious holidays such as Idul Fitri and Idul Adha. To counter the potential economic slowdown, Bank Indonesia, along with local government and stakeholders, is implementing various programs to stabilize and potentially enhance economic growth. Initiatives include Bencoolen Fest in August 2024, featuring MSME, culinary, and coffee festivals, and the Bencoolen Regional Investment and Economic Forum (BRIEF) in September 2024, aimed at fostering investment agreements between investors and the local government. Additionally, the Regional Inflation Control Team continues to organize integrated markets to stabilize household consumption and sustain market activity in Bengkulu.
