Central Java's economy is expected to remain strong in 2025, supported by steady domestic demand and controlled inflation. According to Bank Indonesia (BI) Central Java Representative Rahmat Dwisaputra, the region saw a solid 4.95% growth in 2024, outperforming provinces like Banten, DKI Jakarta, and East Java. Household consumption played a major role, contributing 3.05% to growth, driven by increased spending during the election season and stable food prices. Investment also grew by 6.55%, boosted by continued private and public sector projects, including key National Strategic Projects (PSN) such as the Yogya-Bawen and Solo-Yogya-Kulon Progo toll roads. Meanwhile, manufacturing and construction remained key growth drivers, supported by rising exports and infrastructure development.

Looking ahead, Central Java’s economy is projected to stay strong in 2025, driven by higher minimum wages, salary increases for civil servants and teachers, and improved weather conditions for agriculture. The government’s focus on expanding cultivated land is expected to enhance food security and economic resilience. Although deflation was recorded at 0.46% in January 2025, authorities will monitor food prices, particularly rice and chili, due to seasonal fluctuations. Despite global economic uncertainties, Central Java remains well-positioned for continued growth, with inflation expected to stay within the 2.5% to 1% target range.

Source:
https://www.antaranews.com/berita/4655157/bi-jateng-sebut-pertumbuhan-ekonomi-2025-masih-kuat