Bali’s economy grew by 5.52% year-on-year (yoy) in Q1 2025, improving from 5.19% in the previous quarter and outperforming the national growth rate of 4.87%. This achievement placed Bali as the province with the 8th-highest economic growth nationwide. Bank Indonesia’s Bali Representative, Erwin Soeriadimadja, stated that this growth indicates strong regional resilience and potential amid domestic and global challenges. Key contributors included household consumption, which rose 5.31% yoy, supported by increased residential electricity usage and spending during Nyepi and Idul Fitri. Government consumption accelerated by 13.47% yoy due to the disbursement of holiday allowances (THR), while investment (PMTB) grew 5.13% yoy. However, growth was partly restrained by slower export growth at 6.51% yoy and a -19.04% contraction in the non-profit household sector following post-election budget normalization.
On the production side, public administration grew the fastest at 19.86% yoy due to THR distribution. The agriculture sector expanded by 5.21% yoy, benefiting from an earlier harvest. Transportation and warehousing also grew with increased air and sea passenger traffic. Conversely, accommodation and food services slowed to 7.47% yoy as hotel occupancy fell to 52.84%, and construction decelerated to 2.15% yoy due to limited new projects. Looking ahead, Bali’s economy is expected to remain strong in Q2 2025, supported by religious holidays, infrastructure projects, tourism development, and strengthened collaboration among stakeholders.
