Bank Indonesia anticipates an economic recovery in Indonesia during the latter half of 2025. Consequently, overall economic growth in 2025 is projected to range between 4.6% and 5.4%. Bank Indonesia Governor Perry Warjiyo has stated that a range of policy responses must be reinforced to stimulate economic growth from both domestic and external demand. In the face of global uncertainty, driven by US tariff policies and geopolitical tensions, Indonesia's economic growth must continue to be driven in a sustained manner. However, economic activity in the second quarter of 2025 has shown signs of improvement in non-oil and gas export performance, influenced by the strategic front-loading of exports to the United States in anticipation of impending tariff policies.
Meanwhile, the government is implementing fiscal policies to accelerate spending through the provision of a 13th-month salary for civil servants (ASN) and transportation subsidies, as well as increased social assistance to beneficiary families (KPM). Furthermore, Bank Indonesia will continue to strengthen synergies through the implementation of monetary, macroprudential, and payment system policies, in line with the government's fiscal stimulus and real sector policies, including the implementation of the Asta Cita programme.
