Indonesian Economy Grows by 5.12%, Driven by Thorough Planning and Cross-Ministerial Collaboration

Indonesia's economy grew by 5.12 percent in the second quarter of 2025, placing the country among the fastest-growing economies within the G20 and ASEAN. 

This achievement reinforces Indonesia’s consistent growth trend above five percent. At the Second Quarter 2025 Economic Growth press conference, the Minister for National Development Planning/Head of Bappenas, Rachmat Pambudy, emphasised that this growth was the result of consistent development planning and collaboration across ministries.

“This is a critical moment for us to maintain the momentum of economic growth moving forward. Today’s growth is the result of planning processes we initiated well in advance, from the 2025–2045 Long-Term National Development Plan (RPJPN) to the 2025–2029 Medium-Term National Development Plan (RPJMN), prepared together with other ministries and agencies,” said Minister Rachmat at the Coordinating Ministry for Economic Affairs office on Tuesday, 5 August. The event was also attended by the Minister for Finance, Minister for Trade, Minister for Tourism, Minister for Housing and Settlements, Minister for Investment/Head of BKPM, and the Head of BGN.

This economic growth is not only high but also evenly distributed and inclusive. In the second quarter, positive growth was recorded across all regions, with Sulawesi leading at 5.83 percent, followed by Java at 5.24 percent, and Sumatra at 4.98 percent. The Ministry of National Development Planning/Bappenas continues to work towards ensuring equitable development while maintaining continuity in development planning through coordination and synchronisation with other ministries and regional governments.

Minister Rachmat also stressed the importance of cross-ministerial coordination in promoting sustainable growth. This includes strengthening coordination with the Ministry of Home Affairs and regional governments so that growth is not solely driven by the central government, but also supported by regional initiatives and capacities. 

“Economic growth cannot be achieved by one institution alone. It is the result of joint efforts, policy synergy, and integrated planning across ministries and agencies, both at the central and regional levels,” concluded the Minister.