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Indonesia’s 2Q25 GDP Growth Accelerated to 5.1%, Beating Expectations

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Algo Research Team

Economics | Aug 05, 2025 | Views: 400

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Key Summary:

  • Gross-fixed capital/investment (+7% YoY) drives GDP growth in 2Q25.
  • This is followed by consumption (+4.9% YoY) and exports (+10.6% YoY).
  • Requires more government stimulus in 2H25 to maintain momentum.

The Indonesian government has released its 2Q25 GDP reading, which increased by +5.1% YoY (+4% QoQ), exceeding +4.87% YoY in 1Q25 and surpassing analysts’ estimate of +4.8% YoY.


Breakdown: The primary driver of growth in 2Q25 was investment/gross-fixed capital formation (+7% YoY), followed by household consumption (+4.97% YoY) and exports (+10.67% YoY).

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