Indonesia’s economy will expand by 5% this year and 5.1% in 2025 and 2026, according to the World Bank’s latest report.

Indonesia's economy, the largest in Southeast Asia, expanded 5.11% in the first quarter of this year as compared to the figure of 5.04% recorded in the same time last year, and economists’ expectation of 5%.

The Asian Development Bank (ADB) has projected that the Indonesian economy will return to high growth, last seen in the pre-pandemic era, in 2022, with the economy forecast to expand 5 percent next year.

Indonesian President Joko Widodo plans to boost foreign investment to support the virus-battered economy as the government’s stimulus spending remains slow and household spending weak.

Household spending in Indonesia, which contributes up to 57.4 percent of the country’s gross domestic product (GDP), is expected to slow down this year as more people lose their jobs during the COVID-19 pandemic.

Indonesia posted an economic growth rate of 5.02 percent in 2019, the lowest since 2015, Statistics Indonesia (BPS) announced on February 5.

The General Statistic Office (GSO) announced on August 16 that it has started a process to revise the country’s GDP calculation.