Antara, Jakarta – Statistics Indonesia recorded a 5.01 percent growth in Indonesia's first-quarter economy (YoY) which is said to be attributed to recovering economic activities post Covid-19 pandemic. Statistic Indonesia head Margo Yuwono also mentioned the low base effect.
"This significant growth is due to the low base effect in 2021 first quarterly, which we all know saw Indonesia economy contracted by 0.7 percent at the time," said Yuwono on May 9, Antaranews reported.
In the same quarter of 2021, economic growth was still minus 0.7 percent. This is what is called the low base effect or the growth tendency of a value with a low initial condition. Despite the high growth, Margo said the country's economy is in a quarterly decline compared to the fourth quarter of 2021. The decline was 0.96 percent.
With this economic growth, the value of Gross Domestic Product (GDP) based on current prices in the first quarter of 2022 reached Rp 4,513 trillion while the value of GDP at constant prices is Rp. 2.819 trillion.
Based on the business fields, 65.74 percent of the GDP came from the industry, trade, agriculture, mining, and construction sectors. Meanwhile, based on the distribution expenditure component, GDP for the first quarter of 2022 comes from household consumption and investment.
"This means that economic growth from the expenditure side of these two components has an effect on almost all economic growth," said Margo.