Ria Fortuna Wijaya, Jakarta – Indonesia's economy expanded by 5.04 percent year-on-year in the third quarter of 2025, marking a steady improvement from the previous quarter's 4.95 percent, according to the Central Statistics Agency (BPS).

In nominal terms, the country's gross domestic product (GDP) reached Rp 6,060 trillion ($362.53 billion), while GDP at constant 2010 prices stood at Rp 3,444.8 trillion. Quarter-on-quarter, the economy grew 1.43 percent, supported by resilient domestic demand and a rebound in exports.

"Economic growth in the third quarter was slightly higher than in the previous period, showing continued recovery momentum," said BPS Deputy for National Accounts and Statistical Analysis Moh. Edy Mahmud on Tuesday. The manufacturing industry also remained a key driver, contributing 1.13 percent to overall growth in the third quarter of 2025.

In addition to export performance, which posted an impressive 9.91 percent year-on-year growth, government consumption also recorded solid progress, expanding 5.49 percent year-on-year, a reversal from the second quarter of 2025, when it contracted by 1.38 percent.

Cumulatively, Indonesia's economy grew 5.01 percent in the first nine months of 2025. From the production side, the other services sector recorded the fastest growth at 10.37 percent, while on the expenditure side, exports of goods and services rose the most, up 9.13 percent.

Spatially, Java Island remained the backbone of the national economy, contributing 56.68 percent to total GDP and posting a 5.17 percent growth rate.

Regionally, Indonesia outperformed several of its Asian peers. China's economy grew 4.8 percent in Q3, slower than the previous quarter's 5.2 percent, while Singapore expanded 2.9 percent, down from 4.5 percent in Q2. South Korea posted a modest 1.7 percent growth, up from 0.6 percent in the earlier quarter.

However, Malaysia and Vietnam recorded stronger gains, with Malaysia's economy growing 5.2 percent and Vietnam leading the region at 8.2 percent year-on-year.

Source: https://jakartaglobe.id/business/indonesias-economy-grows-504-in-q3-2025-outpacing-chin