Indonesia’s economy has shown remarkable resilience in the face of global uncertainty, with a GDP growth rate of 5.11 percent year-on-year in the first quarter. Finance Minister Sri Mulyani attributed this growth to increased domestic consumption during the Islamic festive season and the presidential election, as well as improved quality economic growth indicated by a decrease in unemployment.
Despite challenges on a global scale, Indonesia has demonstrated its ability to sustain growth through strong household spending fueled by low inflation, increased economic activity during Ramadan, and bonuses for Idul Fitri and civil servant pay raises. This impressive performance exceeded forecasts from Moody’s Analytics and a consensus forecast from Reuters economists, making Indonesia’s economy stand out among other countries in the region.
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