Jakarta (ANTARA) - Indonesia's economic growth reached 5.11 percent year-on-year in 2025, driven mainly by household consumption and gross fixed capital formation (GFCF), Statistics Indonesia (BPS) reported on Thursday.
"This was primarily driven by increased public mobility, which led to higher spending on food and beverages, transportation and communication, as well as additional capital goods in the form of machinery and equipment," BPS head Amalia Adininggar Widyasanti said.
Indonesia's gross domestic product at constant prices reached Rp13,580.5 trillion, or around US$805.5 billion, while GDP at current prices stood at Rp23,821.1 trillion.
Widyasanti said household consumption was the largest source of growth, contributing 2.62 percentage points.
Household consumption grew 4.98 percent in 2025, with the highest growth recorded in restaurant and hotel spending at 6.38 percent, in line with increased tourism activity during the year-end holiday period.
GFCF was the second-largest contributor to growth, accounting for 1.58 percentage points.
Overall, GFCF expanded 5.09 percent in 2025, with the strongest growth seen in machinery and equipment, which surged 17.99 percent due to higher capital goods imports and increased domestic industrial machinery production.
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Indonesia's exports grew 7.03 percent in 2025, supported by higher exports of non-oil and gas commodities and services.
Several non-oil and gas commodities recorded increases in export value and volume, including animal or vegetable fats and oils, iron and steel, electrical machinery and equipment, as well as vehicles and parts.
By expenditure, household consumption accounted for the largest share of GDP at 53.88 percent, followed by GFCF at 28.77 percent and exports at 22.85 percent.
From the production side, the manufacturing sector was the largest contributor to growth at 1.07 percentage points, expanding 5.30 percent.
"This growth was driven by improvements in export-oriented industries such as crude palm oil and base metals, as well as increased production in food crops, livestock, and fisheries," Widyasanti said.
In the fourth quarter of 2025, Indonesia's economy grew 0.86 percent quarter-on-quarter.
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