Jakarta Economy in the fourth quarter of 2025 grew 5.71 percent, Pramono: Thanks to Tax Incentives

JAKARTA - DKI Jakarta Governor Pramono Anung responded to the growth of the Jakarta economy in the fourth quarter of 2025 by 5.71 percent which was released by the Central Statistics Agency (BPS) DKI Jakarta. Pramono claimed that the economy could grow with this value thanks to tax incentive policies in Jakarta until the end of the year.

For the DKI Provincial Government, the achievement of the current economic growth rate is quite encouraging. Considering that the economic growth throughout 2025 (c-to-c) also grew by 5.21 percent with a figure above the national average.

"What is encouraging is that in the fourth quarter of 2025 yesterday, the growth was quite surprising, frankly, namely 5.71 percent. Why did this happen? Because the DKI Jakarta Government's efforts to encourage activities to welcome Christmas, New Year, yesterday by providing tax incentives," said Pramono in Central Jakarta, Friday, February 6.

Apart from tax incentives, Pramono assessed that the current economic growth of the Capital City was also supported by a massive discount competition program that was followed by business actors such as shopping centers to hotels.

The activity, continued Pramono, is also aimed at controlling the inflation rate. This has triggered high economic transaction activity in Jakarta during the Christmas 2025 and New Year 2026 period.

"That is why, when welcoming Christmas, New Year, transactions in Jakarta amounted to Rp. 15.25 trillion. So this figure significantly affects growth in the fourth quarter to 5.71 percent," said Pramono.

Seeing the effect, Pramono decided to hold various similar activities again, ranging from discount races to tax incentives ahead of the Chinese New Year celebrations as well as welcoming Ramadan and Eid al-Fitr.

"Because that is what makes me believe, because to grow the economy in Jakarta, if there is no creative financing, there are also innovations, then I believe that the economic growth in Jakarta will be more or less the same as the national growth," explained Pramono.

Previously, the Central Statistics Agency (BPS) of DKI Jakarta Province recorded that Jakarta's economy throughout 2025 grew by 5.21 percent on an annual basis (c-to-c) compared to 2024. In the fourth quarter of 2025, the Jakarta economy also showed growth (y-yo-y) of 5.71 percent compared to the fourth quarter of 2024.

Head of BPS DKI Jakarta Province Kadarmanto explained that the provision of accommodation and food and drink again recorded the highest growth of 8.40 percent. Then, positive growth also occurred in other service sectors which grew 8.32 percent and Corporate Services by 8.11 percent. Meanwhile, the trade sector, which is the backbone of Jakarta's economy, grew 6.55 percent in the same period.

"On the other hand, several business fields are still experiencing contraction, namely water procurement, waste management, waste, and recycling which contracted 3.10 percent, electricity and gas procurement which contracted 3.29 percent, and mining and excavation which contracted by minus 11.99 percent," he said.

Meanwhile, Jakarta's economic growth in the fourth quarter of 2025, compared to the previous quarter, grew by 3.41 percent. The highest growth was recorded in the agriculture, forestry, and fisheries sector, which jumped 10.16 percent. The financial and insurance services sector grew 9.84 percent, while construction increased 5.47 percent.

"Meanwhile, several business fields have contracted. Electricity and gas procurement contracted 0.09 percent, real estate contracted 0.37 percent, and government administration, defense, and social security must be contracted 0.85 percent," said Kadarmanto.