BPS Records Indonesia's Economy Quarter I-2023 Grows 5.03 Percent

Economic growth (Photo: Doc. Antara)

JAKARTA - The Central Statistics Agency (BPS) reported that Indonesia's economy grew by 5.03 percent year-on-year (yoy) in the first quarter of 2023.

Deputy for Balance and Statistics Analysis of BPS Edy Mahmud in the Announcement of the Release of Economic Growth in the First Quarter of 2023 revealed that gross domestic product (GDP) on a Constant Price Basis (ADHK) in the first quarter of this year was recorded at IDR 2,961.2 trillion, while GDP at the Bottom of Valid Price (ADHB) was IDR 5,071.7 trillion.

BPS noted that household consumption is still the main contributor to the economy in the first quarter of 2023, which grew 5.03 percent year-on-year (yoy).

"The largest contributor to gross domestic product (GDP) is consumption which grew 4.54 percent (YoY) with a 2.44 percent stake in the first quarter of 2023," said BPS Deputy for Balance and Statistics Analysis Edy Mahmud quoting Antara.

He said the moment of Ramadan 2023 encourages the growth of food and beverage consumption, although it is not too significant because there are only nine fasting days in the first quarter of this year.

The highest growth in household consumption occurred in transportation and communication consumption, which was reflected in the increase in sales of motorcycles and rail, sea and air transport passengers, as well as the consumption of restaurants and hotels, as reflected in the increase in hotel room occupancy rates (TPK).

In addition to household consumption with a contribution of 2.44 percent, Edy said net exports and gross fixed capital (PMTB) were the other highest contributors with 2.1 percent and 0.68 percent respectively.

Then, followed by government consumption of 0.22 percent and other components minus 0.41 percent.

Exports also grew significantly by 11.68 percent (yoy) in the first quarter of 2023, which was driven by an increase in mineral fuel, animal/nabati fat and oil, iron and steel, as well as an increase in the number of foreign tourists (tourists) to Indonesia.

The increase in exports of goods in non-oil and gas commodities mainly occurs in mineral fuels, animal/vegetable fats and oils, iron and steel, as well as nickel.

Meanwhile, in a number of oil and gas commodities, an increase occurred in natural gas, oil products, and crude oil. "This non-oil and gas commodity demand is still good abroad," he explained.

Meanwhile, he continued, service exports grew significantly along with the increase in the number of foreign tourists and foreign exchange entering from abroad.

Furthermore, PMTB grew 2.11 percent (yoy) mainly in the group of capital goods type vehicles, intellectual property products, as well as machinery and equipment, which grew 24.09 percent (yoy), 5.06 percent (yoy), and 4.62 percent (yoy), respectively.

PMTB on vehicle type capital, both domestic and foreign, is one of the drivers of PMTB in this quarter. PMTB construction products also recorded an increase of 0.32 percent (yoy).

Edy continued that government consumption experienced positive growth, namely 6.17 percent (yoy) in the first quarter of 2023, after contracting four quarters during 2022. In addition, imports recorded an increase of 2.77 percent (yoy).