BPS Reveals Economic Growth In Quarter II-2024 Driven By Processing Industry

Illustration (Photo: Doc Antara)

JAKARTA The Central Statistics Agency (BPS) revealed that economic growth in the second quarter of 2024 reached 5.05 percent year on year (yoy).

This growth slowed down when compared to the previous quarter which reached 5.11 percent (yoy).

Deputy for Balance and Statistics Analysis of BPS Moh. Edy Mahmud said that the driving force for Indonesia's economic growth was put forward according to the business field driven by the manufacturing industry.

"In the second quarter of 2024, the processing industry became the largest source of growth, reaching 0.79 percent (yoy)," he said at a press conference, Monday, August 5.

However, Edy said, the processing industry grew lower when compared to the previous quarter which reached 0.86 percent.

He explained that the plant processing industry was driven by domestic and foreign demand, namely from the food and beverage industry which was 5.53 percent supported by an increase in domestic demand for food and beverage products in line with the momentum of Eid al-Adha and the supply of rice harvests.

In addition, he continued, Edy was also driven by the basic metal industry by 10.07 percent due to increased foreign demand, such as iron and steel products and national steel construction.

Then the chemical, pharmaceutical and traditional medicine industries by 8.01 percent are in line with the increase in domestic and foreign demand.

Furthermore, the second business field sector that boosted economic growth was the construction sector which reached 0.67 percent but compared to the previous quarter, which fell to 0.73 percent.

Edy explained that this construction sector was driven by the development of infrastructure projects by the government, such as the development of the Nusantara State Capital (IKN) and the Trans Sumatra toll road, as well as being driven by the development of private parties.

Then, the large and retail trade business sector reached 0.63 percent, an increase compared to the previous quarter which was 0.60 percent.

This sector is driven by car and motorcycle repairs that grow in line with the increase in domestic production, and domestic demand that is influenced by religious holidays.

In addition, the information and communication sector reached 0.50 percent but when compared to the previous quarter, it slowed down which reached 2.36 percent.

Edy said this sector was supported by an increase in the number of telecommunications operator users and an increase in internet data traffic volume.

Then, other sectors reached 2.46 percent or an increase when compared to the previous quarter which reached 2.36 percent.