Bank Indonesia Projects Aceh's Economy To Grow 4.66 Percent In 2025

Illustration (Photo: Doc Antara)

JAKARTA - Bank Indonesia projects that the economic growth of Aceh Province in 2025 will range from 3.86-4.66 percent on an annual basis or year on year (yoy) in the midst of facing global and domestic challenges that greatly affect economic growth.

"Bank Indonesia Aceh Province remains optimistic that Aceh's economic growth will be strong in 2025, amid various challenges to be faced," said Deputy Head of Bank Indonesia Representative for Aceh Province Hertha Bastiawan as reported by ANTARA, Saturday, November 30.

He explained, entering 2025, there are several challenges and potential risks that Indonesia will face, so that it greatly affects national economic growth, including Aceh.

Among other things, such as the risk of geopolitical fragmentation continuing, financial market uncertainty due to the influence of the policies of the central bank of developed countries, the threat of climate change and various other challenges.

From the domestic side, said Hertha, there are several things that are expected to limit the pace of Aceh's economic growth in 2025, such as the limited development of national strategic projects (PSN) and the normalization of local government budgets after the implementation of the National Sports Week (PON) for general elections and regional elections in 2024.

"For this reason, we need extra efforts to boost economic growth through organizing dance events for the people both in Aceh and outside Aceh," he said.

Nevertheless, Bank Indonesia Aceh remains optimistic that Aceh's economy will continue to grow well in the midst of these various risks and challenges, of course through the collaboration collaboration between the cross-sectors in the province nicknamed Tanah Rencong.

"In Aceh's economy in 2025, we estimate it will grow by around 3.86 - 4.66 percent. This is of course very important for the driving force of national growth which is estimated at 4.8 - 5.6 percent in 2025," he said.

In addition, Hertha continued, in an effort to realize sustainable economic growth, it is also necessary to jointly encourage agricultural downstream strategy by developing contract farming, technology for use, and support for food processing production tools.

Furthermore, downstream tourism through increasing aspects of attractions, accessibility, amenities, actors and promotions (3A 2P), developing MSMEs and sharia economy, accelerating regional digitization as well as organizing large agendas, both arts, culture, and others.

"Bank Indonesia is pushing for a spirit of mutual optimism in efforts to recover the economy, but is still wary of all challenges that will still overshadow the economy in the future," he said.