Indonesia Economy Grows 4.2% QoQ in Q2


Indonesia's gross domestic product expanded 4.2 percent quarter-on-quarter in the three months to June 2019, rebounding sharply from a 0.52 percent contraction in the previous period and matching market expectations. This was the first quarterly growth in three quarters and the strongest in a year, as private consumption and fixed investment rose sharply on the back of fasting month of Ramadan and Eid-ul Fitr celebration.

On the expenditure side, private consumption grew sharply (1.73 percent vs 0.05 percent in Q1) and rebounds were seen in fixed investment (0.94 percent vs -5.74 percent) and government spending (36.28 percent vs -45.78 percent). Meantime, net external demand contributed negatively to the GDP, amid a recovery in imports (1.16 percent vs -16.99 percent) and a further drop in exports (-0.79 percent vs -6.84 percent).
On the production side, output growth was mainly supported by: electricity and gas (1.19 percent vs -3.70 percent); construction (0.75 percent vs -4.30 percent); transportation and storage (3.66 percent vs -0.56 percent); public administration (3.76 percent vs -9.54 percent); education (3.90 percent vs -10.80 percent); healthcare services and social activities (2.01 percent vs -1.28 percent); manufacturing (1.75 percent vs 0.37 percent); wholesale and retail trade (2.50 percent vs 1.27 percent); accommodation and food service (1.55 percent vs 0.68 percent); business services (2.98 percent vs 2.44 percent); and other services (4.0 percent vs 2.21 percent). Meanwhile, GDP growth advanced at a slower rate for: agriculture, forestry and fishing (13.80 percent vs 14.11 percent); information and communication (2.43 percent vs 2.80 percent); and real estate (1.19 percent vs 2.49 percent). At the same time, there was a contraction in mining and quarrying (-0.61 percent vs -0.24 percent) and financial services and insurance (-1.81 percent vs 3.32 percent).
Year-on-year, the economy advanced 5.05 percent in the second quarter, the weakest in two years. following a 5.07 percent growth in the first quarter and also in line with estimates.

Indonesia Economy Grows 4.2% QoQ in Q2


Statistics Indonesia | Rida Husna | rida@tradingeconomics.com
8/5/2019 3:27:39 PM