Indonesia`s Economy Grows 5.17 Percent in Third Quarter of 2018

Jakarta, MINA — The Central Statistics Agency (BPS) recorded Indonesia`s economy to have grown by 5.17 percent in the third quarter of 2018 on an annual basis (year-on-year), higher than the same period in the previous year, which was 5.06 percent (yoy), Antara News reported.

Head of BPS Suhariyanto, in his presentation in Jakarta on Monday, noted that cumulative economic growth from the first quarter to third quarter 2018 grew by 5.17 percent (yoy).

Suhariyanto also mentioned that the achievement of economic growth in the third quarter of 2018 was 5.17 percent (yoy) higher than in the third quarter of 2016, which was recorded at 5.03 percent, and in the third quarter of 2015, which was 4.78 percent.

In terms of expenditure, the highest source of economic growth for the third quarter was from household consumption at 2.69 percent; followed by the formation of gross fixed capital (PMTB) at 2.24 percent; and government consumption at 0.48 percent.

Because of the deficit of trade balance, net exports contributed negatively 1.10 percent to GDP growth in the third quarter of 2018.

The component of expenditure that experienced the highest growth was the consumption expenditure of non-profit institutions serving households (PK-LNPRT) of 8.54 percent due to the commencement of the stages of simultaneous elections.

In terms of production, the highest source of economic growth for the third quarter came from the manufacturing industry at 0.91 percent, followed by trade at 0.69 percent, construction at 0.57 percent, and agriculture at 0.49 percent.

Growth is driven by all business fields, where the highest achieved by other service businesses was at 9.19 percent followed by information and communication at 8.98 percent, and company services at 8.67 percent.

The structure of Indonesian economy in the third quarter was dominated by provincial groups in Java and Sumatra. Java contributed to GDP, which amounted to 58.57 percent; followed by Sumatra at 21.53 percent; and Kalimantan at 8.07 percent. (T/RS5/RS1)

Mi’raj Islamic News Agency (MINA)