Bank of Indonesia published its latest Business Survey showing that business activity increased in the second quarter of 2025, with the weighted net balance (WNB) rising to 11.70% from 7.63% in the first quarter. The pickup was driven by stronger performance across most sectors, led by Public Administration, Defence and Compulsory Social Security reflecting government budget realisation, alongside gains in Manufacturing and Accommodation and Food Service Activities supported by demand during national religious holidays. Production capacity utilisation edged up to 73.58% from 73.25%, mainly supported by Mining and Quarrying and Electricity Supply. Corporate financial conditions were described as generally sound in liquidity and profitability, with credit remaining accessible. Respondents expect business activity to continue increasing in the third quarter of 2025, with a WNB of 11.98%, supported primarily by Construction as government and private projects begin and by Mining and Quarrying in line with maintained demand.
Bank of Indonesia 2025-07-18
Bank of Indonesia reports Q2 2025 business activity rise with weighted net balance up to 11.70%
Bank of Indonesia's latest Business Survey indicates a rise in business activity in Q2 2025, with the weighted net balance increasing to 11.70% from 7.63% in Q1. Growth was driven by Public Administration, Defence, and Compulsory Social Security, as well as Manufacturing and Accommodation sectors. Respondents anticipate continued growth in Q3 2025, with a projected WNB of 11.98%, supported by Construction and Mining sectors.