Bank Indonesia has published the Indonesia Economic Report 2025 (LPI 2025), reviewing global and domestic economic conditions, assessing the implementation of Bank Indonesia policy in 2025, and outlining the direction of its policy mix for 2026. The report projects economic growth of 4.7–5.5% in 2025, rising to 4.9–5.7% in 2026 and 5.1–5.9% in 2027, with inflation expected to remain within 2.5±1% in 2026 and 2027. The policy mix is framed around supporting higher growth while maintaining stability, alongside stronger coordination with the Government and relevant authorities. The report highlights five priority areas for strengthened synergy: reinforcing economic stability, supporting the real sector through natural resource downstreaming and industrialisation, strengthening the people’s economy, increasing financing to the economy, and accelerating digitalisation. Bank Indonesia also positions the report as part of its statutory policy transparency obligations under the Bank Indonesia Act as amended.
Bank Indonesia 2026-01-28
Bank Indonesia launches Indonesia Economic Report 2025 setting out the 2026 policy mix and updated growth and inflation outlook
Bank Indonesia's Indonesia Economic Report 2025 outlines its policy mix for 2026, projecting economic growth of 4.9–5.7% and inflation within 2.5±1%. The report emphasizes five priority areas, including economic stability, real sector support, and digitalization, aligning with statutory transparency obligations.