Indonesia’s economy expanded by 5.29% year-on-year in the second quarter of 2026, easing slightly from the 5.61% growth recorded in the first quarter of the year. The latest GDP data, updated on 5 August 2026, indicate that while momentum has moderated, the country continues to post solid annual growth.
Both the current and previous readings are measured on a year-over-year basis, comparing each quarter’s performance with the same period a year earlier. The first quarter’s 5.61% increase reflected a stronger pace of expansion, while the second quarter’s 5.29% suggests a modest cooling, though still indicative of a broadly resilient economic backdrop.
The slowdown from Q1 to Q2 2026 will be closely watched by markets and policymakers as they assess whether the softer reading signals the start of a more prolonged deceleration or a temporary adjustment within an otherwise stable growth trend.
