Every Q4, forecasts fill our feeds—GDP targets, growth outlooks, investment themes. But the real value of an outlook lies in how well it aligns with what’s actually happening on the ground.
In Indonesia, the ground reality remains anchored in the real economy. According to Badan Pusat Statistik (BPS), the country grew 5.12% year-on-year in Q2 2025, supported by broad domestic activity.
The services sector continues to be the biggest pillar of the economy, making up roughly 43% of GDP, led by trade, transport, and finance.
Within the industrial base, manufacturing remains the largest single subsector, contributing 18.67% of GDP, while construction follows at around 9.5%.
These two sectors together employ millions and drive investment in materials, housing, and logistics—tangible signals of confidence that numbers alone can’t fully capture.
As forecasts for 2026 roll in, the most useful question isn’t how fast we’ll grow—but where that growth is rooted. And when the roots are in production, construction, and everyday demand, they tend to hold firm—even when global winds shift.
Find out what the experts are watching next and what the forecast is for the construction market in 2026 at Indonesia Construction Insights & Forecast event. Book your seat today.
