Indonesia’s Economy Grows 5.01 Percent in Q1 2022

Coordinating Minister for Maritime Affairs and Investment Luhut Binsar Pandjaitan, Coordinating Minister for Economic Affairs Airlangga Hartarto, Minister of Health Budi G. Sadikin deliver pers statement after joining a Limited Meeting in Jakarta, Monday (5/9). (PR of Cabinet Secretariat/Agung)

Statistics Indonesia (BPS) has reported that Indonesia’s economy grew by 5.01 percent year-on-year (yoy) in the first quarter of 2022.

Coordinating Minister for Economic Affairs Airlangga Hartarto Monday (5/10) said that Indonesia’s economic growth in the first quarter of 2022 has surpassed the growth of other countries including China (4.8 percent), the United States (4.29 percent), South Korea (3.07 percent), Germany (4.0 percent), Singapore (3.4 percent), and Vietnam (4.0 percent).

“Based on the report from the BPS, our economic growth in this first quarter of 2022 remained stable compared to the fourth quarter of 2021, 5.01 percent,” the Coordinating Minister said in his press statement after joining a Limited Meeting in Jakarta.

On that occasion, Airlangga said that the supply side of almost all business sectors including transportation and logistics, industry, services, agriculture, and construction has recorded positive growth, while the demand side (household consumption), investment or gross fixed capital formation (PMTB), and export-import also recorded positive growth.

On the inflation issue, Airlangga said that in April 2022 volatile food inflation rate stood at 5.48 percent, administered price inflation stood at 4.83 percent, and core inflation stood at 2.6 percent. Indonesia’s inflation rate in April 2022 was at 3.47 percent which is still within the range of the State Budget that is 3±1%.

Airlangga further said that Indonesia’s labor market also showed a positive growth, adding that, on February 2022 the number of workforces increased by 4.20 million people while the number of workers increased by 4.55 million people.

“Almost all workforces entering career field can be absorbed so that the improvement of economic growth can be reflected by the increasing number of workers,” he added.

For the record, the number of full-time workers reached 88.42 million people or increased by 4.28 million people, part-time workers reached 36.54 million people or increased 1.04 million workers, while the number of partial unemployment  dropped by 0.77 million to 10.65 million.

Furthermore, Airlangga said that a number of global institutions including the Organization for Economic Cooperation and Development (OECD), the World Bank, the Asian Development Bank, and the International Monetary Fund (IMF) has estimated that Indonesia’s economy will grow by 5 to 5.4 percent which is above the average of global economic growth amounting to 3.6 to 4.5 percent. (FID/UN) (AP/MMB)