Indonesian economy faces increasing pressures

The global uncertainty continues forcing Indonesia to face mounting pressure, research organisation CORE Indonesia said in its freshly published report.

Toward the end of 2025, it said the Indonesian government has less than six months to hit its minimum growth target of 5%. According to CORE Indonesia, this is no time for "business as usual". What’s needed now is focused and strategic action to accelerate recovery and maintain economic momentum in the third and fourth quarters.

CORE Indonesia outlines several steps the country can take immediately to stabilise household consumption, spur investment, and strengthen public spending. They include expanding the economic stimulus programme, offering conditional incentives for businesses to prevent layoffs, and fast-track strategic government spending. As the global economic landscape continues to shift, these targeted measures can help Indonesia to stay on track. According to CORE, the priority is clear: revive household spending, rev up investments, and ramp up government expenditure, particularly in Q3 and Q4./.