Airlangga: Indonesia's Economic Growth Surpasses China, Singapore, South Korea, Saudi Arabia, and the US
The President of Indonesia held a limited meeting with several ministers from the Red and White Cabinet and the Financial System Stability Committee (KSSK) at Merdeka Palace in Central Jakarta on Tuesday (5/6/2026) evening WIB. During the meeting, the government reported the state of the national economy, which showed positive performance in the first quarter of 2026.
Coordinating Minister for Economic Affairs Airlangga Hartarto stated that Indonesia’s economic growth reached 5.61%, marking a notable achievement. This is because Indonesia’s figure is one of the highest among G20 countries.
“So we are above China, above Singapore, South Korea, Saudi Arabia, even the United States. And this growth is above the expectations from various institutions, which usually average at 5.2%,” Airlangga told the media.
Airlangga explained that the growth was supported by consumer and government consumption, both showing significant increases, as well as positive export and import performance. Various business sectors, he added, recorded good growth.
“In terms of exports and imports, it’s also positive. In terms of business fields, the industrial sector, trade sector, government administration, other services, transportation and warehousing, agriculture, and construction are also performing well,” said Airlangga.
From the macroeconomic indicators perspective, he said, the government recorded several achievements indicating maintained economic stability. Inflation has been controlled, consumer confidence remains high, and the trade balance continues to record a surplus.
“If looking at macroeconomic indicators, inflation has also been controlled at 2.42%, down from 3.48% in the previous period, in March. Then credit growth at 9.49%, third-party funds meaning high public trust at 13.55%,” Airlangga stated.
During the meeting, he said, President Prabowo also highlighted the dynamics of capital outflows occurring in the financial markets. The government, along with relevant authorities, has examined the causal factors and prepared mitigation steps.
Furthermore, Airlangga added, the government also agreed to strengthen coordination between Bank Indonesia and the Ministry of Finance to maintain future financial stability, including in managing the rupiah exchange rate. In addition, the government reported developments on regulations related to export proceeds from natural resources (DHE SDA), which will soon be implemented.
“So the revision to Government Regulation 36 has been finalised and will be effective from 1 June 2026. So the change is that DHE SDA must enter Himbara and be converted to rupiah maximum 50%, and also related to the extractive sector or oil and gas, it applies as it is now, namely the three-month rule,” Airlangga explained.