Banten Province's Economy Grows 5.64% in the First Quarter of 2026, Unemployment Declines
Head of the Central Statistics Agency (BPS) for Banten, Yusniar Juliana, stated that the 5.64% growth was accompanied by improvements in employment conditions. The number of employed residents increased, while the unemployment rate declined by 0.05 percentage points.
“Economic growth is beginning to impact the labour market, as evidenced by the increase in the number of employed residents,” said Yusniar on Thursday (7/5/2025).
On a quarter-to-quarter basis, Banten’s economy also grew by 1.01% compared to the fourth quarter of 2025.
BPS recorded that Banten’s Gross Regional Domestic Product (PDRB) in the first quarter of 2026 reached Rp247.20 trillion at current market prices and Rp144.96 trillion at constant 2010 prices.
Banten’s economic structure remains dominated by the manufacturing industry sector, contributing 30.02%. This is followed by the trade, construction, and transport and warehousing sectors. These four sectors contribute more than 70% to the regional economy.
In terms of business fields, the agriculture, forestry, and fisheries sector recorded the highest annual growth of 17.88%. This increase was influenced by the harvest season and rising production activities.
Additionally, mobility-based sectors also grew significantly. The provision of accommodation and food and beverage services grew by 15.29%, while transport and warehousing rose by 13.84%. The education services sector also grew by 5.58%.
On a quarterly basis, the agriculture sector surged by 27.53%, followed by accommodation and food and beverage at 8.95%, financial services at 5.48%, and transport and warehousing at 4.27%.
In line with this, employment conditions in Banten also improved. The Open Unemployment Rate (TPT) in February 2026 was recorded at 6.59%, down 0.05 points from the same period the previous year.
The number of employed residents reached 5.83 million people, an increase of 26,020 individuals. Meanwhile, the number of unemployed fell to around 411,000 people.
The largest absorption of labour occurred in the agriculture sector, with an addition of about 99,000 people. In addition, the trade and industry sectors remain the largest absorbers of labour in Banten.
Nevertheless, job quality remains a concern. The proportion of formal workers was recorded at 52.19%, down 1.18 points from February 2025. This indicates that a portion of the workforce is still in the informal sector.
However, in terms of working hours, conditions showed improvement. As many as 78.40% of workers are full-time workers, an increase compared to the previous year.
“Efforts to improve job quality, particularly the expansion of the formal sector, remain a priority to ensure economic growth is more inclusive and sustainable,” she stated.