Batam's economic growth soars to 7.49 percent in 2025

Batam — The Batam City Statistics Agency (BPS Batam), in Kepulauan Riau (Kepri), has recorded that Batam’s economy expanded by 7.49 percent (year-on-year) in the fourth quarter of 2025, a sharp jump from 3.27 percent in the fourth quarter of 2024.

Amsakar Achmad, head of the Batam Development Authority (BP Batam), emphasised that the performance reflects the strong role of industry and investment as Batam’s main growth engines.

“Batam grows because of industry and investment. When investment increases by 9.53 percent and the processing industry accounts for more than 57 percent of the GRDP (Gross Regional Domestic Product), it shows Batam’s production engine is really moving,” he said in an official statement received in Batam, on Thursday.

Throughout 2025, Batam’s economic growth showed a consistently upward trend, from 5.17 percent in Q1, 6.66 percent in Q2, 6.89 percent in Q3, to a peak of 7.49 percent in Q4.

Li Claudia Chandra, deputy head of BP Batam for Investment and Enterprise, assessed that the surge in Q4 indicates that incoming investments are beginning to be converted into production output.

“The growth surge at year-end demonstrates that Batam’s industrial expansion is starting to generate real economic activity and provides a strong foundation to sustain momentum in 2026,” she said.

Meanwhile, Fary Djemy Francis, deputy for Investment and Enterprise, noted that the growth of investment in Batam shows the city is entering a phase of production capacity expansion.

“Manufacturing remains the backbone of Batam’s economy, contributing 57.01 percent to the GRDP. Growth in the electricity and gas sector by 11.90 percent and real estate by 14.70 percent reflect increasing industrial activity and the development of the economic zone,” he added.

With a trend of growth rising in every quarter, Batam is projected to remain one of Indonesia’s most dynamic growth centres, especially with ongoing and strengthening investment support.