Batam's Economy Grows 6.76 Per Cent, Outpacing Provincial and National Averages

Batam has recorded economic growth of 6.76 per cent year-on-year in 2025, making it the highest in Riau Islands Province whilst surpassing both provincial and national economic growth averages.

Fary Djemy Francis, Deputy for Investment and Business Operations at the Batam Authority (BP), stated that this growth achievement demonstrates that Batam’s economic transformation increasingly relies on industrial and investment sectors.

“Batam’s 2025 economic growth of 6.76 per cent shows that Batam’s economic engine is driven by productive sectors such as manufacturing, trade, logistics, and continuously increasing investment. The growth is higher than the provincial and national figures,” he said in an official statement received in Batam on Monday.

According to data from the Central Statistics Agency (BPS), Riau Islands Province recorded economic growth of 5.88 per cent in 2025, while national economic growth stood at 5.11 per cent.

Bintan Regency recorded growth of 6.43 per cent, followed by Karimun Regency at 5.44 per cent, Tanjungpinang City at 3.31 per cent, Lingga Regency at 3.53 per cent, and Anambas Islands Regency at 2.87 per cent. Meanwhile, Natuna Regency experienced a contraction of -1.61 per cent.

“Batam’s growth also does not depend on the oil and gas sector, which is proof that Batam is developing as an increasingly competitive international industrial and trade centre,” said Fary.

According to him, measuring economic growth excluding oil and gas is important for portraying the region’s economic strength in a more realistic and sustainable manner.

“By looking at growth without oil and gas, we can see more clearly that Batam’s economy is growing because of the strength of industry, trade, and investment,” he added.

He also affirmed that Batam’s strategic position on international trade routes, proximity to Singapore and Malaysia, and industrial zone development are important factors in maintaining the region’s economic growth momentum.

“Batam has geographical advantages and a strong industrial ecosystem. With infrastructure support, investment ease, and international logistics connectivity, Batam is further consolidating its role as a globally competitive investment and industrial hub,” said Fary.