BI: Central Java's economic growth driven by household consumption and investment

Semarang - Bank Indonesia’s Central Java Regional Office stated that household consumption and investment drove economic growth in the region.

BI Central Java Chief M Noor Nugroho said in a statement on Sunday that Central Java’s economy grew strongly despite global uncertainties.

Statistics Indonesia (BPS) data dated May 5, 2026, showed the region’s Q1 2026 economic growth at 5.89% year-on-year (yoy), higher than the previous quarter’s 5.84% yoy.

This figure surpassed Java’s economic growth (5.79% yoy) and national growth (5.61% yoy).

Sector-wise, manufacturing and construction were the main growth contributors.

On the expenditure side, household consumption, which accounted for 60.01% of the regional gross domestic product (PDRB), grew 5.08% yoy, up from 4.44% yoy in the previous quarter.

The rise in household consumption was driven by increased mobility among Central Java residents during the 2026 Eid al-Fitr mudik season.