BI survey indicates business performance to rise in Q2 2026

The Business Activity Survey (SKDU) conducted by Bank Indonesia (BI) indicates that business activity performance improved in the second quarter of 2026, with the weighted net balance (SBT) rising to 12.97 percent from 10.11 percent in the previous quarter. Executive Director of BI’s Communication Department, Ramdan Denny Prakoso, stated that the increase was driven by higher performance across most main business fields. These included agriculture, forestry, and fisheries (SBT 1.74 percent), construction (SBT 0.81 percent), and mining and quarrying (SBT 0.37 percent), in line with their respective business activities. The accommodation and food and beverage sector (SBT 0.50 percent) also improved, supported by sustained demand during the national religious holiday period and the school holiday high season in the second quarter of 2026. Utilised production capacity in the second quarter of 2026 was recorded at 73.80 percent, up from 73.33 percent in the first quarter. This increase was mainly supported by the agriculture, forestry, and fisheries sector; the mining and quarrying sector; and the electricity supply sector. Meanwhile, the overall financial condition of businesses remained sound in terms of both liquidity and profitability, with credit access staying easy. Respondents forecast that business activity will remain solid in the third quarter of 2026, with an SBT of 11.75 percent. Business performance is expected to improve, particularly in the processing industry; wholesale and retail trade, and motor vehicle repair, supported by expectations of sustained public demand; and construction, driven by the continuation of various government and private sector projects. Additionally, mining and quarrying activity is predicted to increase, influenced by lower rainfall that will boost operational activity.