BPS Explanation on the Main Contributors to Economic Growth
The Central Statistics Agency (BPS) recorded three expenditure components with the highest growth in the first quarter of 2026. “The main contributors to economic growth in the first quarter of 2026 are household consumption, gross fixed capital formation (GFCF), and government consumption,” said BPS Head Amalia Adininggar Widyasanti during a press conference at the BPS building in Jakarta on Tuesday, 5 May 2026.
Government consumption was the expenditure component with the highest growth, at 21.81% year-on-year. Government consumption contributed 6.72% to the gross domestic product (GDP) for the January–March 2026 period.
BPS noted that the growth in government consumption was driven by the realisation of 14th-month salary payments as well as spending on goods and services, particularly related to the Free Nutritious Meals (MBG) project.
However, based on the highest contribution to GDP, Amalia stated that household consumption remains the primary contributor to economic growth. Household consumption grew by 5.52% and contributed 54.36% to GDP.
Following household consumption, the type of expenditure with the highest contribution to GDP was gross fixed capital formation (GFCF) at 28.29%. Then, in third place, was export expenditure, at 21.22% of GDP. The contribution of export consumption ranks fourth.
Amalia explained that although government consumption grew significantly, household expenditure remains the main driver of economic growth. She acknowledged that the contribution of government consumption has not yet surpassed that of households and investment. “Because its proportion or share is indeed the largest in terms of GDP value, both on a current market price basis and a constant price basis,” she said.
The economic growth for the January–March 2026 period increased by 5.61% year-on-year. Economic growth in the first quarter of 2025 was recorded at 4.87%. The GDP figure for the first quarter of 2026 consisted of Rp 6,187.2 trillion on a current market price basis and Rp 3,447.7 trillion on a constant price basis.
From the production side, the business fields that provided the main contribution to GDP growth were manufacturing, trade, agriculture, and construction. The business field with the highest growth was the manufacturing industry, which grew by 1.03%. This was followed by trade at 0.82%, agriculture at 0.55%, and construction at 0.53%.
According to Amalia, the growth in the manufacturing industry in the first quarter of 2026 was driven by domestic and foreign demand. The food and beverage industry, for example, grew by 7.04% due to increased demand during Ramadan and Eid al-Fitr.