Central Java's 81st Anniversary: Economy Shines Brighter, Poverty Continues to Decline
Amid a global economic slowdown, geopolitical pressures, and uncertainty in international trade, Central Java has demonstrated strong resilience.
At the age of 81, Central Java Province recorded cumulative economic growth of 5.80% (c-to-c) in the first half of 2026. That figure is above the national economic growth rate.
The achievement is not merely the result of Central Java provincial government policy, but rather the fruit of collaborative work orchestrated by Central Java Governor Ahmad Luthfi together with Deputy Governor Taj Yasin, involving the central and regional governments, the business community, academics, and the public in driving development together.
This economic growth is not just a number, but also has a direct impact on poverty reduction, labour absorption, and public welfare.
Evidence of this can be seen in data from Statistics Indonesia (BPS), which shows that the number of poor people in Central Java Province continues to decline. In March 2026, the figure was recorded at 3.29 million people, or 9.21% of the total population. That number decreased by 59,390 people compared to September 2025, and fell by 81,250 people compared to March 2025.
Head of BPS Central Java Ali Said said that in percentage terms, the poverty rate in Central Java experienced a decline in 2026. In March 2026, the figure stood at 9.21%. That number fell by 0.18% compared to September 2025, which was recorded at 9.39%, and decreased by 0.27% compared to March 2025, which was still at 9.48%.
“Central Java’s contribution to the economy of Java Island reached 14.50%, or 8.19% of the national economy. This places Central Java as the fourth-largest economic contributor nationally,” Ali said in an online press conference on Wednesday, 5 August 2026.
The surge in economic growth is also directly proportional to investment activity and labour absorption in the province. Investment realisation in the first half of 2026 reached Rp48.54 trillion. This realisation absorbed 213,217 workers, with the number of projects reaching 55,989 units.
Head of the Central Java Investment and One-Stop Integrated Services Office (DPMPTSP), Sakina Rosellasari, explained that the first-half 2026 realisation came from capital investment in the first quarter (January–March) of Rp23.02 trillion and the second quarter (April–June) of Rp25.53 trillion. According to her, realisation in the second quarter increased by 10.88% compared to the previous quarter.
“Alhamdulillah, amid geopolitical conditions that are far from favourable, Central Java continues to grow, increasing by 10.88% from the first quarter,” she said on Wednesday, 29 July 2026.
She said investment performance in the first half of 2026 was supported by foreign direct investment (PMA) of Rp25.92 trillion, or 53.40%, and domestic direct investment (PMDN) of Rp22.62 trillion, or 46.60%.
To promote investment, the Central Java provincial government has begun encouraging regions to develop industrial estates. The move is intended to support infrastructure availability and provide convenience for investors who invest in areas designated as industrial zones.
Central Java Governor Ahmad Luthfi stated that in developing Central Java, he cannot work alone. Instead, collaboration with various parties is needed.
“So we have the spirit of collaborative government, because we cannot work in silos,” he said some time ago.
He stressed that collaboration with all parties is very important. One of these is with universities, both public and private.
“A governor is not Superman, but must use a super team in carrying out development in our region. The province of Central Java, with 35 regencies/cities and all aspects involved, requires that we create collaborative government,” Luthfi said.
Therefore, he invited all parties, from regents and mayors, religious leaders, community leaders, businesspeople, academics, the public, and the media, to collaborate in developing Central Java. In this way, the programmes rolled out truly have an impact on the community.
Luthfi emphasised that the spirit of mutual cooperation, togetherness, and teamwork are values deeply rooted in Central Java and continue to be applied, including in encouraging investment and economic growth.
Central Java Regional Secretary Sumarno said the theme of Central Java’s 81st anniversary is “Gumregut Nyawiji”. The theme is drawn from Javanese philosophy, meaning collaboration and mutual cooperation.
“The spirit is to build Central Java together. This is in line with the Governor’s direction that we must collaborate with all parties,” he said.