INDEF: 5.29 Per Cent Economic Growth Does Not Yet Reflect Quality of Welfare

The Head of the Center of Macroeconomics and Finance at the Institute for Development of Economics and Finance (INDEF), Rizal Taufikurrahman, hopes the government will not be complacent about the achievement of 5.29 per cent economic growth in the second quarter of 2026. Rizal stated that this figure does not necessarily reflect the quality of economic growth. “It is indeed still relatively high, but the quality is not yet fully robust,” Rizal said when contacted by Republika in Jakarta on Wednesday (5/8/2026). Rizal noted that the decline in unemployment and poverty has not automatically become an indicator of improved welfare. This is because job creation is still largely occurring in the informal sector, characterised by low productivity, wages, and protection.