Indonesia's Economy Grows 5.29%, Tops G20 Rankings Ahead of China and US
Indonesia’s economy has once again recorded higher growth than other major global economies. In the second quarter of 2026, Indonesia is currently the country with the highest economic growth among G20 members that have released their data.
Statistics Indonesia (BPS) reported on Wednesday (5/8/2026) that Indonesia’s Gross Domestic Product (GDP) grew by 5.29% year-on-year (yoy) in the second quarter of 2026. This growth slowed compared to the 5.61% yoy achieved in the first quarter of 2026. Nonetheless, the economy still expanded above 5% and exceeded market expectations.
According to a consensus compiled by CNBC Indonesia from 15 institutions, the economy was previously forecast to grow by 5.12% yoy. The actual figure was 0.17 percentage points higher than the consensus. On a quarterly basis, the economy grew by approximately 3.73%, rebounding from a contraction of 0.77% in the first quarter of 2026.
BPS recorded that Indonesia’s GDP at current prices reached Rp6,552.1 trillion, while GDP at constant prices was recorded at Rp3,576.2 trillion. “Economic growth in the second quarter of 2026 compared to the second quarter of 2025, or year-on-year, grew by 5.29%,” said M. Edy Mahmud, Deputy for Balance Sheet and Statistical Analysis at BPS.
This achievement places Indonesia at the top of the provisional G20 economic growth rankings for the second quarter of 2026. Indonesia outperformed Saudi Arabia, which grew by 4.8% yoy, and China at 4.3%. Other notable growth figures include South Korea at 3.7%, Mexico at 2.2%, the United States at 2.1%, Italy at 1.0%, Germany at 0.9%, and France at 0.7%.
As of Wednesday, not all G20 members had announced their growth figures for the second quarter of 2026, so Indonesia’s position remains provisional and could change once all data is released. The G20 is a premier economic cooperation forum comprising 19 countries, the European Union, and the African Union, representing the bulk of the world economy.
Looking at a broader period, Indonesia’s economic growth remains well above the G20 average. Over the two-year period up to the first quarter of 2026, Indonesia’s average GDP growth was recorded at 5.08%, compared to the G20 average of 3.30%. This means Indonesia’s average growth rate was 1.78 percentage points, or 178 basis points, higher than the G20 average. The comparison uses data up to the first quarter of 2026 because aggregate G20 growth data for the second quarter has not yet been released.