NTB Rising from Mining Dependence to a More Equitable Economy

REPUBLIKA.CO.ID, JAKARTA – That morning, at the Benete Port in West Sumbawa Regency, the sea breeze once again carried the sound of long-silent loading and unloading machinery. Cargo ships, which had been infrequent visitors, now arrived in turn, bringing a cargo of hope for West Nusa Tenggara (NTB).

On the other side of the island, in the rice fields of Central Lombok, farmers harvested rice with wider smiles, as yields increased, even though the sky still held tales of unpredictable heat and rain.

These two scenes, mining and farmland, are like two sides of the same coin: one reflects an old power that is beginning to falter, while the other promises a new foundation that is slowly being laid. The NTB economy in 2025 stands at that crossroads, between the shadows of the past that still hold tight and the faint light of the future that is beginning to appear.

Data from the Central Statistics Agency (BPS) shows that NTB’s economic growth throughout 2025 was only 3.22 percent, a sharp decline from 5.30 percent in the previous year. This figure has sparked debate: some call it a serious slowdown, while others see it as a natural transitional phase. However, behind that digit lies a deeper story.

In the first and second quarters, the NTB economy contracted by 1.43 percent and 1.12 percent, respectively. The reason is clear: mining production plummeted by around 50 percent, due to the policy of banning copper concentrate exports and technical problems at the smelter. The mining sector, which has long been the main engine of the GRDP, suddenly lost steam. The entire region felt the impact.

However, like the sun appearing after a long night, the fourth quarter of 2025 brought a surprise: growth soared 12.49 percent year-on-year. The processing industry jumped 137.78 percent, driven by the copper smelter in West Sumbawa, which finally began full operations. Exports of goods and services increased by more than 100 percent.

This surge is not just a number; it is proof that when downstreaming works, added value is created on home soil, rather than being sent raw abroad.

The paradox of 3.22 percent and 12.49 percent is not a contradiction. The first is a picture of a full year, while the second is a glimmer of hope at the end of the journey. NTB is moving: from an economy of raw extraction to an economy of processing, from dependence on mineral ores to mastery of the value chain.

However, the foundation is still fragile. In the fourth quarter of 2025, mining and quarrying still contributed 18.75 percent of the GRDP, slightly above agriculture (18.49 percent), followed by trade (14.38 percent). When this capital-intensive sector is disrupted, the entire economy is shaken. Ironically, without the contribution of metal ore mining, NTB’s growth actually reached 8.33 percent cumulatively.

This means that the people’s sectors – agriculture, trade, small industries, tourism – continue to pulse steadily, absorbing 33.77 percent of the workforce in agriculture, 18.96 percent in trade, and 10.33 percent in the processing industry.

This is where the challenge lies: high growth from mining does not always trickle down. The extractive sector is often an enclave, isolated, with minimal connection to the local economy. When production stops, small businesses continue to survive in their own way, even though their added value is still low.