Strong Domestic Demand Fuels Optimism in Indonesia’s Economy

Indonesia’s Ministry of Finance said on Tuesday, 2 December 2025, that the country’s economy remains strong. The comment was made by Director General of Economic and Fiscal Strategy, Febrio Kacaribu, in Jakarta. He highlighted the role of the fourth‑quarter 2025 stimulus in supporting growth.

Febrio noted that the Purchasing Managers' Index (PMI) for manufacturing, an indicator of production activity, stood at 53.3 in November 2025, signalling expansion. Strong domestic demand has driven higher factory output, job creation, and end‑year purchases. The trade balance also showed a goods surplus of US$24.24 billion in October 2025 and a cumulative surplus of US$234.04 billion from January to October 2025.

Inflation eased to 2.72 % in November 2025, down from 2.86 % in October, as volatile food prices fell. The government plans to maintain food‑price stability, boost export competitiveness, and diversify trade partners. These developments provide a positive outlook for businesses and consumers heading into the year‑end.