Indonesia Registered 5.1% Economic Increase at the Beginning of 2018

Updated on Wednesday 20th June 2018

At the beginning of June, the World Bank released its report on Indonesia’s economy during the first months of this year, a report which brings good news for the country’s economic results. The first quarter of the year was very good for Indonesia with a year-on-year increase of 5.1%. If you want to open a company in Indonesia and need assistance, our company formation advisors can guide you through the incorporation procedure.

Investments contributed to the good results of the Indonesian economy

The World Bank’s report is one of the most important indicators foreign investors use when deciding to open companies in a country, which is why the report which commends Indonesia for its positive economic results registered in the first months of this year is very important.

According to this report, Indonesia’s economy grew by 5.1% on an annual basis in the first quarter of 2018 on the back of higher commodity prices at worldwide level which triggered investments in the country. Machinery, equipment and vehicles registered the highest growth, which is why the gross capital rose by 7.9% - the fastest growth in last 5 years.

Imports and exports also grew in the first quarter of the year, while private consumption levels kept the same steady pace of 5%.

The government’s efforts to maintain its policies also helped the economy by keeping interest rates at reasonable values, even if they registered slight increases.

Foreign enterprisers interested in starting businesses here can rely on our Indonesia company incorporation services.

How will the Indonesian economy look in the near future?

Even if the global economy is expected to slow down by the end of the year, the World Bank is positive about the Indonesian economy which continues to be “largely positive”. By the end of the year, Indonesia is expected to reach a 5.2% economic increase thanks to higher consumption from the private sector.

Exports are also expected to contribute to the economy in the months to come, while the higher oil prices should increase the government’s revenues.

Enterprisers interested in investing in Indonesia can find business opportunities in several industries and they are invited to contact our company formation agents in Indonesia for help in registering companies.