JAKARTA: Indonesia's economic growth picked up pace and topped forecasts in the third quarter, official data showed Thursday (Nov 5), thanks to strong household spending and investment.
Southeast Asia's largest economy expanded 5.5 per cent in July-September, from 5.3 per cent in the previous three months.
The reading beat the 5.2 per cent growth projected in a survey of economists by Bloomberg.
The expansion was driven in part by a strong growth in household and government expenditure as well as investment, Statistics Indonesia official Moh Edy Mahmud told a news conference.
Household expenditure, the largest contributor to the growth, climbed five percent on-year, while investment jumped 6.1 per cent.
Government expenditure grew by nearly nine percent.
Manufacturing, trade, construction and the information and communication sectors also contributed.
President Prabowo Subianto is chasing a growth target of eight percent by 2029 -- an ambitious goal that some experts warn could be hard to reach.
The latest reading showed domestic demand was "firmer" than expected, with investment and government expenditure remaining "robust", said Bank Danamon Indonesia economist Irman Faiz.
He said the expansion momentum could be carried to the fourth quarter and tipped the economy to grow 5.4 per cent this year, and 5.1 per cent in 2027. - AFP
