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Indonesia is aiming for growth for 2026, with the country's finance minister declaring that it is targeting no less than 6% when it comes to economic expansion.
This declaration was made by Finance Minister Purbaya Yudhi Sadewa, who said that the number is "not too difficult to achieve."
Indonesia Aims for 6% Growth
According to a report by South China Morning Post, Purbaya's target growth is higher than the projections of both the International Monetary Fund (IMF) and the World Bank.
The IMF projects Indonesia's growth for 2026 to be at 4.9%, while the World Bank's projection is at 5%. IMF's datasets also show that the projected GDP for Indonesia this year is US$1.55 trillion or around Rp26 quadrillon.
GDP per capita for Indonesia in 2026, on the other hand, is projected to be at US$5,400 or approximately Rp90.5 million
The report further notes that some economists have cast doubt over Purbaya's targeted growth.
South China Morning Post cites a note written by Fithra Faisal, who is an economist at Samuel Sekuritas Indonesia.
The economist said, "In an increasingly fragmented global economy, these outcomes speak to resilience that is neither accidental nor trivial."
Related Article: Indonesia Maintains Fiscal Resilience as 2025 Budget Deficit Stays Below Revised Target
Concerns Regarding Unemployment
The targeted 6% growth is considered optimistic by many, especially when taken into consideration the high number of layoffs as well as unemployment.
Unemployment among the educated youth, in particular, has been described as a "time bomb" by economic researcher Deni Friawan, who said that "
"They are educated, they are digitally literate. If they’ve tried to find work but can’t … what remains is cynicism and discontent.”
Numbers from the Labor Ministry show that 80,000 workers were laid off from January to November last year.
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