Indonesia's Q3 GDP growth hit 5.5%, beating expectations on strong consumption and exports, while Standard Chartered keeps its 2026 outlook steady despite concerns over fiscal space and business sentiment.
Q3 GDP grew 5.5% y/y, up from 5.2% in Q2 and beating consensus, with household consumption, investment and exports all contributing. Standard Chartered keeps its 2026 forecast at 5.3% with upside risk, but flags cautious business sentiment and narrowing fiscal buffers, so the upside for IDR is modest rather than decisive.
Growth came in at 5.5% year-on-year in Q3, above both the prior quarter and consensus, which supports confidence in the economy and can favor the rupiah, though the bank also warns of weak business sentiment and limited fiscal room.
Indonesia's economy accelerated to 5.5% year-on-year growth in the third quarter, surpassing both the previous quarter's 5.2% print and market expectations. Standard Chartered maintains its 2026 growth forecast at 5.3%, citing resilient household consumption and planned year-end stimulus, though it warns that narrowing fiscal buffers and cautious business sentiment remain key headwinds.
Growth came in at 5.5% year-on-year in Q3, above both the prior quarter and consensus, which supports confidence in the economy and can favor the rupiah, though the bank also warns of weak business sentiment and limited fiscal room.