Indonesia’s 5.61% Q1 growth hides weak fundamentals, economists warn

Economy Seasonal consumption and front-loaded spending drive expansion but pressures remain Millions of Indonesian Muslims traveled to their hometowns for Eid al-Fitr, which fell in late March this year. Increased household spending during the holiday helped the economy grow 5.61% on an annualized basis in the first quarter of 2026. © Reuters ISMI DAMAYANTI and REZHA HADYAN May 5, 2026 13:28 JST Updated on May 5, 2026 17:55 JST JAKARTA — Indonesia’s economy posted its fastest growth in almost three years in the first quarter of this year, despite mounting internal and external pressures, but economists cast doubt on the durability of the expansion.