Indonesia’s economy is projected to grow 5.0%-5.2% YoY in 2026. Indonesia’s economic growth is expected to accelerate in 2026, in line with expectations of improving global conditions and increased domestic investment activity.

Consumer confidence index and retail sales are expected to remain positive in 2026. Supported by the government’s stimulus program, assuming controlled inflation and consumption incentive.

Inflation in 2026 is expected to remain within BI’s target range of 2.5% ± 1%. This projection is based on relatively stable inflation expectations at low levels, the stability of the Rupiah exchange rate, and synergistic efforts by Bank Indonesia and the Government.

The opportunity for further cuts by Bank Indonesia (BI) Rate remains possible in 2026. This projection is based on relatively stable inflation expectations at low levels, the stability of the Rupiah exchange rate, and synergistic efforts by Bank Indonesia and the Government.

The allocation of government funds in banks has positively influenced national liquidity. By September 2025, the adjusted base money rose to Rp2,152.4 trillion, up from Rp1,961.34 trillion in August 2025.

The 2026 APBN deficit is targeted at 2.68% of GDP. The 2026 APBN targets state revenue at IDR 3,153.6 trillion, comprising IDR 2,357.7 trillion in tax revenue and IDR 336 trillion in customs and excise revenue.

IHSG’s conservative level for 2026 is estimated at 9,255 and its aggressive level at 9,883.

Sectoral Coverage: Banks, Properties & Real estate, F&B and Poultry, Retails, Telecommunication, Tower, Coal, Pharmaceuticals, Plantations, Construction, Metals & Mining, Industrial, and Cement.

By PHINTRACO SEKURITAS | Research
– Disclaimer On –