World Bank projects Indonesia's 2026 growth at 5%, below government targets

The World Bank has projected that Indonesia’s economic growth will slow to 5% in 2026, a forecast that falls below the Indonesian government’s own estimates, according to Asharq Al-Awsat. The outlook suggests Southeast Asia’s largest economy is likely to remain resilient, but not strong enough to match the pace officials have been targeting.

The bank’s forecast adds to a growing debate over how much momentum Indonesia can maintain next year as global conditions remain uncertain. The government has been projecting faster growth, with official documents from Bank Indonesia pointing to a 2026 range of , while also citing a full-year target of in some planning materials. Other international institutions are clustered closer to the 5% mark, reinforcing the view that Indonesia may expand steadily but not accelerate sharply.