Both the volume and prices of oil and gas commodities declined. Meanwhile, non-oil/non gas exports still grew positively.
Jakarta (ANTARA) - The Indonesian economy expanded 5.05 percent in the second quarter (Q2) of 2019, indicating a downward trend owing to continued export contraction and slow investment growth, the Central Statistics Agency (BPS) stated.
The figure decreased, from 5.27 percent during the same period last year and from 5.07 percent in the first quarter of 2019.
The contribution of exports to the national growth is yet under pressure owing to a shortfall in the volume and prices of export commodities in the global market and economic downturn in several trade partners, BPS Chief Suhariyanto remarked at a press briefing in Jakarta on Monday.
Exports were recorded at minus 1.81 percent in Q2 of 2019, decreasing from 7.65 percent during the same quarter last year. However, export growth in Q2 of 2019 rose from minus 1.87 percent in Q2 of 2019.
"Both the volume and prices of oil and gas commodities declined. Meanwhile, non-oil/non-gas exports still grew positively," he stated.
Oil and gas exports in Q2 of 2019 plunged to minus 30.45 percent, well below minus 9.33 percent as compared to the first quarter. In Q2 of 2018, exports could yet grow positively at 4.81 percent.
In the meantime, non-oil/non-gas exports grew 2.17 percent after contracting 0.65 percent in the first quarter of 2019. Nevertheless, non-oil/non-gas exports grew at a slow pace than 8.51 percent during Q2 of 2018. Service exports were up 0.27 percent (yoy).
Overall, investment in Q2 of 2019 rose 5.01 percent, lower than 5.03 percent in the previous quarter, or well below 5.85 percent in the same quarter last year.
"Only investment in buildings in the second quarter of 2019 is better than that in the corresponding period of 2018, growing 5.4 percent than 5.02 percent, while machinery equipment, vehicle, and other equipment as well as intellectual property products continued to grow, albeit at a slow pace," he pointed out.
Household and government consumption contributed 2.77 percent to the national economic growth. Household consumption grew 5.17 percent, while government consumption rose 8.23 percent in Q2 of 2019.
Source: ANTARA News