Maluku & Papua Economy Grows the Highest Reaching 9.15%

The Central Statistics Agency (BPS) reported that Indonesia's economic growth in the third quarter only reached 3.51% compared to the same period last year, slowing compared to the second quarter which grew 7.07%. Maluku and Papua recorded the strongest growth among other regions, reaching 9.5% compared to the same period last year.

"The largest economic contribution still came from Java and Sumatra, but was strengthened by economic growth in the eastern region, namely Maluku and Papua, which reached 9.15 percent," said Head of BPS Margo Yuwono.

Despite the strongest growth, the contribution of the Maluku and Papua regions to the national economy was recorded at the smallest, only reaching 2.45%. Meanwhile, the largest contribution still came from the island of Java with 57.54% of Gross Domestic Product (GDP). However, the economy in Java only grew by 3.03% yoy, below the national growth.

"The contribution of the island of Java began to decrease, from the original 57.92 percent in the second quarter of 2021. The contribution from outside Java that experienced an increase was Sumatra, Maluku and Papua, Kalimantan and Sulawesi. On the other hand, Bali and Nusa Tenggara also fell," said Margo.

Other regions, namely Sumatra, contributed 21.95% and recorded growth above the national average of 3.78%. Kalimantan with 8.32% share to the economy, managed to grow 4.52%. Sulawesi with a contribution of 5.98% recorded an economic growth of 4.58% yoy.

Meanwhile, the areas of Bali and Nusa Tenggara were the only ones that contracted at 0.09%, with a contribution to GDP of 2.75%.

BPS noted that economic growth in the third quarter of this year reached 3.51% yoy. This realization is lower than the previous quarter's performance which managed to grow 7.07%, and below the projection of the Minister of Finance Sri Mulyani which reached 4.5%.

Margo explained that the third quarter gross domestic product calculated at the current base price reached Rp 4,325.4 trillion and if calculated at a constant base price of Rp 2,815.9 trillion.

"If the economy is calculated in 2021 compared to the second quarter of 2021 it will grow 1.55% and compared to the third quarter of 2020 it will be 3.51%. Meanwhile, cumulatively it will grow 3.24%," said Margo.

Meanwhile, based on its constituent components, the highest growth was in the international trade component. Exports managed to grow 29.16%, as well as imports which grew higher at 30.11%.

However, the other four components still grew positively even though they were slowing down. This was mainly influenced by the existence of Emergency PPKM and PPKM Level 1-4 since early July. Household consumption, which accounts for half of the national economy, now only grew 1.03%, slowing from 5.96% growth in the previous quarter. LNPRT consumption grew 2.96%, government consumption 0.66% and investment (PMTB) grew 3.74%.

Meanwhile, in terms of business fields, Margo noted that there were 11 business fields that recorded positive growth, the highest in the health sector which grew 14.6%. The processing industry, which is the largest contributor to the economy, managed to grow 3.68%.

On the other hand, there were six business fields that contracted in the third quarter. The biggest decline was in the government administration sector, which fell 9.96%.

source : https://katadata.co.id/agustiyanti/finansial/6184d52a6cf65/ekonomi-maluku-papua-tumbuh-paling-tinggi-reach-9-15