The economy of the Riau Islands (Kepri) has reported a growth of 5.02% in the third quarter of 2024, slightly up from 4.90% in the previous quarter, as the region continues to benefit from robust manufacturing and construction activities.
In the third quarter of 2024, the Riau Islands’ economy demonstrated a growth of 5.02%, achieving a nominal Gross Regional Domestic Product (GRDP) of IDR 86.88 trillion and a real GRDP of IDR 51.84 trillion. This performance was highlighted by Margaretha Ari Anggorowati, the head of the Central Statistics Agency (BPS) of Kepri, on Tuesday, November 5, 2024.
The manufacturing sector was the main driver of this economic growth, contributing 3.26% to the increase. This was complemented by the construction sector which contributed 0.60% to the overall growth figure.
From a production perspective, the mining and quarrying sector also played a significant role, adding 1.49% to the growth, followed by construction at 0.78%. In terms of expenditure, net exports and household consumption contributed 2.37% and 2.03%, respectively.
The health services and social activities sector saw the most significant increase at 31.53%, followed by other services at 26.93%, and government administration, defense, and compulsory social security at 18.28%.
The structure of Kepri’s economy remains dominated by the manufacturing sector, which accounts for 40.80%, followed by construction at 20.49% and mining and quarrying at 9.99%.
The sustained economic growth in Kepri, particularly in manufacturing and construction, indicates the region’s growing industrial capabilities and its importance in Indonesia’s broader economic framework. This growth is likely to attract more investment and development opportunities, providing significant implications for Singaporean and international businesses looking to invest in the region.
The Riau Islands’ economy marked a growth of 5.02% in Q3 2024, with the manufacturing sector leading the way. This growth reflects the increasing economic stability and potential for further industrial development in the region.
Source: Bisnis (2024)
Keywords: Manufacturing Sector Growth, Kepri Economy, 5.02% Increase
