Indonesia's investment growth on a slowdown from 9.9% to 3.1% this year

As a result of monetary tightening.

Household consumption remains to be the country’s engine of growth in Q2, contributing 3ppt to real GDP growth and accounting for a 54.7% share of GDP.

In a report by StanChart, it was revealed that investment was a drag on the country’s growth, slowing to 2.7

The investment slowdown was partly the result of BI monetary policy tightening to address the current account (C/A) deficit and IDR depreciation (which increased import costs for raw materials and capital goods.

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