Investment Credit Growth Accelerates in Late 2025

Strong Year-on-Year Performance

Investment credit growth reached 17.8% year-on-year in November 2025, according to Bank Indonesia's Money Supply Analysis Report. This performance significantly outpaced the overall credit growth of 7.74% during the same period, marking investment credit as the strongest component among various credit types for the eleventh consecutive month.

Sectoral Drivers of Growth

The robust growth in investment credit was primarily driven by the transportation and communication sectors, as well as manufacturing industries. These sectors have been the main recipients of investment credit since the beginning of Q4-2025, indicating a strong focus on infrastructure and industrial development. The transportation and communication sectors have maintained their position as primary beneficiaries, suggesting continued investment in these critical areas.

Economic Implications

The significant growth in investment credit is seen as a positive indicator for Indonesia's economic prospects. It suggests that businesses are confident in the economic environment and are investing in expansion and development. This optimism is crucial as it could lead to increased economic activity, job creation, and overall economic growth. The strong performance of investment credit, outpacing overall credit growth, indicates a strategic focus on long-term investments rather than short-term consumption.

Market Context and Future Outlook

The strong investment credit growth comes at a time when the global economic environment remains uncertain. The fact that Indonesian businesses are continuing to invest heavily suggests resilience in the face of potential external challenges. As the economy moves into 2026, this momentum could provide a solid foundation for continued growth, assuming that global conditions do not deteriorate significantly.