- Indonesia M2 accelerated to 8.0% YoY in Sep-25, driven by strong trade balance surplus and government spending.
- Nominal GDP in Q3 is estimated to improve to 7.45% - 8.10% YoY, however, real GDP growth is expected to slow to a range of 4.91 - 5.05% YoY, due to higher price inflation.
- Net exports going to be a key contributor to GDP performance as import slumped, while investment and consumption indicator remained mixed.
- We believe BI might still be able to implement at least one more interest rate cut before year-end to complement government's fiscal policy.
