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BRS Release, November 5, 2025: Economic Growth in the Third Quarter of 2025, Employment in August 2025, and the Human Development Index (HDI) in 2025 for South Sulawesi Province
November 5, 2025 | Other Activities
Makassar, November 5, 2025 – The Head of the Statistics Indonesia (BPS) of South Sulawesi Province, Aryanto, stated in a press release today that the global economy and major trading partners continue to show growth amidst international trade pressures. Based on IMF projections, global economic growth in 2025 has been revised upward to 3.2 percent from the previous 3.0%.
Aryanto explained, "The economies of several of South Sulawesi's major trading partners continue to grow amidst international trade pressures," he said in a press release on Wednesday, November 5, 2025.
Meanwhile, realized Domestic Direct Investment (PMDN) and Foreign Direct Investment (PMA) grew 5.41 percent year-on-year, reaching IDR 4.1 trillion. Imports of foreign capital goods increased by 149.67 percent, state budget capital grew by 58.59 percent, while state budget capital expenditure contracted by 40.13 percent. Cement procurement also increased by 6.09 percent year-on-year.
In the production sector, agricultural performance showed positive results. Rice production grew 6.47 percent, and seaweed production increased 10.96 percent year-on-year. Trade and manufacturing activity also grew, driven by a 5.46 percent increase in online e-retail and marketplace transactions and a 25.53 percent year-on-year jump in food exports. However, exports of basic metals declined 9.56 percent year-on-year. "Meanwhile, the basic metals industry experienced a contraction. This condition is evident in the decline in exports of iron and steel products," said Aryanto (November 5, 2025).
The South Sulawesi economy in the third quarter of 2025 grew by 5.01 percent year-on-year, supported by increased domestic economic activity. The added value created reached IDR 196.97 trillion at current prices. On a quarter-to-quarter basis, growth was recorded at 3.37 percent, and on a c-to-c basis, it grew 5.23 percent. Despite slower growth compared to the same period the previous year, South Sulawesi's economy has continued to show positive growth over the past five years.
Overall, 16 business sectors grew positively in the third quarter of 2025. The four main sectors—agriculture, trade, construction, and manufacturing—contributed 65.21 percent to South Sulawesi's economy. The highest growth was recorded in other services (11.82%), followed by financial and insurance services (9.39%), and corporate services (8.55%). The agricultural sector was the largest source of growth, contributing 1.08 percent.
In the mining sector, nickel matte production increased 7.7 percent year-on-year, and natural gas production increased 17.9 percent year-on-year. Furthermore, other service sectors also showed improvement through growth in entertainment activities in Makassar City, LNPRT activities, and increased domestic tourist travel.
In terms of expenditure, almost all components grew positively except government consumption. Household consumption still dominates Gross Regional Domestic Product (GRDP), contributing 51.30 percent, followed by Gross Fixed Capital Formation (GFCF) at 37.06 percent, which recorded the highest growth due to increased physical investment, both in construction and non-construction.
The main source of South Sulawesi's economic growth in the third quarter of 2025 (based on expenditure) came from household consumption, which contributed 2.32 percent to total economic growth.
Nationally, South Sulawesi contributes 3.30 percent to the Indonesian economy, making this province one of the fastest growing economies in eastern Indonesia.
South Sulawesi Employment in August 2025
The employment structure in August 2025 recorded employment of 78.15 thousand people in the past year. The working-age population reached 7.34 million, an increase of 92.11 thousand. The labor force was recorded at 4.97 million, while the non-labor force was 2.38 million. The unemployment rate increased to 0.21 million.
Full-time employment reached 2.98 million, part-time employment 1.40 million, and underemployment 0.38 million. The Labor Force Participation Rate (TPAK) rose to 67.65 percent, while the Open Unemployment Rate (TPT) increased to 4.21 percent. At the provincial level, Makassar City recorded the highest TPT at 9.60 percent, while Enrekang Regency recorded the lowest at 1.78 percent.
The business sectors with the highest increase in employment included agriculture (72.38 thousand people), accommodation and food and beverage (24.50 thousand people), and trade (14.53 thousand people). The working population reached 4.76 million, with the proportion of workers/employees/staff at 36.12 percent, an increase of 40.88 thousand people compared to last year.
Human Development Index (HDI)
South Sulawesi's HDI in 2025 is projected to reach 75.92, a 0.98 percent increase compared to 2024. The increase in the HDI is driven by increases in all indicators, with the highest growth in real per capita expenditure, which increased by 498 thousand rupiah (4.06%), followed by average years of schooling (1.58%), life expectancy (0