Indonesia says its poverty rate is at its lowest in 20 years

Indonesia says its poverty rate is at its lowest in 20 years

There were roughly 23.85 million people living in poverty as of March this year.

Indonesia life AP 250725
Indonesia’s statistics bureau noted the significant poverty gap between big cities and rural areas. (AP pic)
JAKARTA:
The number of Indonesians living under the poverty line has hit a record low for the past two decades, the country’s statistics bureau said today.

According to the central statistics agency, there were roughly 23.85 million Indonesians living in poverty as of March this year – representing 8.47% of the country’s total population of 280 million.

BPS categorises people living off Rp609,160 a month, about US$37, as poor.

“The poverty line figure for 2025 is the lowest for the past two decades,” the agency’s senior official, Ateng Hartono, told a press conference.

However, the agency noted the significant gap between big cities and rural areas, with villages still seeing a higher poverty rate.

Jakarta last week struck a trade deal with the US that will see Indonesian goods hit with a 19% tariff – lower than the threatened rate of 32%.

According to Washington, nearly all US goods will be able to enter Indonesia tariff-free.

Indonesia’s coordinating minister of economics Airlangga Hartarto said earlier this week that if Washington had insisted on the 32% tariff, around a million Indonesians could lose their jobs and the poverty rate could increase.

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