Indonesia economy contracted by 0.92% QoQ in Q1 2023, reversing the 0.36% growth in Q4 2022. That marked the first economic contraction since Q1 2022, as fixed investments and government spending decreased. Net trade also had a negative impact, with a 5.40% drop in exports and a steeper 6.95% fall in imports, reflecting China’s economic slowdown, Indonesia’s primary trading partner. In 2022, the economy expanded by 5.31%, the highest in nine years, fueled by the lifting of pandemic restrictions and strong exports.