In 2016, the Indonesian economy held its ground amid sluggish global economic conditions replete with uncertainty. Key to this achievement was the structural predominance of domestic demand and support from adequate policy responses. In turn, the combination of these two factors mitigated the risk of fallout from weak global economic growth, protracted low global commodity prices, and the heightened uncertainty hanging over global financial markets. In 2016, Indonesia’s economic growth climbed from 4.9% in 2015 to 5.0%. Higher growth was also supported by a sound level of economic stability marked by low inflation, decline in the current account deficit, stable exchange rate, and well maintained financial system stability with low systemic risks.