Province

West Sulawesi

West Sulawesi

Located in the western part of Sulawesi island, West Sulawesi is a province in Indonesia that covers an area of 16,594.75 square kilometers as of 2022. It is bordered by Central Sulawesi to the east, South Sulawesi to the south, and the Makassar Strait to the west. West Sulawesi’s administrative region consists of six regencies: Majene, Polewali Mandar, Mamasa, Mamuju, Pasangkayu, and Central Mamuju. The capital city of the province is Mamuju, serving as the economic and administrative center of West Sulawesi.

Demographically, West Sulawesi has a population primarily consisting of indigenous ethnic groups such as the Mandar, Toraja Mamasa, Pattae, and Kalumpang people. Although the Mandar people are considered the largest ethnic group in the province, the population of West Sulawesi also consists of other ethnic groups who relocated from various parts of Indonesia, such as the Bugis, Javanese, Balinese, Sasak, and East Nusa Tenggara people. As for religion, the majority of the population in the province are Muslims, followed by Christians, Catholics, Hindus, Buddhists, Konghucu, and adherents of indigenous beliefs.

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West Sulawesi’s economy

Based on data from the West Sulawesi Central Statistics Agency (BPS), the province recorded a Gross Regional Domestic Product (GRDP) of Rp 35.4 billion in 2023. The province’s economy is known to be driven by the mining, agriculture, and fishing sectors. Consistent with this, the agriculture, forestry, and fishing sectors dominate contributions to the GRDP, totaling Rp 13.9 billion. This is mainly attributed to agriculture, livestock, hunting, and agriculture services, which collectively amount to Rp 10.2 billion.

The manufacturing sector made the second-largest contribution to West Sulawesi’s GRDP in 2023, achieving Rp 4.1 billion, mainly from the manufacture of food products and beverages, which accounted for Rp 3.7 billion.

The third most contributing sector to the province’s GRDP in 2023 is wholesale and retail trade, including the repair of motors, with Rp 3.4 billion. Out of this figure, the majority came from wholesale and retail trade, totaling Rp 2.8 billion.

Additionally, a national strategic project (PSN) is also being developed in the province, namely the Budong-Budong dam.

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Latest News

June 24, 2025

Based on a report by Bank Indonesia (BI), the economy of West Sulawesi Province rose 4.83 percent year-on-year (yoy) in the first quarter (Q1) of 2025, down from 6.65 percent yoy in the fourth quarter (Q4) of 2025. BI West Sulawesi Representative Office Head Eka Putra Budi Nugroho noted that the figure is slightly lower than the national average of 4.87 percent yoy.

In terms of growth by economic sector, the construction sector is the main contributor to the province's economic slowdown. The downturn was due to a decrease in the realization of capital expenditures (capex) from both the state and regional budgets that was caused by the Indonesian government budget austerity policy.

Even so, several sectors managed to contribute positively to West Sulawesi's economic growth, such as the manufacturing industry. The sector grew thanks to support from the crude palm oil (CPO) commodity and its derived products, along with the increase in production of oil palm fresh fruit bunches (FFB). 

The agriculture, forestry, and fisheries sector's own contribution to West Sulawesi's economic growth was supported by the production of rice, corn, and several plantation commodities such as palm oil, cocoa, coconut, and patchouli. Moreover, the wholesale and retail trade sector is still growing. However, there is a decline in business acitivities for the mining, water supply, and construction sector.

"The growth rate is being held back by the slowdown in capture fisheries and horticultural crops," explained Eka.

From the expenditure side, the drop in gross fixed capital investment formation, or gross investment, contributed to West Sulawesi's economic growth slowdown. The decline was triggered by low government capex, another impact of the Indonesian government's austerity policy.

However, several factors continue to drive growth from the demand side, including the strengthening household consumption as the people's purchasing power improved during the 2025 Ramadan and Idul Fitri holiday period. The public administration sector also supported the province's economy through realized public servant spending, which was aided by holliday allowance for Idul Fitri in March 2025.

"Seeing that public consumption is still high, we are optimistic that the West Sulawesi economy is still strong. That showed how the [West Sulawesi] people's purchasing power is still at a good level," he said.

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