Indonesia eyes 7-8% growth from 2016

Indonesia trafficIndonesia will continue to tread a cautious monetary path over the next two years to shore up the economy’s fundamentals, but could expect to emerge with growth at 7 per cent or greater, Finance Minister M. Chatib Basri said on May 23.

“I wouldn’t be surprised if Indonesia can grow 7 to 8 percent a couple of years from now,”  Chatib said at the 23rd World Economic Forum on East Asia in Manila.

The government last June raised subsidised fuel prices in order to contain the budget deficit and reduce state expenses. The central bank also raised key interest rates in order to strengthen the rupiah, which had fallen by 26 percent against the dollar in 2013, and to curb the current account deficit – which is the broadest measure of trade.

Chatib said that the government and central bank would continue with their policies, and that economic growth would likely be not higher than 6 per cent this year. The economy grew by 5.8 per cent in 2013, after expanding 6.2 per cent the year before. Indonesia’s gross domestic product rose 5.2 per cent in the January-March quarter, year on year.

“It is by design,” Chatib said at a lunch sponsored by the Lippo Group. “We need to slow down the growth, to ensure that the next administration will have a ground for better, solid economic growth.”

Chatib said in a separate interview on Thursday that he would go on vacation after President Susilo Bambang Yudhoyono’s second five-year term ended in October. Chatib started his time as finance minister in May 2013, after serving as chairman of the Investment Coordinating Board (BKPM).

The Jakarta Globe is affiliated with the Lippo Group.



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Indonesia will continue to tread a cautious monetary path over the next two years to shore up the economy’s fundamentals, but could expect to emerge with growth at 7 per cent or greater, Finance Minister M. Chatib Basri said on May 23. “I wouldn’t be surprised if Indonesia can grow 7 to 8 percent a couple of years from now,”  Chatib said at the 23rd World Economic Forum on East Asia in Manila. The government last June raised subsidised fuel prices in order to contain the budget deficit and reduce state expenses. The central bank also raised key interest rates in...

Indonesia trafficIndonesia will continue to tread a cautious monetary path over the next two years to shore up the economy’s fundamentals, but could expect to emerge with growth at 7 per cent or greater, Finance Minister M. Chatib Basri said on May 23.

“I wouldn’t be surprised if Indonesia can grow 7 to 8 percent a couple of years from now,”  Chatib said at the 23rd World Economic Forum on East Asia in Manila.

The government last June raised subsidised fuel prices in order to contain the budget deficit and reduce state expenses. The central bank also raised key interest rates in order to strengthen the rupiah, which had fallen by 26 percent against the dollar in 2013, and to curb the current account deficit – which is the broadest measure of trade.

Chatib said that the government and central bank would continue with their policies, and that economic growth would likely be not higher than 6 per cent this year. The economy grew by 5.8 per cent in 2013, after expanding 6.2 per cent the year before. Indonesia’s gross domestic product rose 5.2 per cent in the January-March quarter, year on year.

“It is by design,” Chatib said at a lunch sponsored by the Lippo Group. “We need to slow down the growth, to ensure that the next administration will have a ground for better, solid economic growth.”

Chatib said in a separate interview on Thursday that he would go on vacation after President Susilo Bambang Yudhoyono’s second five-year term ended in October. Chatib started his time as finance minister in May 2013, after serving as chairman of the Investment Coordinating Board (BKPM).

The Jakarta Globe is affiliated with the Lippo Group.



Support ASEAN news

Investvine has been a consistent voice in ASEAN news for more than a decade. From breaking news to exclusive interviews with key ASEAN leaders, we have brought you factual and engaging reports – the stories that matter, free of charge.

Like many news organisations, we are striving to survive in an age of reduced advertising and biased journalism. Our mission is to rise above today’s challenges and chart tomorrow’s world with clear, dependable reporting.

Support us now with a donation of your choosing. Your contribution will help us shine a light on important ASEAN stories, reach more people and lift the manifold voices of this dynamic, influential region.

$
Personal Info

Donation Total: $10.00