Indonesia's Economy Grows 6.5 Percent

By : Herry Barus And Aldo Bella Putra | Wednesday, February 07 2018 - 22:00 IWST

Dirut Bank Mandiri Kartika Wirjoatmodjo dan Menkeu Sri Mulyani (Foto Rizki Meirino)
Dirut Bank Mandiri Kartika Wirjoatmodjo dan Menkeu Sri Mulyani (Foto Rizki Meirino)

INDUSTRY.co.id - Jakarta - Indonesia's economy has the potential to grow to 6.5 percent (year-on-year / yoy) in the medium term or in 2022 with structural reforms that will increase productivity and attract investment for development finance.

"Reforms in fiscal and other structural reforms show the potential for economic growth to reach 6.5 percent in the medium term," the International Monetary Fund (IMF) said in its Consultation Report IV for Indonesia 2017 concluded at a meeting of the IMF Board of Directors, and quoted by Antara in Jakarta, Wednesday (7/2/2018).

The IMF appreciates the Indonesian economy and welcomes the focus of the short-term policy mix between authorities to promote growth, while also maintaining stability.

Government expenditure allocated to priority sectors is also highlighted by the IMF, as well as the growing investment that increases funding sources for infrastructure development in Indonesia.

The IMF stresses that all fiscal reforms and other structural reforms should be a priority, in order to eventually increase state revenues to support development financing needs.

IMF Board of Directors concludes that the outlook for the Indonesian economy is positive, but still needs to be alert to risks.

Governor of Bank Indonesia Agus D.W. Martowardojo welcomes the results of the IMF assessment.

Agus assess IMF assessment in accordance with the study of the Central Bank which believes that the resilience of the Indonesian economy is getting stronger.

The indicator, inflation during 2017 was at a low level of 3.61 percent (yoy).

"The maintained inflation at such a low and stable level provides an atmosphere conducive to strengthening the momentum of domestic economic recovery," he said.

Economic growth in 2017 reached 5.07 percent supported by improved infrastructure investment by the government and the role of private investment. In addition, improved resilience is characterized by a healthy current account balance and high inflows of foreign capital, as well as stable exchange rate.

"The Central Bank considers that there is an opportunity to create stronger and sustainable domestic economic growth through strengthening the implementation of structural reforms," ​​said Agus.

News Comment

Today's Industry

Friedhelm Best - Vice President Asia Pacific, HIMA (Photo by HIMA)

Jumat, 23 Oktober 2020 - 14:30 WIB

Farm & Food 4.0: How Technology Is Transforming an Industry

Digitization has affected different industries, and especially now, the food and farming industries as well.

Rena Chua, Bug Bounty Advisor at HackerOne (Photo by Linkedin)

Jumat, 23 Oktober 2020 - 11:35 WIB

3 Key Problems Security Professionals Have With Traditional Penetration Testing

Based on customer interviews, the study identifies 3 key problems with traditional pentesting solutions and evaluates the benefits of time-bound testing using ethical hackers.

The Pacific Asia Travel Association (PATA)

Jumat, 23 Oktober 2020 - 11:20 WIB

PATA Embarks On Governance Reorganisation

The Pacific Asia Travel Association (PATA) has taken the bold move to make significant changes to the design of its organisational governance at the recent Board Meeting and Annual General Meeting…

Yaffa Finkelstein - Product Marketing Manager, Check Point Software Technologies (Photo by Linkedin)

Kamis, 22 Oktober 2020 - 10:35 WIB

Secure Your Containers Like Your Apps Depend On It

Today we’ll share some of the container security concerns which you might not have considered until now, and we’ll explain how to mitigate those risks, without imposing on your agile DevOps…

Ilustration Brand phishing (Photo by Technonlogy For You)

Rabu, 21 Oktober 2020 - 15:30 WIB

Microsoft is Now Most Imitated Brand by Hackers

Microsoft soars from 5th place in Q2 to 1st place in Q3 for brand phishing attacks, making up 19% of all global phishing attacks in July, August and September.