World Economy

Indonesia Economy Shrinks

Indonesia Economy ShrinksIndonesia Economy Shrinks

Indonesia’s economy unexpectedly shrank for a second straight quarter as exports and government spending dropped, underscoring the challenge for President Joko Widodo as he seeks to reinvigorate growth Yahoo News reported. The rupiah fell. Gross domestic product contracted 0.18% in the three months ended March 31 from the previous quarter, the statistics bureau said in Jakarta on Tuesday. That compares with the median estimate of a 0.25% expansion in a Bloomberg survey of 10 economists. The economy grew 4.71% from a year earlier, missing most estimates in a separate survey. Widodo took office in October pledging to increase infrastructure spending, boost investment and achieve 7% expansion by 2017 in Southeast Asia’s largest economy.