Indonesia Sets Moderate Growth Goals
Indonesia Sets Moderate Growth Goals

Indonesia Sets Moderate Growth Goals

Indonesia Sets Moderate Growth Goals

Amid rising external pressures, Indonesia’s economy is expected to expand by 5.3% next year on the back of stronger domestic consumption, investment and export, President Joko Widodo told Parliament on Thursday.
The growth will be oriented towards equality by accelerating development in eastern Indonesia, border areas and less-developed regions, strengthening economy in villages and intensifying efforts to address poverty, he said in his remarks to endorse the proposed 2019 state budget, Antara reported.
To support the growth target, the government has earmarked 2.44 quadrillion rupiah ($229.53 billion) for the state budget next year, up 10% from the figure estimated for this year.
“The quality of the state spending will be improved and focused on stimulating the economy and creating people’s prosperity in a just and equal manner,” Joko said.
The administration will also keep inflation between 2.5 and 4.5%, enabling the population to meet its basic needs, especially by ensuring affordable food prices, he added.
In addition, it expects to maintain people’s purchasing power through various social security programs, especially for the poor and low-income population.
South-east Asia’s top economy expanded by 5.07% last year and the government anticipates that it grew by only 5.18% this year, down from the 5.4% outlined earlier.
Weak household consumption and the global commodity slump has put a brake on Joko’s ambition of achieving 7% economic growth—a figure set when he came into office in late 2014. In his first year of tenure, the emerging economy expanded by merely 4.8%, its slowest pace in six years.
But, growth picked up pace to a five-year high of 5.27% in the second quarter of this year, bringing the overall growth in the first half of this year to 5.17%. Inflation, a key macroeconomic indicator, bodes well with the central bank’s target range of between 2.5% and 4.5%.
Joko, who is seeking re-election in next year’s presidential polls, also claimed some achievements that have been triggered by a robust economic growth at around 5% during his nearly four-year tenure.
They include the fall of the poverty rate in the world’s fourth-most populous nation of more than 260 million people to a historic low of 9.82% in March, covering 25.95 million of its population. Furthermore, the Gini coefficient, which measures inequality, slid to 0.389 in March, the lowest in six years.

Short URL : https://goo.gl/x6ZHKe
  1. https://goo.gl/Vf7oh6
  • https://goo.gl/7bDopn
  • https://goo.gl/6ESR6S
  • https://goo.gl/K6DkPs
  • https://goo.gl/ajmgMv

You can also read ...

Business confidence fell to its lowest level since August 2013 and around 7% of companies expected a contraction.
According to data from the International Monetary Fund in...
China Warned of Ballooning SOEs
Former chief of the World Bank Robert Zoellick cautioned China...
Shrinking unemployment in the US, Japan and the eurozone finally forces companies  to lift wages to retain and attract staff.
Workers in the world's richest countries are getting their...
New Zealand Q2 GDP Growth Picking Up
New Zealand’s economic growth is expected to have accelerated...
Saudi Sovereign Fund Secures $11 Billion Loan
Saudi Arabia's sovereign wealth fund said Monday it had...
Lira Eases Against Dollar
Turkey’s lira weakened against the dollar on Monday as...
By 2025 more than half of all current workplace tasks  will be performed by machines.
Robots will handle 52% of current work tasks by 2025, almost...
UK Economy Will Shrink Without Brexit Deal
Britain’s economy will shrink if the country leaves the...

Add new comment

Read our comment policy before posting your viewpoints