Current Account Deficit Remains Threat in 2015
16 October 2014 12:48 WIB
TEMPO.CO, Jakarta – Bank Mandiri chief economist Destry Damayanti said the current account deficit would remain a problem for the Indonesian economy next year. “Our prediction is that the current account deficit is still above 2.5 percent,” said Destry on Wednesday.
She said Mandiri forecasted Indonesia's current account deficit in the third quarter of 2014 would be above 3.5-3.6 percent and would be under three percent in the fourth quarter. “Around 2.8-2.9 percet, but still three percent in general,” she said. In 2015, the deficit is predicted to surpass 2.5 percent.
The large account deficit will prompt Bank Indonesia to proceed with its tight monetary policy to curb the deficit, particularly in the absence of significant policy in the real sector.
In the second quarter of 2014, the current account deficit was recorded at US$9.1 billion or equal to 4.27 percent from Indonesia’s GDP.
MAYA NAWANGWULAN
