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Jokowi to Rely on Tourism to Curb Deficit

28 October 2014 18:52 WIB

TEMPO.CO, Jakarta - Finance Minister Bambang Brodjongoro said the government would optimize the tourism sector, especially by boosting the number of tourists, to reduce the nation's current account deficit. “The president has given the instruction to accelerate sectors that can help reduce the transaction deficit," Bambang said on Monday.

It is difficult for the government to avoid the current account threats. The slowdown in global economic growth causes the government to rely on export growth until the end of this year. “That’s why the tourism sector must be accelerated,” he said.

Bambang continued that the government must develop more infrastructure to spur export growth—a difficult realization allowing for the government's limited budget. 

Bank Indonesia has announced that the country's current account deficit in the year’s second quarter stands at US$9.1 billion or 4.27 percent of the gross domestic product (GDP), or lower than the same period last year with US$10.1 billion or 4.47 percent of GDP. Some commodities such as coal, CPO and mineral have seen lower growth due to the economic slowdown in developing countries and the implementation of Mineral and Coal Mining Law.

JAYADI SUPRIADIN




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