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Poor Economic Performance Affects IHSG

30 April 2015 14:04 WIB

Gubernur BI Agus Martowardojo. TEMPO/Imam Sukamto

TEMPO.CO, Jakarta – Bank Indonesia Governor Agus Martowardojo said the Indonesia Composite Index's (IHSG) declining trend over the last week was caused by unfavorable economic situations in the first quarter of 2015. 

“It’s not surprising, because of foreign overeaction,” Agus said on Wednesday, April 29, 2015. 

Delays in state development in the year's first quarter, Agus added, had triggered negative sentiments, as well as corrected performance of Indonesia’s public companies that affected market players. 

Agus, however, said he was hopeful that the condition would improve beginning the second quarter following state spending.

“Fundamentally speaking, [the economy] is going well,” Agus said, adding that the trade balance posted a surplus and the current transaction stood at 2.8 percent of the GNP.

Therefore, Agus explained, Bank Indonesia would strive to control the inflation rate by securing volatile food and administered prices.

ANDI RUSLI


MacroeconomicsAgus D.W. Martowardojo


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