TEMPO.CO, Jakarta - Finance Minister Sri Mulyani Indrawati predicted that Indonesia’s economy would grow 5.05 percent by the end of 2017, which is below the assumption in the Revised State Budget set at 5.2 percent.

“The economic growth is predicted to stand at 5.05 percent in 2017,” the minister said in Jakarta on Wednesday, December 20.

Sri Mulyani added that the estimation was based on the economic growth in the fourth quarter that stood between 5.15 percent and 5.17 percent. “[The growth] in the fourth quarter is expected to be higher at around 5.1 percent,” she revealed.

Read: Sri Mulyani: Urbanization Resulted at Positive Economy

Sri Mulyani explained all economic growth components in the fourth quarter are expected to grow and provide positive contributions approaching the yearend.

“We predicted that investment and exports would still provide major contributions. Public consumption and government spending were concentrated in the fourth quarter,” she said.

Minister Sri hopes that the improving economic performance at yearend would stimulate further improvements in 2018, particularly in the investment and export sectors.

“We expect the export momentum will be maintained and investments will grow 6 or 7 percent throughout the year,” Sri Mulyani said.

Earlier, the economic growth in the third quarter of 2017 was recorded at 5.06 percent, making the year-on-year economic growth to stand around 5.03 percent. The government has set the economic growth assumption in the 2018 State Budget at 5.4 percent.

ANTARA