Political Year Estimated to Boost Money Circulation by 10 Percent
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Kamis, 1 Januari 1970 07:00 WIB
Bank employees count Indonesian rupiah bank notes in cash center Bank BNI headquarter's, Jakarta, November 21, 2017. Tempo/Tony Hartawan
TEMPO.CO, Jakarta - Circulation of money in 2018 is estimated to increase 10-12 percent compared to that of 2017 with Rp694.8 trillion. It is expected since a number of political agendas will stimulate economic activities particularly in consumption, Bank Indonesia (BI) executive director and currency management department head Suhaedi stated in Jakarta on Friday, January 5.
"We estimated the currency in circulation to reach 10-12 percent, but we will continue to observe the development since it also depends on economic growth," he said.
Suhaedi believed that economy will grow faster in 2018 compared to 2017. BI projected economic growth in 2018 to reach 5.1-5.5 percent (YoY).
He went on by saying that three main factors will boost the circulation including economic growth, inflation and rupiah exchange rate. Suhaedi explained that the three parameters show an improvement in 2018.
In addition, Suhaedi continued, economic growth across regions will also rise and further boost the circulation.
