Jusuf Kalla Reveals Cause of Trade Balance Deficit Hike
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18 December 2018 21:20 WIB
TEMPO.CO, Jakarta - Vice President Jusuf Kalla stated the main cause of the hike of trade balance deficit is the drop of the world’s commodity prices. Whereas, commodities are the pillar sector for Indonesia in the international trade.
“Prices of commodities has again weakened, such as coal, crude palm oil (CPO), rubber. Almost all minerals experience changes in price,” said Kalla in the vice presidential office, Tuesday, December 18.
Earlier, the Central Statistics Agency (BPS) recorded state trade balance in November 2018 was at a deficit of US$2.05 billion, in line with the oil and gas deficit.
The figure came from the export balance which was at US$14.83 billion, lowered than the import balance at US$16.88 billion.
On the other hand, Kalla added, several Indonesian commodity exports did not face changes, yet the export value was declined due to the drop in prices.
Jusuf Kalla continued the government had earlier predicted that Indonesia would deal with the increase in trade balance deficit when compared to last year’s figure.