Sri Mulyani: Indonesia 'Resilient' amid Global Economy Pressure

TEMPO.CO, Jakarta - Indonesian Finance Minister Sri Mulyani said that although the world's economy will come under increasing pressure next year, Indonesia would be quite resilient against the situation. Her confidence stems from the country's economic growth projection, which is expected to remain at a level of 5.3 this year and 5.0 in 2023.

Sri said that the projection of world economic growth will continue to decline as seen in the IMF's World Economic Outlook correction to 3.2 this year, with the likelihood of weakening further next year.

"This means that the world's economy will continue to be depressed until 2023," Sri said at a press conference on the State Budget, Friday, October 21.

Sri Mulyani said that various world institutions still project Indonesia will remain in a fairly good condition, with economic growth of around 5 percent. However, she reminded vigilance as global economic shocks tend to be very strong and large.

Ahead of the year-end, Sri Mulyani said that the global situation will be more complex due to uncertainties over when the war would be over. "This causes a very large spillover," said Sri Mulyani.

The coming winter will also increase energy demand amidst uncertainties about supplies, which would add pressure to energy prices.

High inflation also triggers aggressive interest rate hike policies by central banks across the globe, which could further weaken demand. "This is what we must be aware of until the end of 2023," she said.

RIANI SANUSI PUTRI

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