General Elections to Circulate Rp100tn, Indef Says
Translator
Editor
6 December 2023 17:33 WIB
TEMPO.CO, Jakarta - The Institute for Development of Economics and Finance or Indef estimated that the upcoming general elections will circulate Rp100 trillion of money.
The Executive Director of Indef Tauhid Ahmad stated that the money circulation is caused by extraordinary spending on sustenance, accommodation, hotel, transportation, and logistics at a brisk pace.
"I believe it will become a positive signal for the economy," he said in Jakarta.
Additionally, the government is expected to spend Rp50 to Rp60 trillion during the political year.
However, Tauhid also said that Indonesia will face several economic challenges, namely the higher-for-longer interest rate. It will depend on the US Federal Reserve or the Fed to lower its sustained 5.25-5.5 percent key interest rate.
Tauhid also highlighted the war in Ukraine, the ongoing crisis in the Middle East, food prices, and the declining rate of China's economic growth.
"The global situation will affect us and lower Indonesia's import and export potential next year," Tauhid said.
AMELIA RAHIMA SARI
Editor's Choice: Monitoring Election Budget, KPU Utilizes e-SPIP App
Click here to get the latest news updates from Tempo on Google News
