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BI Forecasts 5.4 Percent Economic Growth

19 June 2015 10:22 WIB

Ilustrasi Bank Indonesia (BI). TEMPO/Imam Sukamto

TEMPO.CO, Jakarta - Bank Indonesia (BI) has projected the country's economy will grow by 5-5.4 percent this year, lower than the previous projection at 5.4-5.8 percent.

“Overall, the economic growth is estimated at 5-5.4 percent in 2015,” BI communications executive director Tirta Segara told a press conference in Jakarta on Thursday.

According to Tirta, the consistency to promote the acceleration of the government's spending will help spur the economic growth.

“The implementation of infrastructure projects and investment climate improvement will play an important role in boosting the economic growth in 2015,” said Tirta.

Meanwhile, Indonesia’s economic growth in this year’s second quarter will still be limited and improve in the coming quarters.

“Limited growth here means the economy will still grow, albeit insignificant,” said Tirta.

Externally, exports are predicted to be pressured by the global economy and low commodity prices.

Investment will also experience a limited growth given the weak imports of capital goods and the slow development of infrastructure projects.

On the other hand, consumption rate will improve, as evident in the consumer confidence index that increased in May 2015.

“Bank Indonesia estimates the economic growth in the second quarter of 2015 will improve, supported by the increase in consumption, the government’s investment and implementation of infrastructure projects,” said Tirta.

ANTARA




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