Indonesia Economic Outlook
April 24, 2018Economic activity continued to expand at a healthy pace in the first quarter, according to available data. The domestic economy is firming, as suggested by soaring imports. This is likely being supported by the ramp-up in infrastructure spending pursued by the government, mainly through the expansion of the balance sheets of state-owned enterprises (SOEs). Bank loans expanded robustly in the first quarter, a further sign of strengthening domestic demand. In addition, improvements in the manufacturing sector were registered by the PMI in February and March. On 11 April, Moody’s upgraded the country’s rating to Baa2 with stable outlook, citing the government’s prudent fiscal stance and the Central Bank’s focus on controlling inflation.
Indonesia Economic GrowthGrowth is expected to accelerate somewhat this year, mainly supported by stronger domestic demand. Favorable financing conditions, rising inflows of FDI and higher commodity prices should spur private investment, while public investment will be scaled up through higher public infrastructure spending. Moreover, public finances will be kept in check, although the rising indebtment level of SOEs may push the government to spend public resources to ensure their financial viability. Cooling demand from China and rising global interest rates pose the main downside risks to the outlook. Met the why particular panelists see GDP expanding 5.3% in 2018, unchanged from last month’s forecast. In 2019, the economy is seen growing 5.4%.
Indonesia Economy Data
5 years of Indonesia economic forecasts for more than 30 economic indicators.
Get a sample report showing all the data and analysis covered in our Regional, Country and Commodities reports.
|Bond Yield||7.14||-0.05 %||May 16|
|Exchange Rate||14,093||0.05 %||May 16|
|Stock Market||5,841||-0.32 %||May 16|
Start Your Free Trial
Start working with the reports used by the world’s major financial institutions, multinational enterprises & government agencies now. Click on the button below to get started.
Indonesia Economic News
May 17, 2018
At its 17 and 18 May monetary policy meeting, Bank Indonesia decided to increase interest rates by 25 basis points, the first hike since November 2014, in a move aimed to ensure economic stability.
May 11, 2018
In March, retail sales rose 2.5% over the same month last year, coming in above February’s 1.5% increase and market expectations of a 1.7% increase.
May 7, 2018
The economy slowed marginally at the outset of 2018, with growth moderating from the fourth quarter.
May 7, 2018
In April, consumer prices increased 0.11% from the previous month, down from the 0.20% month-on-month increase in March.
May 2, 2018
Conditions in Indonesia’s manufacturing sector improved in April, according to the IHS Markit and Nikkei manufacturing Purchasing Managers’ Index (PMI), which rose from 50.7 in March to 51.6, the best reading since June 2016.