The Political Dynamics coloring this country during a ceremony simultaneous elections held on February 15, 2017 didn’t shook Indonesia economic conditions. Several economists and analysts believe, Economic Recovery Indonesia will still continue despite pre and post elections.
State-owned securities company, PT Bahana Securities believes that economy of Indonesia will grow better than last year period.
Gross Domestic Product (GDP) is estimated to grow around 5.3 percent still supported by stable domestic consumption and investment. Things in the Middle improvement singer commodity prices make a positive contribution against the Indonesian export activities. Government spending will become drivers of economic wheel, the taxable income years ago was very careful hearts using the budget.
According Bahana, Economic Recovery singer certainly Being Mover price index (JCI) on the exchange. No wonder that JCI Potential up To 6,000 range. However, From Side Exchange Rates and Inflation still a number of risks.
According to the Head of Research and Strategic Bahana Sekuritas Harry Su, the rupiah weakened into potential range of Rp13,500 AT END OF YEAR Singer When the Fed raised interest rates Fast Enough As well as a result of policy Trump Its clear yet. However, the rupiah strengthened Potentially Also Until below Rp13,000, If the response of the Fed to raise interest rates aggressively and Economics NOT fundamentally keep showing improvement.
More, more, Risk Of Side Inflation is expected to be more on Year Singer big due to the increase in prices Its regulated by the Government, such as the increase in electricity tariffs and the increase covers the cost of maintenance of vehicle registration Happens Then in January.
Thus, Bahana raise inflation projections at end of year Singer Being 4.4 percent, compared to the previous estimate of 3.8 Percent Interest. As a result, space for a review of monetary easing through interest rate cuts Transmission It does not allow Again throughout the Year singer.
The great expectation national economy improves, with strengthening Rupiah Exchange. The strengthening Rupiah Exchange will bring a positive impact food Share Products processed Indonesia. The reinforcement will make raw price of imports decreased so as impacting competitiveness on Products. So no word “cheer and scream” hearts strengthening / weakening of the Rupiah.
)* The author is CIDISS contributor
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