2017 presents both good news and bad news for Indonesia, which we expect to be evident in Q1 2017 economic data. On one hand, Indonesia has successfully weathered structural adjustment for the last 5 years and is now in relatively healthier posture.  Investment  climate has  improved considerably due to the success of tax amnesty programs,...Read More

Still consistent with our previous outlook, we expect 2016 GDP to grow at around 5.1% level, higher than the preceding year. This is attributable to more robust consumption growth amid low inflation. However, this growth is most probably lower than the potential amid stagnating government spending in 2016 due to two budget cuts in the second semester...Read More

The overall sentiment in Q3 and going forward is leaning toward cautious optimism across the board. While external environment remains challenging for Indonesian economy as a whole, most of the headwinds in global macroeconomic outlook have been already taken into account.Read More

The main themes for Indonesian economy in the second quarter of 2016 revolve around subdued global growth, struggle to accelerate growth, and challenges for export diversification.Read More

Highlights 2016 Q1 GDP to grow at about 5.2% (yoy) and 2016 GDP to grow at 5.2-5.4% (yoy) Foreign investments led 2016 Q1 growth,consumption growth to continue at a moderate pace Current account deficit will be higher than 2015 2016 inflation to be within BI’s target, higher than 2015Read More

Highlights Foreign investment led Q4 2015 GDP, projected to continue in 2016 Consumption still dominates but fading Q4 2015 GDP to grow at around 4.9% (y-o-y), 2015 GDP to grow at around 4.8% (y-o-y), and 2016 GDP to grow at 5.2-5.4% 2016 inflation to be within BI’s target, higher than 2015Read More

After years of high commodity prices since mid-2000s and, subsequently, quantitative easing policies in developed economies on an unprecedented scale, Indonesia—along with the rest of emerging markets —became complacent and failed to enact badly-needed structural reforms.Read More