BI PREDICTS 2009 ECONOMIC GROWTH AT 4.9%
Trade and Investment News - 22 Desember 2008
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Bank Indonesia (BI) predicts that Indonesia’s economic growth will reach 4.9% in 2009, higher than the World Bank’s prediction of 4.4%, Antara reported. "The impact of the global economic crisis will still be felt in 2009 where world economic growth will decline and world trade volume will also undergo a cut," BI deputy governor Mulyaman D Hadad said on Thursday. Global economic growth would fall from 3% to 2.2% while the world’s trade volume will drop from 4.1% to 2.1%. This meant that the global demand for goods will also decrease.Hadad said he was convinced that Indonesia’s inflation next year would be lower than this year, when it is predicted at between 11.5% and 12.5% while in 2009 it is projected at 6.5% - 7.5%. The lessening in inflationary pressures is primarily caused by the slowing down of domestic demand and an associated decline in prices, he said.

According to BI deputy governor Budi Mulya, the government's decision to cut subsidized premium gasoline and diesel prices by 12.7% is likely to significantly ease inflation in the months ahead, The Jakarta Globe reported. Industry Minister Fahmi Idris said the lowering of domestic prices of fuel could reduce production costs of industries, but would not be enough to prevent lay-offs. BI’s Hadad also said BI will try to stabilize the rupiah exchange rate so that excessive exchange rate volatility would not occur. He said the national economy would depend on the strength of domestic demand.

Sumber: www.ekon.go.id