This tag is associated with 6 posts

Indonesia’s Surprising — Yet Justified — Interest Rate Cut

By David Nellor The Bank Indonesia (BI) surprised everyone when it eased monetary policy at its February meeting. Moving into line with global trends, it cut the policy interest rate by 25 basis points to 7.5 per cent, even though analysts had predicted no change. While the change is surprising, it has a sound rationale … Continue reading

Indonesia’s Bold 2015 Budget Strategy

By David Nellor No more ‘business-as-usual’ is the Jokowi government’s message in the 2015 budget. Fuel subsidies have been cut, infrastructure spending is to be ramped up, and revenues are projected to rise dramatically. These three steps deliver a 1.9 per cent fiscal deficit, down from 2.2 per cent in 2014. This leaves space for … Continue reading

Optimism On The Rise In Indonesia

By David Nellor A greater sense of optimism prevails in Indonesia about the economy in 2015 than a year ago, even though the reality is now more challenging. Growth is slowing, business costs are on the rise, and key economic vulnerabilities persist. In simple terms, the new government of President Joko Widodo (Jokowi) has been … Continue reading

Indonesia Is Well Placed To Play A Leading Role In Developing A Better Regional Architecture For The Indian Ocean

By Awidya Santikajaya On his recent trips to the APEC, ASEAN and G20 summits, Indonesian President Joko Widodo spoke of how he saw Indonesia’s role as a “global maritime axis.” Recognizing Indonesia’s status as the world’s largest archipelagic state and its location at the crossroads of the Indian and Pacific oceans, Widodo emphasized the importance … Continue reading

Time To Rethink Economic Policies In Indonesia

By Ross McLeod Economic performance in post-Suharto Indonesia has been inferior to that achieved during the previous three decades, with economic growth slower and income inequality increasing. With the recent election of a new president, now is a good time to focus on improving the quality of economic policymaking. To begin, how should Indonesia make … Continue reading

Jokowi Looks To Ramp Up Investment In Indonesia

Indonesia is looking to ramp up investment and is seeking to become a new haven in Southeast Asia as the nation’s new government aims to cut costly subsidies. Indonesia’s new leader, President Joko “Jokowi” Widodo, in his maiden speech at the Asia-Pacific Economic Cooperation’s (APEC) CEO Summit in Beijing made one thing clear to the audience … Continue reading

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