The national economic growth momentum is resilient as a corollary of improving export performance and solid household consumption.
Increasing demand from Indonesia’s trading partners and higher export commodity prices have been a boon to exports, with shipments of coal, motor vehicles, iron and steel as well as metal ore and scrap metal recording positive growth in the fourth quarter of 2019.
Spatially, nickel ore exports from Sulawesi and copper exports from West Nusa Tenggara have also increased.
Consumer confidence is rising, which has maintained household consumption along with seasonal factors towards the year-end.
Meanwhile, investment continues to improve, boosted by regional investment in downstream nickel processing located in Sulawesi.
A bump in the Manufacturing Purchasing Managers’ Index and other recent indicators of export sales and domestic sales are indicative of stronger investment.
Bank Indonesia expects a steady rise in investment due to infrastructure development and surging business confidence resulting from expanding exports and improvements in the ease of doing business in line with current government policy, including implementation of the Omnibus Law on Job Creation.
Consequently, economic growth was recorded at 5.1 percent in 2019, which Bank Indonesia projects to lie in the range of 5.1 to 5.5 percent for 2020, Bank Indonesia Governor Perry Warjiyo stated.
(source: Antara News)