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View all search results2016 State budget to assume Rp 13,400 per dollar
Kompas
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Kompas.com
The government on Friday proposed a rupiah exchange rate assumption of Rp 13,400 per US dollar for the 2016 State Budget draft bill (RAPBN), drawing on several global economic factors.
'The rupiah exchange rate is predicted to stand at Rp 13,400 per dollar,' said President Joko 'Jokowi' Widodo as quoted by Antara when he delivered the 2016 RAPBN in a House of Representatives plenary meeting in Jakarta on Friday.
President Jokowi said that it was predicted that the rupiah in the future would be affected by an improved global economic work performance, driven by the US; China's economic slowdown and yuan devaluation; and EU and Japan's economic improvements.
He said the government had determined Indonesia's macro economy assumptions for 2016 by considering the dynamics of both the global and domestic economies.
Apart from the rupiah exchange rate, the government also proposed a GDP growth assumption of 5.5 percent in 2016. It projected that global economic conditions would improve so that Indonesia's export and import work performances would increase, as would global demand for the country's products.
'Infrastructural development will also push forward the work performance of gross fixed capital and national consumption,' said Jokowi.
It was expected that increases in national connectivity and the reallocation of spending to productive sectors would move the national economy, maintain people's purchasing power and control the inflation rate.
Other macro economy assumptions in the 2016 RAPBN include an inflation rate of 4.7 percent, an Indonesian Crude Price (ICP) assumption of $60 per barrel, an oil and gas production target of 1.98 billion barrels of oil equivalent (BOE), in which oil production is expected to reach 830,000 barrels per day while gas production is estimated at 1.15 million BOE per day. Meanwhile, the three-month SPN (treasury bill) rate would be at 5.5 percent.
'It is hoped that the macro economy assumptions we have set are realistic in reflecting Indonesia's economic condition to provide the trigger for greater market confidence,' said Jokowi. (ebf)(+++)
