TheJakartaPost

Please Update your browser

Your browser is out of date, and may not be compatible with our website. A list of the most popular web browsers can be found below.
Just click on the icons to get to the download page.

Jakarta Post

OECD upgrades Indonesia’s two-year GDP growth forecast

The organization upgraded its growth projections by 0.9 percentage points to 4.9 percent this year and by 0.3 percentage points to 5.4 percent next year.

Dzulfiqar Fathur Rahman (The Jakarta Post)
Premium
Jakarta
Sat, March 20, 2021

Share This Article

Change Size

OECD upgrades Indonesia’s two-year GDP growth forecast Organization for Economic Cooperation and Development (OECD) secretary-general Angel Gurría (left) and Finance Minister Sri Mulyani Indrawati attend the release of an OECD survey in Nusa Dua, Bali, on Oct. 10, 2020, on the sideline of the International Monetary Fund–World Bank (IMF-WB) Annual Meeting. (Antara/Nicklas Hanoatubun)

T

he Organization for Economic Cooperation and Development (OECD) recently upgraded its economic growth projections for Indonesia on the back of an expected rebound in consumer spending and exports.

In its latest outlook in March, the OECD raised its gross domestic product (GDP) growth projection by 0.9 percentage points to 4.9 percent for this year and by 0.3 percentage points to 5.4 percent for 2022.

“Looking ahead, the OECD projects a return to almost 5 percent growth in 2021 with momentum building up in the coming years,” Ángel Gurría, the outgoing secretary-general of the OECD, said in a virtual presser on Thursday. 

“Now, the important factor is the global trade revival, which will help Indonesian exporters, [spending] pick up.”

The upgraded outlook came after Indonesia raised its national economic recovery (PEN) budget by 20.6 percent year-on-year (yoy) to Rp 699.4 trillion (US$48.36 billion) in 2021 as the country rolls out its COVID-19 vaccination program and extends other stimulus programs.

Read also: Govt pledges higher spending boost. This time, it's focusing on health

The government is aiming to inoculate 181 million people by March 2022 as part of a free vaccination drive that began in January. Funds have also been allocated for electricity subsidies, cash transfers and tax breaks, among other initiatives, to spur household spending, which makes up over half of Indonesia’s GDP.

to Read Full Story

  • Unlimited access to our web and app content
  • e-Post daily digital newspaper
  • No advertisements, no interruptions
  • Privileged access to our events and programs
  • Subscription to our newsletters
or

Purchase access to this article for

We accept

TJP - Visa
TJP - Mastercard
TJP - GoPay

Redirecting you to payment page

Pay per article

OECD upgrades Indonesia’s two-year GDP growth forecast

Rp 29,000 / article

1
Create your free account
By proceeding, you consent to the revised Terms of Use, and Privacy Policy.
Already have an account?

2
  • Palmerat Barat No. 142-143
  • Central Jakarta
  • DKI Jakarta
  • Indonesia
  • 10270
  • +6283816779933
2
Total Rp 29,000
{

Your Opinion Matters

Share your experiences, suggestions, and any issues you've encountered on The Jakarta Post. We're here to listen.

Enter at least 30 characters
0 / 30

Thank You

Thank you for sharing your thoughts. We appreciate your feedback.