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View all search resultsThe Financial Services Authority (OJK) has announced replacements for four of its high-ranking officials who stepped down on Friday, while the Indonesia Stock Exchange (IDX) is also set to appoint a new interim director ahead of a meeting with global stock market index compiler Morgan Stanley Capital International (MSCI) scheduled for Monday.
Finance Minister Purbaya Yudhi Sadewa's recent decision to withdraw Rp 75 trillion (US$4.5 billion) from state-owned banks has reignited concerns over the coherence and consistency of Indonesia's fiscal strategy.
Among the non-essential expenditures targeted by the joint circular signed by the finance and home ministers are ceremonial activities, official trips with “non-measurable” outputs and regional grants disbursed to other institutions.
Speaking at an event hosted by the Chief Editors Forum on Sunday, Purbaya said the press had grown “increasingly muted” in recent years, leaving poor public policies insufficiently challenged and weakening policy outcomes.
Finance Minister Purbaya Yudhi Sadewa credited the result to effective fiscal management, pointing to a 5.49 percent increase in government consumption and a 3.02 percent rise in investment, backed by national strategic projects and social initiatives like the free nutritious meal program and public housing programs. But some analysts say these state-led injections may be propping up growth temporarily rather than signaling a private sector revival.
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