President Joko “Jokowi” Widodo said Indonesia has already entered years of low inflation, which along with economic growth, are the keys to success in managing the economy.
"In 2015, the country’s inflation was only 3.36 per cent , down to 3.02 per cent in 2016. In the first quarter of 2017, the inflation was 4 per cent year-on-year," the president said when opening a coordinating meeting on inflation control.
"The global economic condition is still in a deep slump, all countries are facing heavy pressure," he told the media, despite having the third highest growth rate among the G20 countries. He added that household consumption is still the main driver for economic growth, therefore, purchasing power should be kept at an adequate level.
The president also stressed the importance of investment and exports as the drivers for economic growth, because the state’s budget alone can’t be the sole stimulus for economic growth. Exports to the United States, Europe and Latin America have declined due to economic deceleration in those regions, so he expressed the urgency to speed up the government spending, instead of keeping funds idle at the bank for too long. He also reminded regional administrations that investment licenses should be processed in hours and days, not weeks months or years.
In the end, “Jokowi” pointed out that there are always opportunities, like those shown by South Sulawesi, which grew 7.4 per cent, and Makassar, which recorded an even higher growth of 7.9 per cent.