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Tuesday, August 5, 2014

Indonesia's economy declined in the second quarter of this year, the Central Statistics Agency said on Tuesday (08.05).

Indonesia's economy declined in the second quarter of this year, the Central Statistics Agency said on Tuesday (08.05).

During April-June Indonesian economy grew 5.12% or lower than the first quarter in which the growth of Indonesia reaches 5:21%.

In response to this, economic observers son Leo Rinaldi, believes the decline occurred because of slowing investment.

"Click After the election, the investment should be strengthened though it may await the decision of the Constitutional Court regarding the outcome of the election."

"Economic policy Joko Widodo will not show the impact on the economy this year because he will be in charge in October, but at least the investment will start to post-election, which will be good for the economy in the rest of the year," he added.

However, on the other hand, capital market observers, Reza Priyambada, consider the weakening of the fair.

"The government is forcing our economy (Indonesia) to slow down. Goal is what? Goal is to suppress the value of imports," said Reza.

With reduced imports, Reza argues the government hopes exports will be increased so that the Indonesian economy will increase in the future.
Therefore, Reza memprediski weakening economic growth in Indonesia is only temporary. BBC

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