Sign up | Log in



NEWS UPDATES Asean Affairs    25 April  2016  

BI expects economy to grow above 5.1 percent in Q1

Bank Indonesia (BI) projects that the economy will grow between 5.1 and 5.2 percent in the first quarter of 2016 and that easing monetary policy will be more effective after the new benchmark interest rate is applied.

BI's executive director on economy and monetary policy, Juda Agung, said the government's expenditures increased significantly in the first quarter, along with the acceleration of government infrastructure projects.

“It’s going to grow around 5.1 to 5.2 percent, mostly driven by government spending. Capital expenditures jumped by 161 percent compared to first quarter of 2015," has said in Jakarta on Thursday.

However, he further said private investment had yet to increase in the first quarter. He predicted the increase in private investment would be registered in the second quarter of the year.

Tirta Segara, BI’s executive director of communications, added that household consumption would remain strong in the second quarter.

Retail sales and motor vehicles have begun to grow recently as consumer confidence continues to improve.

Meanwhile, the performance of some export commodities has also begun to show improvement, particularly in textiles, electrical equipment and passenger vehicles. In addition, Indonesia's export commodity prices, such as palm oil, rubber and tin, are on an upward trend.

"Overall, growth will improve in the second quarter, supported by increased consumption and investment," Tirta said.

On the monetary side, BI has supported the economy by slashing its key rate by 75 basis points (bps) this year. At the same time, the primary reserve replacement ratio (GWM) has been cut by 150 bps.

However, the policy was ineffective in lowering interest rates on deposits and loans. "As of January to March, the deposit rate decreased by 37 basis points while the lending rate fell by 13 basis points," Juda said.

Reach Southeast Asia!
10- Nations, 560- Million Consumers
And $1 -Trillion Market
We are the Voice of Southeast Asia Media Kit
The only Media Dedicated to Southeast Asia Advertising Rates for Magazine
Online Ad Rates

Comment on this Article. Send them to

Letters that do not contain full contact information cannot be published.
Letters become the property of AseanAffairs and may be republished in any format.
They typically run 150 words or less and may be edited
submit your comment in the box below

Today's  Stories                           April 25, 2016 Subsribe Now !
• PIJICO to offer 20% of shares to investors Subcribe: Asean Affairs Global Magazine

• BI expects economy to grow above 5.1 percent in Q1
• Brunei-Guangxi Economic Corridor supports Vision 2035
Research Reports
on Thailand 2007-2008

• Textiles and Garments Industry
• Coffee industry
• Leather and footwear industry
• Shrimp industry

Singapore signs Paris Agreement on climate change
BI estimates 0.3% deflation in April
Asean Analysis                   April 15, 2016
• Asean Analysis April 15, 2016
Indonesia’s Mounting Intolerance toward Minority Groups Prompts Concern
Advertise Your Brand

Asean Stock Watch  April 22, 2016
• Asean Stock Watch-April 22, 2016
The Biweekly Update
• The Biweekly Update April 15, 2016

ASEAN NEWS UPDATES      Updated: 04 January 2011

 • Women Shariah scholars see gender gap closing
• Bank Indonesia may hold key rate as inflation hits 7 percent
• Bursa Malaysia to revamp business rules
• Private property prices hit new high in Singapore • Bangkok moves on mass transport
• Thai retailers are upbeat
• Rice exports likely to decline • Vietnamese PM projects 10-year socioeconomic plan


This year in Thailand-what next?

AseanAffairs   04 January 2011
By David Swartzentruber      

It is commonplace in journalism to write two types of articles at the transition point between the year that has passed and the New Year. As this writer qualifies as an “old hand” in observing Thailand with a track record dating back 14 years, it is time take a shot at what may unfold in Thailand in 2011.

The first issue that can’t be answered is the health of Thailand’s beloved King Bhumibol, who is now 83 years old. He is the world's longest reigning monarch, but elaborate birthday celebrations in December failed to mask concern over his health. More






1.  Verifier

1. Verifier

For security purposes, we ask that you enter the security code that is shown in the graphic. Please enter the code exactly as it is shown in the graphic.
Your Code
Enter Code

Home | About Us | Contact Us | Special Feature | Features | News | Magazine | Events | TV | Press Release | Advertise With us

| Terms of Use | Site Map | Privacy Policy  | DISCLAIMER |

Version 5.0
Copyright © 2006-2020 TIME INTERNATIONAL MANAGEMENT ENTERPRISES CO., LTD. All rights reserved.
Bangkok, Thailand