Financial Minister: Fiscal Policy is Solid in Maintaining Investors' Trust

Antara    •    Rabu, 29 Jul 2015 17:03 WIB
Financial Minister: Fiscal Policy is Solid in Maintaining Investors' Trust
Finance Minister Bambang Brodjonegoro (c). (Photo: Antara Foto / Sigid Kurniawan), Jakarta: Financial Minister Bambang PS Brodjonegoro revealed that the national fiscal and economic condition are still well managed, in the midst of challenging world economy, as the solidity of fiscal management maintains the high trust of the investors.

"In the midst of challenging world economy, various macroeconomic indicators have shown a good condition of Indonesia's economic fundamental," Finance Minister stated in his deliberation titled "Maintaining Growth Momentum in the Face of Uncertainty", at Shangri-La Hotel Singapore, as quoted from his press release received in Jakarta, Wednesday (7/29/2015).

At the moment, various national economic indicators such as trade balance, payment balance, inflation and investment current have shown good conditions. The trade balance have experienced a surplus of US$4.35 billion during January to June 2015. Meanwhile, the payment balance have also experienced surplus at US$1.3 billion on the first quarter of 2015, with the current account deficit continuing to decline.

As for inflation, the Financial Minister estimated that the inflation growth for this year is at 4.21 percent. Especially for July, the monthly inflation is at around 0.8 to 1.13 percent. It is also applied with investment growth, both on foreign investments (PMA) or local investments (PMDN), which was recorded as continuing to increase.

Foreign investments in the second quarter of 2015 have reached Rp92.2 trillion, rising from the first quarter of 2015 at Rp82.1 trillion. It also goes with the local investments on the second quarter which was recorded at Rp42.9 trillion. From the fiscal management, the small number of 2015 Revised State Budget have been awarded with the high trust of investors to Indonesia.

"In four publishings of global bonds, we have always experienced high oversubscription on conventional global bonds, global sukuk and Eurobonds," concluded Finance Minister Bambang. (Eps)