IMF Impressed of Indonesia's Measures in Supressing Economic Slowdown

Suci Sedya Utami    •    Kamis, 03 Sep 2015 18:31 WIB
IMF Impressed of Indonesia's Measures in Supressing Economic Slowdown
Managing Director of the IMF Christine Lagarde (Photo: AFP), Jakarta: Managing Director of the International Monetary Fund (IMF), Christine Lagarde admitted by the Indonesian government's measures in suppressing economic turmoil, namely fuel subsidy reduction to give room for other strategic policies.

"I am very impressed with the decision of President Joko Widodo (Jokowi) to reduce fuel price and giving the fiscal room for other use," said Lagarde in a press conference in Central Jakarta, Wednesday (9/2/2015).

Aside from that, she added, the movement of Bank Indonesia (BI) by stating the BI Rate as many as 7.5 percent is a correct policy, as it is to maintain the rupiah value to withstand the USD strengthening.

"BI has also conducted an expected and solid duty. It also tries to absorb all the shocks happening, which is faced by the emerging markets," she deliberated.

According to Lagarde, the policies conducted by the government and BI are the key to break the shock experienced by Indonesia. He assessed that Indonesia may maintain a solid fiscal policy.

Not only that, the other efforts from BI, said Lagarde were also conducted cautiously in the middle of the current shake. It is seen from BI's way to obtain large credit.

"To maintain the foreign exchange from the import was also a good coverage. I am very impressed with the policies of monetary and fiscal sectors," concluded Lagarde.