Log in
E-mail
Password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
New member
Sign up for FREE
New customer
Discover our services
Settings
Settings
Dynamic quotes 
OFFON

MarketScreener Homepage  >  News  >  Economy & Forex

News : Latest News
Latest NewsCompaniesMarketsEconomy & ForexCommoditiesInterest RatesBusiness LeadersFinance Pro.CalendarSectors 
All NewsEconomyCurrencies & ForexEconomic EventsCryptocurrenciesCybersecurityPress Releases

Indonesia finance ministry lifts pandemic recovery budget again

02/23/2021 | 04:54am EST
Indonesia's Finance Minister Sri Mulyani Indrawati attends the World Economic Forum on ASEAN at the Convention Center in Hanoi

JAKARTA (Reuters) - Indonesia's government had increased its budget to control the coronavirus pandemic and help the economy recover to 699.43 trillion rupiah ($49.60 billion), a Finance Ministry presentation showed on Tuesday.

"This is the most important engine in our economy right now," Finance Minister Sri Mulyani Indrawati said during the virtual presentation.

The budget has been increased several times from an initial 372.3 trillion rupiah figure and the new figure marks a 21% increase from realised pandemic spending last year.

The budget, especially social assistance for the poor and help for businesses, is expected to lift growth in the first quarter of this year, Sri Mulyani said.

First quarter gross domestic product is expected to improve from the fourth, and "hopefully" post positive growth, deputy minister Suahasil Nazara told the same briefing.

Southeast Asia's largest economy suffered its first contraction in over two decade last year as the pandemic hit consumption and investment.

For this year, Sri Mulyani has forecast GDP growth of 5%.

Meanwhile, the fiscal deficit target for 2021 remains at 5.7% of GDP despite the latest spending expansion plan and the ministry is also planning to lower its debt issuance this year.

"To reduce pressure and because we have a large cash position, we will use part of the (2020) excess budget funding of around 80 trillion to 100 trillion rupiah to lower our bond issuance target," Luky Alfirman, a senior ministry official said.

Indonesia had targeted a net bond issuance of 1,207.3 trillion rupiah this year.

The government may not make significant changes to the pandemic response budget after the latest increase, ministry official Kunta Wibawa Dasa Nugraha said.

($1 = 14,100.0000 rupiah)

(Additional report by Fransiska Nangoy; Editing by Ed Davies)

By Tabita Diela


© Reuters 2021
Latest news "Economy & Forex"
05:08aFlutter's bet on booming US market bears fruit, earnings jump
RE
05:04aUK's Taylor Wimpey sees recovery building in 2021 after good start
RE
05:00aEuro zone inflation holds steady before expected spike
RE
04:59aOil slips on fears over higher OPEC supply, slower China demand
RE
04:45aWeak commodity prices weigh on European shares
RE
04:41aJACK MA : Jack Ma loses title as China's richest man after coming under Beijing's scrutiny
RE
04:20aChina considers ways to manage financial risks stemming from capital inflows
RE
04:19aIndia's February trade deficit widens to $12.88 billion - trade ministry
RE
04:13aGerman unemployment unexpectedly rises in February
RE
04:12aShares pause, awaiting next move in bonds
RE
Latest news "Economy & Forex"