Next Year Critical Point for Indonesian Economy
Friday, 21 November, 2008 | 16:22 WIB

TEMPO Interactive, Jakarta: The government stated next year as a critical point for the Indonesian economy due to the global financial crisis.

“The year 2009 will be critical,” said Chairman of the Fiscal Policy Agency at the Finance Department, Anggito Abimanyu, after attending a coordinating meeting at the office of Vice President Jusuf Kalla yesterday.

The four-hour meeting was also attended by the Finance Minister Sri Mulyani Indrawati, the State Minister of National Development Planning/National Development Planning Board chairman Paskah Suzetta, the Minister for State Enterprises Sofyan Djalil, the Public Works Minister Djoko Kirmanto, the Governor of Bank Indonesia Boediono, the Deputy for the Senior Governor of Bank Indonesia Miranda Goeltom, and three main directors of state-owned banks.

Anggito said that the government prioritizes revising 20 percent revenue from the economic growth and tax sector at the 2009 revised state budget. “But it is certain that revenue from taxes will be lower,” he cited Kalla's statement.

Earlier, the Central Bureau of Statistics (BPS) predicted some delay in the economic growth at the third and forth period of three months this year. The economic growth at the third period was only 6.11 percent while it was targeted at 6.2 percent.

Anggito explained that the government will also revise the value of Indonesian currency, the interest rate of Bank Indonesia, and the number of promissory notes.

He said the Vice President expected the state budget can stimulate economic growth next year.

Related to the lower exchange of Indonesia currency, Anggito said that Bank Indonesia will maintain low volatility.

He said that the lower exchange rate also occurs in other countries. “The Central Bank promises to use all of its devices to protect the Indonesian currency,” he said.

Yesterday, the exchange rate of Indonesian Rupiah plunged to Rp12,440 for one US$. It is at lowest point since August 1998. Intervention by Bank Indonesia lifted the Rupiah to Rp11,945.

The Director of PT Mandiri Securities Mirza Adityaswara said the movement of the Rupiah is still tolerable as it is in line with the lower exchange rate of regional currency.

SETRI YASRA | KURNIASIH BUDI |EKO NOPIANSYAH | VENNIE MELYANI