BI Predicts Riau Economics In 2024 To Grow Up To 4.8 Percent

PEKANBARU - Representative of Bank Indonesia Riau Province conveyed the results of an assessment related to Riau's economic performance in 2024 which is estimated to continue to grow positively and resilient to the global economic risk range in the range of 4-4.8 percent (year on year).

Head of Bank Indonesia Representative for Riau Province, Panji Achmad, said this was estimated by paying attention to the latest economic developments. Both from domestic and external factors, as well as Bank Indonesia's pre-emptive and forward-loop policy steps.

"We estimate that in the range of 4.0- 4.8 percent (yoy). Apart from being supported by the performance of the main economic sector, the tertiary sector (services) is also expected to improve along with the recovery in demand, especially domestic demand," said Panji Achmad as quoted by ANTARA, Friday, March 15.

In terms of price development, continued Panji, the joint inflation of 4 cities of the Consumer Price Index in Riau Province is under control and is in the target range of 2.5 - 0.1 percent.

Various food price stabilization efforts ahead of the National Religious Holidays (HBKN) of Ramadan and Eid will continue to be pursued as an anticipatory step in the face of a surge in food commodity prices.

These stabilization efforts were carried out, among others, by conducting price monitoring, strengthening the supply stock of various staple foodstuffs, ensuring the smooth distribution of supplies, and intervening in prices such as through market operations, and Cheap Food Titles. In the future, inflation is expected to remain under control in the 2.5 to 1 percent target range.

In terms of banking intermediation, the Head of the BI Representative Office of Riau Province also said that banking intermediation remained strong.

Banking intermediation, which is reflected in lending activities to the corporate, household, and MSME sectors in Riau Province, is maintained in positive growth and increases compared to the previous quarter.

The demand for credit, which was previously restrained in line with global economic uncertainty, has encouraged corporate caution, is now starting to show an increase. The banking intermediation is in line with Riau's growing economic growth which is quite solid.

In line with banking intermediation performance, digital economic and financial transactions remain strong supported by the implementation of a safe, smooth and reliable payment system.

Acting Regional Secretary of Riau Province Indra expressed his appreciation for the synergy that has been built so that the Riau economy can grow quite high, with good fiscal management, and controlled inflation. This achievement is inseparable from the synergy built by local governments, together with vertical agencies and institutions that have been carried out in various aspects.

BPS Riau Province also conveyed that the non-oil and gas trade balance in February 2024 recorded a surplus of 959.42 million US Dollars.

Meanwhile, the oil and gas trade balance also recorded a surplus of 130.68 million US dollars.

From the fiscal policy aspect, the Head of the Riau Province DJPb Regional Office, Heni Kartikawati, explained that Riau's economic performance, which remains strong, was supported by good performance from the fiscal side. The realization of regional revenue in 2023 was recorded at Rp35.78 trillion or 104.83% of the target.

This achievement is higher than the previous year with growth reaching 21.83 percent (yoy). The increase in the realization of regional revenue is supported by the increase in the realization of regional taxes and the results of regional wealth management sourced from participaling interest of 10 percent of the management of oil and gas blocks by PT Pertamina Hulu Rokan.