KSSK Reveals Stability Of The Indonesian Financial System In The Second Quarter Of 2024 Is Maintained

JAKARTA - The Financial System Stability Committee (KSSK) revealed that the stability of Indonesia's financial system in the second quarter of 2024 was still maintained amidst increased pressure on the global financial market and also in line with global economic uncertainty and geopolitical risks that were still high.

This is based on the results of the 2024 KSSK Coordination Meeting which has been carried out consisting of the Ministry of Finance (Kemenkeu), Bank Indonesia (BI), the Financial Services Authority (OJK), and the Deposit Insurance Corporation (LPS).

"We have short financial system stability or often with SSK in the second quarter because we are talking about the historical second quarter of 2024, it is maintained amidst increasing pressure on global financial markets and also in line with global economic uncertainty and geopolitical risks which are still high," said Finance Minister Sri Mulyani Indrawati at the KSSK III Periodic Meeting Results Press Conference in 2024, Friday, August 02.

Sri Mulyani said that seeing the beginning of the third quarter of 2024, the observed global pressure began to subside slightly but remained high and various risk factors that developed such as geopolitical conflicts still needed to be observed and anticipated by the KSSK people.

In addition, Sri Mulyani said that increasing uncertainty in global economic conditions and geopolitical turmoil has driven increased pressure on global financial markets.

"The uncertainty of global financial markets is still high amidst the world's relatively stable economic growth but remains low and weak in this regard. In 2024 we all see and understand, all the outlooks made by international institutions show that global economic growth will be stable but at a weak level," he said.

Sri Mulyani menyampaikan, berdasarkan laporan dari yang terbaru dari World Economic Outlook atau WEO pada periode Juli 2024 oleh laporan Dana Moneter Internasional (IMF), memproyeksi pertumbuhan ekonomi global pada tahun ini hanya tumbuh 3,2 persen.

"This means that what 3.2 percent is weaker by 3.3 percent which will grow in 2023, by menging from the crystalline IMF it is considered a dark year, so if in 2024 the outlook is 3.2 percent, it means that the world's economic growth is still stagnant weak and even weaker than last year which was considered a year that was actually stagnant weak," he said.

Furthermore, Sri Mulyani said, global conditions experienced geopolitical uncertainty, such as the outbreak of war in the Middle East and the continued war between Russia and Ukraine, as well as a number of countries this year being transitioned to democracy.