RI Has A Bullion Bank, Gold Can Be An Investment Choice Amid Global Economic Uncertainty

JAKARTA - Senior Economist and Associate Faculty of the Indonesian Banking Development Institute (LPPI) Ryan Kiryanto explained that gold remains an attractive investment option despite global economic uncertainty.

According to him, the world economic condition in general is still in good condition, but there are two countries that cause global uncertainty, namely China, whose economy continues to weaken and the United States is implementing anti-globalization policies.

"This is what makes it called, a little world economic condition is a bit distorted. However, Forecasting from the World Bank, from the IMF, from OECD, and other international institutions, said the world economy outlook this year was approximately 3.0 percent, or 3.1, next year's stable ether 3.1 or 3.2 percent," he told VOI, Thursday, February 27.

However, Ryan revealed that what must be considered is that there are signs of a slowdown in the economy in Indonesia where in 2023 it is recorded at 5.05 percent, while in 2024 it will decrease slightly to 5.03 percent.

"Well, it becomes a kind of initial signal, that there is potential, there are symptoms, there is a syntum of economic slowdown," he said.

In a situation like this, Ryan suggested considering gold as one of the attractive investment options amidst economic uncertainty.

According to him, gold has two main characteristics that make it attractive first, gold prices tend to rise consistently, which allows investors to gain profits or capital gains from the difference in buying and selling prices.

In addition, Ryan said gold also has a high level of liquidity and marketability, which means if investors need cash, gold can be sold immediately or used as loan guarantees in institutions such as Pegadaian.

"So that's the character of gold, namely the liquidity value is high, the market value is also high. Therefore, gold is one of the attractive investment options," he said.

Previously, the President of the Republic of Indonesia, Prabowo Subianto, had inaugurated the services of the gold bank Pegadaian and Bank Syariah Indonesia today, Wednesday, February 26.

"By saying Bismillahirrahmanirrahim this afternoon, Wednesday, February 26, 2025, I am Prabowo Subianto, the President of the Republic of Indonesia hereby inaugurate the Pegadaian Gold Bank and BSI Services," said Prabowo, February 26.

Prabowo said that the formation of this gold bank service could increase Indonesia's Gross Domestic Product (GDP) to Rp245 trillion and create new jobs of up to 1.8 million, expanding foreign exchange.

"It also helps save the country's foreign exchange because from upstream to downstream, gold will be processed and stored domestically and does not flow overseas," he continued.

Not only that, but the gold bank is also claimed to be able to improve controlling monetary stability through a gold liquidity mechanism to gold banks and conduct domestic gold transactions.

On the same occasion, Prabowo also expressed his appreciation and gratitude to the ranks of ministers and the selection of red plate companies that worked hand in hand until the formation of the first gold bank in Indonesia.

"I thank all the elements who have worked hard, my appreciation to the Coordinating Minister for the Economy, the Minister of SOEs, all the directors of Himbara banks, Pegadaian Directors, BSI and all those who worked hard so that today we have an exosystem of services for pawning gold banks and BSI," said Prabowo.