Apindo Projects Indonesia's Economic Growth To Stand At 3.75 Percent This Year, Below Sri Mulyani's Target

Apindo General Chair Hariyadi B. Sukamdani with Indonesian President Joko Widodo (Jokowi). (Photo: Doc. Presidential Staff Office)

JAKARTA - Chairman of the Indonesian Employers' Association (Apindo) Hariyadi B Sukamdani projects that Indonesia's economic growth in 2022 will reach the range of 4 to 5 percent, with inflation below 3 percent.

Furthermore, Hariyadi also predicts that the rupiah exchange rate will be in the range of Rp. 14 thousand to Rp. 15 thousand per United States (US) dollar.

"The wide projected growth range is one of the reasons for the economic recovery, which will gradually improve and be quite consistent in 2021," he said in a virtual press conference, Thursday, December 9.

Furthermore, Hariyadi said that the range of economic growth projections took into account three things. First, the improving economic growth was caused by a number of social protections and national economic recovery (PEN) by the government.

Then, continued Hariyadi, the second was community vaccination which went quite well. Although there are still many areas left behind outside Java-Bali. As well as the growing discipline of public health behavior.

Furthermore, the economy is also affected by the issuance of Law Number 11 of 2020 concerning Job Creation and most of its derivative implementing regulations. Although with a special note regarding the conditional unconstitutional decision by the Constitutional Court against the Law.

"The projection of economic growth can be achieved if the government takes a number of concrete steps on the policies that have been implemented," he said.

On that occasion, Hariyadi said that in 2021 Apindo predicts the economy will only grow by 3 to 3.75 percent. This figure is also lower than the estimate of the Minister of Finance Sri Mulyani Indrawati last November, which was 3.5 to 4 percent.

The economic growth projection, said Hariyadi, is based on the pattern in the first, second and third quarters, which are still not stable.

"So it has not provided a pattern that can be predicted accurately in the fourth quarter," said Hariyadi.