The Preparation Of The 2023 RAPBN Is Said To Be Wary Of The Rich People's Plans To Travel Abroad, Why?

Illustration (Photo: Doc. Antara)

JAKARTA - The government through the Minister of Finance (Menkeu) Sri Mulyani said that the economic situation in 2023 is projected to still be quite affected by the global situation that has not shown certainty.

This was conveyed by the Minister of Finance when giving the government's response to the Faction's View on the Macroeconomic Framework of Fiscal Policy Principles (KEM PPKF) of the 2023 RAPBN at the DPR Plenary Session today.

According to him, the dynamics and prospects of the global economy are believed to play an important role in Indonesia's external balance next year. Minister of Finance said, export performance is estimated to remain strong. However, it is estimated that import demand will also increase.

"The service balance is also expected to be under pressure again in line with the increase in overseas travel, especially from the rich middle class," he said at the Senayan Parliament Complex, Jakarta on Monday, May 31.

The state treasurer added that this condition has the potential to suppress the current account balance, which is currently on a positive track with a surplus.

"In addition, the accelerated tightening of the Fed's monetary policy will result in global financial market turmoil, encourage capital outflows, and will ultimately depress Indonesia's capital and financial account (TMF) balance," he said.

Therefore, the Minister of Finance predicts that the more severe situation on the balance of payments side will increase in 2023.

"This could also have an impact on rising inflation next year," he said.

For information, in addition to the smooth trade balance, slick performance is also shown through the acquisition of strong foreign exchange reserves (Cadev). Bank Indonesia (BI) in its latest report stated that foreign exchange reserves at the close of April 2022 reached 135.7 billion US dollars.

This figure is equivalent to financing 6.9 months of imports or 6.7 months of imports and payment of government foreign debt. This capability is claimed by the central bank to be above the international adequacy standard of around 3 months of imports.