BI Boss Dismantling Global Geopolitical Maps That Influence The Indonesian Economy

BI Governor Perry Warjiyo (Photo: Capture Youtube screen Commission XI DPR)

JAKARTA - Bank Indonesia (BI) Governor Perry Warjiyo said that global conditions in the remainder of this year will continue to be volatile. According to him, this situation can certainly have an impact on the economy in Indonesia.

"We don't know when the war of Russia and Ukraine will end," he said while attending a working meeting with Commission XI of the Indonesian House of Representatives at the Senayan Parliament Complex, Jakarta on Monday, November 21.

Perry explained that this situation was made worse by continuing the trade war between China and the United States.

"We also know that there is geopolitical tension in Taiwan. Then China is also preparing to extend its lockdown policy (to overcome COVID-19) for the next half of the year or until the second quarter of 2023," he said.

The BI boss also revealed that this situation would increase economic performance, not only for Indonesia but for all countries in the world.

"This can further trigger high prices for energy commodities and others," he added.

Overall, Perry stated that the global economic rate is expected to slow down, accompanied by high levels of inflation and aggressive monetary policy in developed countries.

This year's world economic growth, which is predicted to fall to 2.6 percent in 2023. In fact, there are risks that can make the growth rate only 2 percent next year," he said.