In 2023 It Hasn't Started Yet, Bank Indonesia Has Already Talked About Inflational Projection 2024: It's Estimated!

Screenshot of the Governor of Bank Indonesia Perry Warjiyo. (Photo: Doc. Antara)

JAKARTA - Bank Indonesia (BI) projects that inflation will drop to a level of 1.5 percent to 3.5 percent by 2024, after likely being in the range of 2 percent to 4 percent by 2023.

Meanwhile, inflation is at the level of 5.42 percent as of November 2022 compared to the same period last year (year on year/yoy).

"This estimate is supported by a close synergy between the government and the central bank," said BI Governor Perry Warjiyo at the 2023 Jakarta Economic Outlook National Seminar, quoted by Antara, Wednesday, December 14.

He said the synergy of reducing inflation was driven by energy subsidies by the government, measured BI rate hikes, rupiah stabilization measures by BI, and the tightness of the Central and Regional Inflation Control Team (TPIP and TPID), including the National Food Inflation Control Movement (GNPIP).

Synergy, coordination, and cooperation, continued Perry Warjiyo, are the key to Indonesia so far to avoid a crisis, especially when the COVID-19 pandemic hits and will support the sustainability of the national economic recovery process.

With the existing synergy, the BI Governor is optimistic that the domestic economic recovery process will continue to improve amid global turmoil.

BI estimates that Indonesia's economic growth in 2023 will be quite good, around 4.5 percent (yoy) to 5.3 percent (yoy) and will increase higher to 4.7 percent (yoy) to 5.5 percent (yoy) in 2024.

"In addition to exports, increased consumption and investment will be the supporting force for national economic recovery, and supported by downstream programs, infrastructure development, the entry of foreign investment, and the development of tourism," said Perry Warjiyo.