This Is What Makes Minister Of Finance Sri Mulyani Optimistic That The Indonesian Economy Will Still Remain Strong In 2023

Minister of Finance Sri Mulyani Indrawati. (Photo: Doc. Antara)

JAKARTA - Minister of Finance (Menkeu) Sri Mulyani assessed that the very strong pace of recovery in 2022 will be a solid foothold for the national economy to face short-term challenges while continuing the medium-long-term development agenda.

"The government is optimistic that economic growth in 2023 will still be strong even though it is faced with the prospect of slowing down the global economy," Sri Mulyani said in an official statement, quoted from Antara, Tuesday, February 7.

The latest economic indicators also continue to show an expansive trend, including the Purchasing Managers' Index (PMI) of Indonesian manufacturing, which in January 2023 increased significantly.

He said the government was continuing to monitor the current risks of the world economy. The risk of uncertainty is still quite high, although the risk of a slowdown in the world economy is indicated to begin to soften.

In the World Economic Outlook published in January 2023, the International Monetary Fund (IMF) predicts global growth in 2022 and 2023 at 3.4 percent and 2.9 percent or 0.2 percent higher than the previous projection in October 2022.

This upward revision was driven by strengthening performance in several major countries since late 2022 and the pressure on world inflation is starting to ease which is predicted to slow gradually in 2023.

Sri Mulyani said the sustainability of the structural reform agenda to accelerate economic transformation will continue to be maintained in order to strengthen the structure and acceleration of national economic performance. The 2023 State Revenue and Expenditure Budget (APBN) has also been prepared to always be vigilant but optimistic about future economic potential.

Fiscal health remains an important concern in order to be able to quickly and accurately target critical issues, including in inflation control, stability in improving people's welfare, and improving stronger investments.

"Thanks to the hard work of the APBN as a global pressure suppressor, Indonesia is still a country with the title 'The Bright Spot' in the midst of current global shocks. This is something we must continue to maintain optimistically, but also alertly," concluded the State Treasurer.