RI Recession Risk Only 3 Percent, Moeldoko: Our Domestic Economic Fundamentals Are Strong

JAKARTA – Presidential Chief of Staff Moeldoko was a speaker at a national seminar at the Satya Wacana Christian University Salatiga, Central Java, Monday, July 18.

In the event, Moeldoko mentioned the results of a Bloomberg survey, which stated that the chance of a recession in Indonesia is only 3 percent.

"The results of this survey show that our domestic economic fundamentals are strong and have resilience in the midst of escalating global risks," said Moeldoko in a written statement, Monday.

Moeldoko explained the government's hard work in dealing with global economic uncertainty.

In the energy sector, he explained, the government continues to maintain the availability and affordability of prices in the community by distributing subsidies, the value of which reaches Rp 520 trillion.

This option is maintained by the government, so that the burden on the community in obtaining energy needs is not heavy.

“However, if subsidies continue to be given, the state's money will fall. For that, the subsidy scheme will be changed. No longer to goods, but directly to the person so that it is right on target," he explained.

Moeldoko said that the government has increased productivity in the agricultural sector to meet the needs of domestic food consumption, which is 2.5 million tons per month.

"The result is that for three years in a row we have no longer imported rice. Even our rice is in surplus. The government is also diversifying food, such as planting sorghum, sago, and corn. This is all to answer the challenges of the threat of a world food crisis,” continued Moeldoko.

On that occasion, Moeldoko also emphasized that managing a country in a global environment is not easy because the challenges are very big.

Moreover, he continued, at a time when the global community was facing various shocks, such as the COVID19 pandemic and the Ukraine-Russia war, which resulted in the disruption of supply chains and rising commodity prices.

In dealing with this, Moeldoko conveyed his five theories, namely, being able to be adaptive to change, building speed on all fronts, daring to take risks on constitutionally adopted policies, ready to face the complexities caused by globalization, and ready to respond to surprises that will occur due to technological advances.

"You as future leaders of the nation must be ready with all the changes," concluded Moeldoko.