Indonesia's Trade Deficit Turns Into A Deficit With Russia, The Impact Of The War Has An Economic Impact Although Not Significantly

Illustration (Photo: Doc. Ministry of Finance)

JAKARTA – - The Central Statistics Agency (BPS) said that Indonesia's trade balance with Russia earlier this year recorded less than encouraging results. This was conveyed by the Head of BPS Margo Yuwono when holding a virtual press conference in Jakarta.

According to Margo, Indonesia posted a deficit of 15 million US dollars for trade with Russia in the January-February 2022 period. This amount came from the higher import value of 35.6 million US dollars compared to 28.7 million US dollars.

"We know that there has been a war (between Russia and Ukraine) for more than two weeks," he said on Tuesday, March 15.

Although it has an impact on the Indonesian economy, Margo ensures that the trade balance deficit with the red bear country is not too significant. This is because the share of exports and imports with Russia as a whole is relatively small, which is only 0.84 percent and 1 percent respectively in January-February 2022.

In detail, Indonesia's mainstay export commodities are vegetable/animal fats and oils, electrical machinery/equipment, and mechanical equipment. Meanwhile, the majority of imports imported from Russia are in the form of iron and steel, fertilizers, and mineral fuels.

"Our trade with Russia is small," he said.

To note, throughout 2021 Indonesia managed to score a trade balance surplus with Russia of 239.8 million US dollars. This value was supported by exports of 1.49 billion US dollars with a record import of 1.25 billion US dollars.