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JAKARTA - The Ministry of Finance stated that the World Bank through its report entitled Global Economic Prospect June 2022 assessed that the Indonesian economy was one of the strongest in the midst of the current global risk situation.

"The Indonesian economy continues to show resilience in the midst of global turmoil," said Head of the Ministry of Finance's Fiscal Policy Agency (BKF) Febrio Pacapibu in Jakarta, Wednesday.

The World Bank's assessment is shown through its prediction of the Indonesian economy which will be at the level of 5.1 percent in 2022 or only down 0.1 percent from the previous projection.

In the June 2022 GEP report, the World Bank stated that the Indonesian economy would receive a boost from rising commodity prices.

The decline in Indonesia's economic predictions occurred amid a decline in the forecast for global economic growth to 2.9 percent this year due to the escalation of various risks.

The forecast for global economic growth fell 1.2 percent from the previous projection in January due to global risks, especially the war in Ukraine.

The decline in the World Bank's economic growth projections eventually occurred widely in various countries, both developed and developing countries.

For the European zone, there was a downward revision of 1.7 percent, from 4.2 percent to 2.5 percent, with Russia estimated to contract 8.9 percent, down from the previous projection of 11.3 percent.

In fact, the US and China also experienced a decline in their growth projections of 1.2 percent and 0.8 percent, respectively

Meanwhile, for groups of developing countries such as India, Mexico and Thailand, the projections also experienced a significant decline, namely 1.2 percent, 1.3 percent and 1 percent.

Indonesia's economy is strong because the prediction is that it will only fall 0.1 percent from the previous prediction as economic performance this year continues to strengthen, among others, supported by the controlled pandemic situation.

Febrio stated that the government will continue to maintain the situation so that there is no spike in the pandemic so that public confidence in carrying out economic activities can be maintained.

One way to do this is to encourage vaccination, which has now reached 74.2 percent of the population for the first dose and 62.1 percent for the complete dose.

Not only that, the APBN will also continue to be directed to become an important instrument in responding to economic dynamics, including being a shock absorber to ensure that people's purchasing power is protected.

"This effort was made because there is a potential for energy, food and financial crises," said Febrio.


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