US And China's Economics Potentially Weak, Indonesia Needs To Be Reversived By Export Destinations

Capture the screenshot of Minister of Finance Sri Mulyani in the Outlook of the Indonesian Economy 2023. (Photo: Doc. Antara)

Minister of Finance Sri Mulyani Indrawati said Indonesia needed to verify export destination countries by 2023 amid the weakening of the global economy.

"We must be able to verify export destination countries in 2023," he said at the 2023 Indonesia Economic Outlook seminar, quoted by Antara, Wednesday, December 21.

Indonesia's main export destination countries such as the United States and China have the potential to weaken the economy which has the potential to reduce demand for exports by 2023.

Therefore, he estimates that national exports will weaken growth in 2023 compared to 2022 where exports can grow by 20 to 30 percent on an annual basis.

"Exports will experience normalization because the baseline is already high so that in 2023 export growth will not survive because of the global environment, but that doesn't mean we give up," he said.

According to him, a country like India needs to continue to be targeted as the main export destination because it is starting to open itself up after policy reforms.

Exports to the Middle East are also growing. Because the price of oil as their leading commodity is high, they need to be taken into account as an export destination country," he added.

According to him, the global economy in 2023 will be increasingly difficult to predict due to geopolitical conditions such as the Russian war with Ukraine which creates uncertain uncertainties.

The weakening of the economy in the United States due to the increase in the benchmark interest rate of the Fed's central bank is also not certain to occur temporarily or in the long term.

Until 2023 it is a problem where we must be aware of the global environment. Not yet Europe and China as the second largest economy are still in the process of being open due to the increasing spread of the pandemic," he added.