Oil Prices Make It Dizzy, Sri Mulyani Confesses To Saudi Arabia's Minister Of Finance

Finance Minister Sri Mulyani (left) spoke with Saudi Arabian Finance Minister Mohammed Al Jadaan (right) on the sidelines of the agenda of India's G20 Summit (Photo: Instagram @smindrawati)

JAKARTA Minister of Finance (Menkeu) Sri Mulyani had the opportunity to meet her colleague, a colleague of the Minister of Finance from Saudi Arabia, namely Mohammed Al Jadaan, in a series of agendas for India's G20 Summit which just finished last weekend.

During the meeting, Minister of Finance Sri Mulyani discussed fluctuations in world oil prices which have been getting higher in recent times.

"Despite the G20 Leaders Summit, I met and talked with my friend Saudi Arabia's Minister of Finance Mohammed Al Jadaan and British Prime Minister Rishi Sunak, regarding the recent development of world oil prices which increased and had reached 90 US dollars per barrel," he said in a written statement quoted Monday, September 11.

According to the Minister of Finance, Saudi Arabia's position is very strategic in trading this commodity. Because Raja Salman's country is one of the main producers of global oil.

The number of Saudi Arabia's oil production as the world's largest oil producer and OPEC countries determines the movement of oil prices. Also geopolitical tensions and the world's economic outlook, especially the United States and China, will determine commodity prices, including petroleum," he said.

The Minister of Finance explained that the use of fuel, such as petroleum, is also an important concern in discussing climate change prevention in the G20.

For information, in the middle of last week, the government through the Ministry of Finance submitted a proposal to increase Indonesia's oil price (Indonesia Crude Price/ICP) from 80 US dollars to 82 US dollars per barrel in the 2024 State Budget Draft.

The move is intended as a cushion in maintaining fiscal performance next year amid high volatility. This initiative was later approved by the DPR's Budget Agency (Banggar) and is included in the temporary posture of the 2024 State Budget Bill.

Our APBN and the Indonesian economy are greatly influenced by the movement and changes in oil prices. We need to continue to increase energy resilience and increase awareness of commodity price changes that are very dynamic," he said.

"Maintaining Indonesia's economic resilience is our common task. The transformation of our economic structure by increasing alternative and renewable energy sources will increase our economic resilience," closed the Minister of Finance Sri Mulyani.