Kedutaan Besar Republik Indonesia
Ottawa
Embassy of the Republic of Indonesia
Ambassade de la RÉpublique d'Indonésie

Still Possible for Economy to Grow Six Percent: Hatta

Jakarta (ANTARA News) – Indonesias chief economic minister Hatta Rajasa said it was still possible for the countrys economy to grow six percent this year.

“In 2013, everyone predicted the economy would grow only 5.5 percent, but in reality it grew 5.78 percent. So, I think, we must not be pessimistic, but on the other hand we must also be realistic,” he said at a meeting with newsmen here on Wednesday.

Hatta himself predicted the countrys economy would grow 5.8 percent, which is the lowest of the governments target range of between 5.8 percent and 6.0 percent.

He said it was still possible for the countrys economy to grow due to the general elections this year, which are expected to boost growth through campaign expenditure.

“Indeed six percent is hard to achieve, but it is not impossible to achieve it. After all, it is still the first quarter now,” he remarked.

He said what the government had to do now was maintain domestic consumption, so that it would remain strong.

He added that it will be important to maintain inflation, so that peoples buying power is not eroded.

“National budget spending must also be qualitative. Spending that would not contribute to growth must be cut,” he noted.

The World Bank has predicted that Indonesias economy would grow 5.3 percent this year.

“We must not be worried about the prediction, although signals from the institution must be monitored closely to finish our homework,” he said.

Source : www.antaranews.com, Wednesday, March 19 2014