Monthly Economic Review

BOTTOM LINE: Indonesia technically exit economic recession after the GDP registering a 7.07% annual growth in Q2/2021, following four consecutive contractions in the past four quarters. On demand side, all components of GDP  grew positively, and the government consumption charted the highest growth. The growth data did not significantly affect rupiah, which continued weakening in…

Monthly Economic Review

BOTTOM LINE: There were no significant changes in economic situation since early June to the third week of July. The general prices recorded a deflation in June and would be back to a mild inflation in July. Rupiah value is somewhat volatile at the manageable level, and so did the stock prices, while banking sector…

Monthly Economic Review

BOTTOM LINE: Up until mid of June 2021, the economic stability was fairly manageable despite the modest increase in inflation and volatile rupiah. The central bank kept its monetary policy rate largely considers the need to maintain rupiah stability and the current rate is still conducive for economic recovery. In short-time, the upside risk for…

Monthly Economic Review

BOTTOM LINE: Major economic indicators did not experience significant changes over April to mid of May 2021. Inflationary pressures still manageable as indicated by low inflation, rupiah was moving in the range of Rp14,300 to Rp14,500 against the US dollar, while central bank kept its monetary policy rates at 3.5%. On quarterly basis, the contraction…

Monthly Economic Review

BOTTOM LINE: Amidst the continued low inflationary pressures, rupiah is still on a weakening trend over three weeks of April. Capital markets is also in a worsening performance as signified by the drop in Indonesian stock price composite index and bond price index. Yields of Indonesian government bonds has been increasing, reflects higher risks perception…

Monthly Economic Review

BOTTOM LINE: Macroeconomic stability was a bit disrupted by the weakening trend of rupiah. At the same time, the continuously low inflation and higher foreign reserve helped displaying better economic situation for financial markets and businesspeople. Stock market printed better performance as indicated by recovery in stock price composite index. Manufacturing was still expanding albeit…

Monthly Economic Review

BOTTOM LINE: Macroeconomic situation continued to improve in January 2021. Inflation was manageable, rupiah stable, although stock market was somewhat volatile, and bonds’ performance   indicated a slightly lower growth of returns. Last year, the gross domestic product suffered a contraction of -2.07% (y-o-y), which confirmed economic recession as the inevitably adverse effect of Covid-19 pandemic.…

Monthly Economic Review

BOTTOM LINE: Overall, macroeconomic situation at the end of 2020 was improved as demonstrated by manageable inflation, stronger rupiah, and fairly better performance of financial markets. Manufacturing stayed on expansionary phase, while external trade printed substantially large surplus compared with the deficit in 2019. Another social activity restriction is adopted from 11 January to 8…

Monthly Economic Review

BOTTOM LINE: Tentative signs of economic recovery emerge over November until mid-December. Inflationary pressure is still manageable, rupiah strengthens, interest rates fall, while stock and bond indexes rallies. Manufacturing entered an expansionary phase, while external trade charted significant monthly growths. Covid-19 pandemic remains the biggest threat for further recovery. The virus outbreak has yet to…

Monthly Economic Review

BOTTOM LINE: The inflation returned in October, after three consecutive months of deflation. Rupiah fairly stable, while stock market was on bullish trend since October until the third week of November. Bank Indonesia reduced BI Rate to 3.75% in a bid to support the recovery of economy, which has entered into recession in the third…