VP CALLS FOR MONITORING OF GREEK FINANCIAL CRISIS

Jakarta, May 14 (ANTARA) - Vice President Boediono has called for constant monitoring of the financial crisis in Greece to prevent a possible impact on Indonesia.

"The vice president has asked for continued monitoring of the Greek financial crisis to prevent it from affecting Indonesia," Coordinating Minister for Economic Affairs Hatta Radjasa said to newsmen here on Friday.

Radjasa made the statement after attending a meeting on the development of macro-economic conditions in Indonesia led by Vice President Boediono and attended by National Development Planning Minister/National Development Planning Board Chairperson Armida Alisyahbana, Finance Minister Sri Mulyani and Acting Bank Indonesia (central bank) Governor Darmin Nasution.

He said although the economic situation in Europe and in Greece in particular, had started to ease following a US$1 trillion rescue plan Indonesia must not lower its guard but keep monitoring it.

"We must not lower our guard and keep monitoring economic developments in Europe to prevent a possible impact on Indonesia," he said.

Radjasa said despite the economic problem in Europe the country's economic performance remained good. "Certainly we hope in the future the Indonesian economy could be better than now," he said.

One of the sectors drawing attention because of its growth is trade namely hotel and restaurant business that showed good performance in the first quarter of 2010.

"It was also reported exports had performed well and hotel and restaurant industry kept improving," he said.

Finance Minister Sri Mulyani meanwhile said the momentum for economic growth in the second quarter of this year would be strong and would continue to be safeguarded with the central bank to maintain stability.

"The crisis in Greece needs to be addressed but it is hoped it would affect the national economy," she said.

Sri Mulyani predicted the country's economy could grow around six percent or more in the second or third quarter of 2010.

"This means that the economy could grow around 5.8 percent in 2010 and we will be able to achieve the target," she said.