ID :
55770
Thu, 04/16/2009 - 08:59
Auther :
Shortlink :
https://www.oananews.org//node/55770
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BANK INDONESIA STILL STICKS TO ITS GROWTH FORECAST OF 3-4 PCT
Jakarta, Apr 15 (ANTARA) - Bank Indonesia (the central bank/BI) still sticks to its previous economic growth forecast of 3-4 percent for 2009, its deputy governor said.
"We still stick to 3-4 percent. We don't see if the first- quarter growth is good, then growth in the ensuing quarters will be good too," Hartadi A Sarwono said here on Wednesday.
The government has projected the economic growth rate for 2009 at 4-4.5 percent.
Sarwono said the economy was estimated to have grown by 4.5-4.6 percent in the first qurater of 2009. But this was not a guarantee that the economy would grow by more than 4 percent throughout this year.
He predicted that the inflation rate would continue to fall.
"Overall, the inflation rate has shown a downward trend," he said.
The downward trend in the inflation rate would give Bank Indonesia a wider chance to further cut its key interest rate, locally known as BI Rate, he said.
But he added the declining inflation rate was one of the factors the central bank would consider in setting the benchmark interest rate.
Early this month Bank Indonesia lowered the BI Rate for the fourth month in a row since December 2008 to 7.5 percent.
Bank Indonesia has projected the inflation rate for 2009 at 5-7 percent.
The Central Statistics Board (BPS) said earlier the inflation rate in March 2009 stood at 0.22 percent, bringing the year-to-date inflation to 0.36 percent and year-on-year inflation to 7.92 percent.
"We still stick to 3-4 percent. We don't see if the first- quarter growth is good, then growth in the ensuing quarters will be good too," Hartadi A Sarwono said here on Wednesday.
The government has projected the economic growth rate for 2009 at 4-4.5 percent.
Sarwono said the economy was estimated to have grown by 4.5-4.6 percent in the first qurater of 2009. But this was not a guarantee that the economy would grow by more than 4 percent throughout this year.
He predicted that the inflation rate would continue to fall.
"Overall, the inflation rate has shown a downward trend," he said.
The downward trend in the inflation rate would give Bank Indonesia a wider chance to further cut its key interest rate, locally known as BI Rate, he said.
But he added the declining inflation rate was one of the factors the central bank would consider in setting the benchmark interest rate.
Early this month Bank Indonesia lowered the BI Rate for the fourth month in a row since December 2008 to 7.5 percent.
Bank Indonesia has projected the inflation rate for 2009 at 5-7 percent.
The Central Statistics Board (BPS) said earlier the inflation rate in March 2009 stood at 0.22 percent, bringing the year-to-date inflation to 0.36 percent and year-on-year inflation to 7.92 percent.
