Monday, 18 January 2016

NOT A SINGLE NATION HAVE GOOD HOPE THIS YEAR



The Ministry of Finance Bambang Brodjonegoro disclosed at the G-20 Meeting in Ankara, Turkey who was accompanied by the Governor of BI Agus Martowardojo that the world’s economic climate today was disheartening because not a single country had good hope this year. l have just returned from Turkey. The ambience of that meeting was not good mood because no a single country seemed to have good hope this year. Bambang said at the Parliamentary Meeting in Jakarta on Monday (7/9).

Bambang said that all participants at the meeting agreed to assume that growth of global economy would be lower their year than in 2014. The USA who was being indecisive about increasing Fed Fund Rate was asked to minimize negative effect on other countries. “China saw that currency devaluation was necessary because they had problem with it, while Europe and Japan were Nit in good mood either”, Bambang said.

G-20 countries Bambang said also agreed that commodity price go up the percentage would not be significant. A clear example was oil price which had dropped by 50%. G-20 was not binding so they could not unite in one common action. This year the potential of global growth was only 3.2% against 3.4% last year”, he remarked.

Bambang said that IMF believe that in 2016 America would normalize their monetary while China would stop devaluating. Accordingly the optimism for 2016 was 3.8% growth. “Still we have to be careful because normally IMF sat target high at the start, only to further lower it”, Bambang concluded. (SS) 

Business New - September 11, 2015

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