Indonesian Gov’t eyes 4.5-5.5 percent economic growth in 2021

Jakarta (VNA) – The People's Representative Council of Indonesia on June 15 approved a draft economic development and recovery plan for 2021 submitted by the Government, which eyes 4.5-5.5 percent in economic growth.

The draft plan sets targets of curbing inflation at 2-4 percent, maintaining the value of rupiah at 14,900-15.300 rupiahs per USD, increasing the output of exploited crude oil to 677,000-737,000 barrels per day, and controlling State budget overspending at 3.21-4.17 percent of GDP.

The Indonesian Government said that when making the plan, it had taken into account possible risks as well as national economic development and recovery potential.

Recently, the Organisation for Economic Cooperation and Development (OECD) forecast that the Indonesian economy could witness a 3.9 percent contraction this year if it is hit by a second wave of COVID-19, noting that the contraction would be the first since the 1997 financial crisis.

The OECD report highlights the rocky path that lays ahead for Southeast Asia’s biggest economy as the government seeks to spur an economic recovery by reopening the economy this month after more than two months of partial lockdown.

The think-tank projected the economy to shrink 2.8 percent this year if the government manages to avoid a second wave of infections./.