Indonesian Minister of Trade Muhammad Lutfi (Photo: antaranews) Lutfi said global agencies, such as theInternational Monetary Fund (IMF) and the Organization for EconomicCo-Operation and Development (OECD), have made corrections to their projectionsfor the world economy and stated that the numbers will improve.
Indonesia is aiming for 5-5.5 percent economicgrowth this year. To achieve the economic growth target, exports must grow by 4percent, while import growth cannot be more than 2 percent, householdconsumption must increase by 5 percent, and investment needs to grow by 13.7percent, he said.
Although the increase in exports must reach 4percent, the Trade Ministry is designing a strategy so that exports can grow by6.3 percent, he added.
The Trade Minister's optimism is supported by thetrend of commodity supercycles, or commodities whose prices have risen rapidlycompared to previous years, such as crude oil, LNG, rice, iron ore, and copper.
Some of the world’s major commodity prices recorded a very significant recordincrease in 2020, which triggered speculation of a commodity supercycle in2020-2021 due to economic stimulus in developed countries, the weakening dollarexchange rate, and a drastic increase in demand in China and industrialisedcountries in Asia, he said.
Indonesia designed five strategies to promoting exports, including maintainingexport markets and key exports, prioritising SMEs, breaking intonon-traditional markets, capitalising on trade pacts, and reformingregulations, particularly the job creation bill.
Exports have made huge contributions to Indonesia’sGDP, helping the nation recover its economy./.
VNA
