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Cautious Optimism

Tuesday, December 18, 2007

The Indonesian economy is expected to perform better in 2008. But rising oil prices will be a serious stumbling block. Whether the forecast will come true or not depends on how the government manages the impact of the rising cost of oil.

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THE year 2007 is coming to an end. The Indonesian economy throughout the year has shown a steady progress. The 6.3 percent growth targeted for the year has been achieved, and inflation and the rupiah are stabilized. The Bank Indonesia Rate was lowered, spurring the banking industry to follow suit and lower its own rates of interests. Investment has been on the rise and good export performance contributed to strengthening the country’s foreign e

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