IMF explains why Indonesia is not on the list of 28 countries awaiting assistance

TEMPO.CO, Jakarta – International Monetary Fund or IMF ensure that Indonesia is not yet among the 28 countries requesting financial assistance to deal with current external pressures. Resilience of foreign exchange reserves to health tax be the main indicator.

IMF Chief Economist for Asia and the Pacific, Yan Carriere-Swallow, explained that Indonesia’s external resilience was maintained because Indonesia’s current economic management had improved significantly, mainly due to fiscal consolidation that the government had implemented so far, as well as monetary policy adjustments. which had been taken.

“We think all of this will help Indonesia maintain stability, so we don’t think Indonesia needs IMF help, although the IMF will always be there to help its members,” Yan Carriere said. -Swallow during a visit to the office. . Tempo on Jalan Palmerah Barat, South Jakarta on Tuesday, November 1, 2022.

Lily: IMF suggests central banks keep raising interest rates to fight inflation

According to him, the countries that have so far approached the IMF for financial assistance come from Asia and especially from Latin America. Even so, he did not reveal the list of countries that were lining up to ask for help, including 16 countries that had already asked for help.

These countries are currently facing external shocks due to the current global situation triggered by the rapid rise in the central bank’s benchmark interest rate and the potential to remain at high levels. This is mainly due to the high rate of global inflation caused by fluctuating commodity prices.

This condition has tightened global liquidity, which has led to higher borrowing costs, thus disrupting their balance of payments. Additionally, global trade is currently disrupted due to the disruption of global supply chains due to one of the effects of the war in Ukraine.

Then: “No wonder so many countries come to the IMF to…”

Zera Carpenter

"Typical thinker. Unapologetic alcoholaholic. Internet fanatic. Pop culture advocate. Tv junkie."

Leave a Reply

Your email address will not be published. Required fields are marked *