"We have noticed that several policy packages were issued, but no evaluation was conducted. Hence, they need to be evaluated to encourage foreign investment inflows," Nugroho stated here on Wednesday.
Nugroho expounded that Indonesia's trade balance suffered a deficit during the January-July 2019 as compared to that recorded in 2017.
Nugroho pointed to several problems causing a deficit in Indonesia's trade balance, including the trade war between the United States and China that had impacted Indonesian trade and weakened the global economy, thereby resulting in a dip in the demand for imported goods from Indonesia.
Moreover, Nugroho noted that export-based investments had declined owing to several factors, including licensing issues.
"Policies at the central level cannot be transferred by the parties at the regional level due to restrictions at the regional level," Nugroho remarked.
According to the Central Bureau of Statistics (BPS), Indonesia had posted a trade surplus of US$0.21 billion in May 2019, with total exports at $14.74 billion and total imports of $14.53 billion.
"Despite several parties having forecast a deficit in the May trade balance, in reality, Indonesia had posted a surplus, despite only being $0.21 billion," Head of BPS Suharyanto stated.
Thus, Indonesia's trade balance during the January-May 2019 period suffered a deficit of $2.14 billion, with total exports reaching $68.4 billion and total imports of $70.6 billion.