The seasonal factors comprise strong household consumption along with Christmas and New Year's Eve celebrations and a spike in government spending at the end of quarters every year, he remarked at a media gathering on the economic and market outlook 2020 at Mandiri Plaza in Jakarta on Thursday.
"In the meantime, the prices of main commodities, including coal, palm oil, crude oil, rubber, and nickel, remained at a moderate level, so the contribution of commodities to the national economic growth is relatively weak," he stated.
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Until the third quarter of 2019, the Indonesian economy was yet able to grow at about five percent despite a global economic slowdown resulting from global uncertainty over the US-China trade war and geopolitical upheavals in several parts of the world, including Brexit, Hong Kong, the Korean Peninsula, and the Middle East.
The Indonesian economy grew 5.02 percent year-on-year (yoy) in the third quarter of 2019, decreasing from 5.17 percent yoy than the corresponding period last year.
However, in comparison with the economic growth of other emerging economies, the performance of the Indonesian economy is quite satisfactory.
Over the same period of time, the Chinese economy slowed down to six percent, from 6.5 percent and the Indian economy nosedived to 4.55 percent, from seven percent yoy.
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According to data from the Central Statistics Agency (BPS), Indonesia's economic growth this year had begun slowing in the first quarter to reach 5.07 percent.
Thereafter, in the second and third quarters of 2019, Indonesia's economic growth slowed down, respectively at 5.05 percent and 5.02 percent.
The Institute for Development of Economics and Finance (Indef) has forecast Indonesia’s economy to slow down to 4.8 percent by 2020 due to challenges from the global and domestic fronts continuing to weigh heavy.
"We observe that in terms of the declining export factors," Indef Research Director Berly Martawardaya remarked at the national seminar on Indonesia's economic projections in Kuningan, South Jakarta, recently.
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