"Our macroeconomic assumptions are that the economic growth is projected to lie in the 4.5-5.5 percent range."
Jakarta (ANTARA) - President Joko Widodo (Jokowi) has set a target range of 4.5-5.5 percent for Indonesia's economic growth rate in 2021.

"Our macroeconomic assumptions are that the economic growth is projected to lie in the 4.5-5.5 percent range," Jokowi remarked while delivering the draft 2021 state budget plan before the plenary session of the House of Representatives (DPR) here on Friday.

The head of state made assurance that economic growth would be backed by improvement in domestic consumption and investment as the main driving engine.

"Inflation will remain at the three-percent level to boost the people's purchasing power," he stated.

The rupiah will slightly strengthen around Rp14,600 against the US dollar.

"In addition, Indonesia government’s 10Y bond yield is projected at 7.29 percent. Indonesia Crude Price (ICP) is estimated to reach US$45 per barrel," Jokowi stated.

The government expects oil and gas production to reach between 705 thousand and one million barrels of oil equivalent per day (boepd).

Jokowi believes that the government would imbibe the theme of expediting economic recovery and reform enhancement in the fiscal policy in 2021.

"This is since uncertainties exist. To this end, the state budget plan must take precautionary measures against tackling this uncertainty for ushering in global economic recovery; handling volatility in commodity prices; and maintaining the social, economic, and geopolitical order," he affirmed.

The 2021 state budget plan is aimed at bringing about an improvement in the nation’s economic recovery and encouraging stability in the financial sector.

"The implementation of fundamental reforms is a must and so also are the education reform, health reform, social protection reform, and budgeting and taxation system reform," the president noted.

The plenary session was attended by 329 legislators, of which 231 had partaken in the virtual session.
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