"Our study shows that the Indonesian economic cycle in the next five years will experience an increase from its lowest point to its highest point. Meanwhile, the financial or credit cycle will also increase in seven years," said BI Governor Perry Warjiyo at a virtual discussion here on Friday.
To reach the peak of growth, synergies in policies made by the central bank, government, and various other authorities need to be continuously encouraged, he added.
To support synergies in national policies for encouraging the peak in economic growth, the central bank has been tasked with maintaining price stability and supporting financial system stability, Warjiyo said.
Synergies in interest rate policies, exchange rates, management of foreign capital flows, macroprudential measures, acceleration of SPUR digitalization, and financial deepening also need to be continuously pursued to support the economy, he added.
Structural reforms also need to be carried out to achieve the highest growth through the productivity of capital, labor, and technology, he said.
Reforms in the infrastructure, investment climate, trade, labor, and digital economy-finance sectors, and deepening of the financial sector as well as green economy and finance also need to be carried out, he added.
"If structural reforms continue to be carried out, including the development of superior human resources, we will achieve better results," Warjiyo remarked.
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(INE)
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