Jakarta (ANTARA) - Indonesia must be able to maintain increasing consumption and investment to support economic growth in 2024, Bank Indonesia (BI) Deputy Governor Aida S. Budiman stated here on Wednesday.

"According to our estimates, the composition of economic growth will come from domestic demand. That way, Indonesia must be able to maintain consumption and investment," Budiman stated at the launch of the 2023 Indonesia Economic Report.

She remarked that Indonesia needs to sustain the upward trend of economic growth and synergy to maintain economic optimism, resilience, and revival in 2024.

BI projected that Indonesia's economy in 2024 will grow by 4.7 percent to 5.5 percent, with stability maintained both internally and externally.

BI estimated that in the medium term, national economic improvement will continue with maintained stability, thereby supporting national economic revival towards realizing the vision of Advanced Indonesia.

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Meanwhile, Indonesia's economy in 2023 grew well and resilient amid the global slowdown and high uncertainty.

Global economic challenges in 2023 included weak economic growth due to divergence, slow inflation decrease, long-term high interest rates, capital outflows from emerging markets and developing economies (EMDEs), and the strong US dollar exchange rate.

In 2023, Indonesia's economic growth was backed by domestic demand and is estimated to be in the range of 4.5 to 5.3 percent.

Indonesia's foreign exchange reserves also increased to US$146.4 billion at the end of December 2023.

"Our economic growth is (estimated to be) good, probably around five percent. Inflation is under control. The external sector is also good. We have US$146.4 billion in our foreign exchange reserve, and of course, this maintains our appreciated exchange rate," she remarked.

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Translator: Martha S, Kenzu
Editor: Yuni Arisandy Sinaga
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