Global economic crisis may reoccur: VP

Global economic crisis may reoccur: VP

Vice President Boediono (FOTO ANTARA/Setpres-Abror/HO)

"The crisis will definitely reoccur and we do not know when it will come. Therefore, we need to learn from history and be ready to counter the crisis and minimise its impact on our nation," Boediono said.
Jakarta (ANTARA News) - The world may face an economic crisis again in the coming years, so all leaders should learn from past experience in order to deal with such crises effectively, according to Vice President Boediono.

"The crisis will definitely reoccur and we do not know when it will come. Therefore, we need to learn from history and be ready to counter the crisis and minimise its impact on our nation," he said here on Monday.

"Indonesia experienced a crisis in 1997-98, when the economic situation was really difficult. Many banks were shut down and a number of people took their money out of the national bank and invested it abroad," Boediono noted.

"At that time, the government issued the `blanket guarantee' policy to ensure that people's money invested in the banks would remain secure even if the banks closed down. The effort had a positive impact on the economy," he pointed out.

Taking lessons from the crisis in 1998, Boediono added, the government was able to take steps in anticipation of the current economic crisis, due to which Indonesia was not as badly affected as many other countries.

"Therefore, I urge prospective leaders to learn from history on how to handle the crisis," he said. (*)

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