...imports are higher in the second and third quarters as compared to other quarters...Jakarta (ANTARA News) - Bank Indonesia (BI) has warned of burgeoning oil and gas imports in the second and third quarters that may lead to an increase in the countrys current account deficit.
"Normally, imports are higher in the second and third quarters as compared to other quarters," Bank Indonesia Deputy Governor Mirza Adityaswara stated here on Friday.
In order to reduce oil imports, the government must intensify its energy diversification program in the long run, he emphasized.
"Otherwise, we will continue to import oil. The rising oil imports will jeopardize the balance of trade and payment, so energy diversification is necessary. The energy diversification program may cover geothermal, gas, hydro, and solar energy," he added.
According to the information revealed by the Central Statistics Agency (BPS) earlier during the day, Indonesia recorded a trade surplus of US$673.2 million in March 2014.
The agency claimed that the non-oil/non-gas sector recorded a surplus of US$2.05 billion, while the oil and gas sector suffered a deficit of US$1.37 billion in March 2014.
In terms of volume, Indonesias trade balance recorded a surplus of 38.08 million tons in March 2014, with the non-oil/non-gas sector enjoying a surplus of 38.53 million tons and the oil and gas sector suffering a deficit of 0.45 million tons.
"Overall, our balance of trade recorded a surplus in February and March, thus the first-quarter current account deficit should be close to the BIs set target of 2 percent," Mirza pointed out.
Reporting by Citro Atmoko
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Editor: Ella Syafputri
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