The global economic recovery continued but has moved in a slower-than-expected pace, executive director of the central banks communication department Tirta Segara said here on Thursday.
This had to do with the downward revision of the US economic growth forecast after the first-quarter gross domestic product was lower than expected due to extreme cold weather in that country, he said.
"Despite being slow, the global economic recovery will continue, fueled by improving economies of developed countries owing to monetary stimulus," he said.
On the contrary, the economies of developing nations tended to slow down, particularly as a result of Chinas economic rebalancing process. Meanwhile, the commodity prices showed a downward trend, he said.
The second-quarter domestic economic growth also showed a downward trend. Although household consumption was expected to slow down, it still showed strong growth, he said.
Government consumption is predicted to grow at slower-than-expected pace due to a delay in the payment of the 13th salary until the third quarter of 2014 and curtailed budget of ministries and government institutions.(*)