President Jokowi Expects Increased Investment after Peaceful Elections

President Joko Widodo forecast an increase in capital and investment flow into Indonesia after the peaceful February 14 general elections. He acknowledged that many businesspeople were still waiting for the elections' results but he was confident that the elections went smoothly, and people were happy to vote. He emphasized the importance of political stability in supporting inclusive and sustainable economic growth.

Jokowi underscored the resilience of the Indonesian financial industry, with banking capital levels reaching 27.69 percent and banking credit growing 10.38 percent year on year, or above the pre-pandemic level, amid the global geopolitical situation with ongoing wars in Gaza and Ukraine. He also highlighted Indonesia's economic growth at 5.05 percent and controlled inflation at 2.57 percent.

Indonesia's foreign exchange reserves amounted to US$145 billion, the trade balance recorded a surplus of US$36 billion, and the current account deficit was a surplus of 0.16 percent, he stated. To foster an inclusive and sustainable economy, Jokowi encouraged the Financial Services Authority (OJK) to strengthen financial inclusion and literacy, which were still at 75 percent and 65 percent, respectively, in 2023.

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February 28, 2024