Indonesia's business activities have improved from 8.65 percent in the first quarter to 19.17 percent in the second quarter of this year. (Image credit: Finews Asia)

Bank Indonesia: Food, trade activities have increased to 19 percent

Faradita Prayusti
Politics & Economic
Economic
Jul 13, 2019
2065
On Friday, the central bank of Indonesia reported findings on a survey that the country’s business activities in 2019 have improved from 8.65 percent in the first quarter to 19.17 percent - confirmed by a weighted net balance (WNB), in the second quarter of this year.

According to Bank Indonesia (BI), business activities in trade, accommodation and food service industry play an important role in the increasing.

There has been another improvement in the financial sector. It is reported corporate liquidity and profitability grew in the second quarter of 2019, followed by comparatively accessible loans from banks.

The manufacturing sector was also on the back of rose domestic demand. Comparing to the first quarter, the average production capacity utilization climbed up from 76.10 percent to 77.18 percent in the second quarter of 2019.

The WNB of labor utilization from April to July 2019 had escalated to 2.47 percent, while in the previous period it was 2.37 percent.

Indonesia economic situation is getting better and better. Last month, Executive Director of Bank Indonesia's Communication Department Onny Widjanarko said the inflation of Consumer Price Index (CPI) in June 2019 was still under control, which recorded 0.55 percent (mtm), comparing to inflation in April which was 0.68 percent (mtm).

The falling down was related to the end of Ramadan and Eid al-Fitr, as well as the decreasing of the volatile food group, said the BI’s executive director. After Ramadan and Eid al-Fitr market demand of onions, purebred chicken meat, and purebred chicken eggs declined, it causes the drop in inflation of volatile food

Indonesia government has targeted inflation in 2019 remaining low and under the midpoint of the target range of 3.5±1 percent. In order to achieve the target, corporation between the government at the central and regional levels with Bank Indonesia is needed to maintain price stability and reinforce the policy.

Source: https://en.antaranews.com/news/128857/business-activity-has-improved-says-bi

Economic , Bank , Indonesia , Business , Food , Trade , Accomodation