Key insights and market outlook
Bank Indonesia (BI) has raised concerns about persistently high global economic uncertainty despite some signs of improvement in certain economies. BI Governor Perry Warjiyo emphasized the need for vigilance and strengthened policy response to protect Indonesia's domestic economy from global spillover effects. The global economy is projected to grow at around 3.2% in 2025, driven by countries like Japan and India.
Bank Indonesia has sounded an alarm about the ongoing global economic uncertainty despite some positive developments in certain economies. BI Governor Perry Warjiyo highlighted that while there are signs of improvement in some regions, the overall global economic landscape remains challenging. The projected 3.2% global growth for 2025 is largely attributed to the growth in countries such as Japan and India, driven by household consumption and fiscal stimulus measures.
The European region is expected to maintain a positive outlook, supported by strong household consumption, investment, and favorable labor market conditions. However, Warjiyo stressed that despite these positive indicators, the global economy still faces significant uncertainties that could impact Indonesia's domestic economy.
In response to these challenges, Warjiyo emphasized the importance of maintaining heightened vigilance and implementing robust policy measures. The goal is to strengthen Indonesia's economic resilience against potential global spillover effects while simultaneously promoting higher domestic growth. This approach underscores BI's proactive stance in navigating the complex global economic environment.
BI Policy Warning
Global Growth Projection