#Global Economy
President Prabowo calls for strategic collaboration at SPIEF 2025
President Prabowo Subianto emphasized the importance of strategic collaboration and reaffirmed Indonesia’s commitment to an independent and active foreign policy during his address at the plenary session of the St. Petersburg International Economic Forum (SPIEF) 2025 on Friday, June 20, 2025.
Balinese handicraft exporters adapt to shifting global trade, consumer trends
Once a consistent foreign exchange contributor, Bali’s woodcraft export industry is now navigating choppy waters in line with the cautious “wait-and-see” mode taken by American buyers following the increased import costs imposed by the United States government although the North American country has remained a major market for Balinese handicrafts.
Israel-Iran war sends oil prices soaring, pressures Indonesia’s economy: Expert
The outbreak of war between Israel and Iran in June 2025 has triggered a dramatic spike in global oil prices, surpassing US$100 per barrel, sending shockwaves through energy-importing nations like Indonesia, placing immense pressure on the country’s State budget and simultaneously threatening inflation and currency stability, an expert says.
Airlangga highlights RI’s proactive role in int’l negotiations during USTR meet
Coordinating Minister for the Economy, Airlangga Hartarto, met with United States Trade Representative (USTR) Jamieson Greer on the sidelines of the first day of the OECD Ministerial Council Meeting (MCM) in Paris, France on Tuesday, June 3, 2025, marking a strengthened Indonesia-U.S. dialog, particularly on trade and investment.
Majority of Indonesians fall below Upper-Middle-Income poverty line: World Bank
Despite being officially categorized as an upper-middle-income country, Indonesia still faces a stark poverty challenge, with more than half of its population living below the poverty line for countries in the same income bracket, according to the latest Macro Poverty Outlook published by the World Bank in April 2025.
Indonesia asks IMF to reinforce global trade amid rising tensions
Governor of the Indonesian Central Bank (BI) Perry Warjiyo has called for a stronger role by the International Monetary Fund (IMF) in safeguarding global economic stability in the face of rising trade tensions and protectionist policies, particularly from major economies such as the United States.
RI engages U.S. on multilateralism, WTO reform at G20 and IMF Spring meetings
Indonesia emphasized the importance of continued U.S. engagement in multilateral institutions and fair global trade during recent high-level meetings on the sidelines of the G20 and the IMF Spring Meetings, Finance Minister Sri Mulyani Indrawati said.
Government debt projected to reach 40.1 percent of GDP in 2025: World Bank
Indonesia’s public debt is expected to rise significantly to 40.1 percent of gross domestic product (GDP) in 2025, up from an estimated 29.2 percent in 2024, the World Bank said in its April 2025 report.
U.S. appreciates Indonesia’s trade initiatives, reforms: Airlangga
Coordinating Minister for the Economy, , says the United States appreciates Indonesia’s trade initiatives and proposed reforms efforts that will expectedly open the door for deeper bilateral engagement in the wake of President Donal J. Trump’s retaliatory trade policies against its trading partner countries, including Indonesia, released earlier this month.
Indonesia and Qatar set up US$4 billion joint investment fund
Indonesia and the Qatar Investment Authority (QIA) have agreed to establish a US$4 billion joint investment fund as a direct result of President Prabowo Subianto’s recent visit to Qatar.
BI maintains benchmark interest rate amid threat of global economic slowdown
The Board of Governors Meeting of the Indonesian Central Bank (BI) on April 22-23, 2025 decided to maintain the benchmark interest rate (BI Rate) at 5.75 percent over consideration of increased uncertainty amidst U.S.-China trade tariffs war and threat of slowing global economic growth.
Economists praise Indonesia’s trade talks with U.S.
Indonesia’s recent negotiations with the United States are seen as a strategic move aimed at safeguarding national economic interests rather than signaling a geopolitical shift away from China, said Fithra Faisal Hastiadi, Chief Economist at Samuel Sekuritas Indonesia.