Business Expansion Picking Up, Says Central Bank

Bank Indonesia, the Indoneian central bank.

Jakarta, MINA – A survey by Bank Indonesia (BI said that business expansion is expected to continue after improvement was recorded in business performance in various sectors in the first quarter of 2018.

“Business was brisker in the first quarter of this year notably in the farm, plantation, animal husbandry, fishery and processing sectors,” BI Executive Director head of the statistic Department Yati Kurniati noted here on Thursday.

Yati said improvement in the business performance in the various sectors would continue through the second quarter of this year with the growing demand ahead of the Islamic fasting month of Ramadhan and Ied ul Fitr.

Also Read: Indonesia Prepares for Huge Capital Inflows

Stronger growth is predicted in the manufacturing sector such as in textile, iron and steel base metal, food and beverage, tobacco, timber , paper and printed good industries.

Yati said expansion is also expected in the farm sector mainly food crop farming, plantation , forestry and fisheries sectors.

The survey also showed improvement in the performance of the business sector as reflected in increase in the number of new jobs in the second quarter of 2018 especially in the trade, hotel, and restaurants and company services, financial services and real estate.

“Respondents attributed the increase in the number of jobs to growing sales and business expansion,” Yati said.

Also Read: Indonesia Raises Its Reverse Repo Rate to 5.25%

The survey reflects good liquidity and rentability of of the business sector in the first quarter of 2018 with easier access to bank credits.

The survey had been carried out to see the indications of the economic trend in the current quarter , to get information about economic activities to provide base for estimate of economic condition in the next quarter. (T/RS5/RS1)

Mi’raj Islamic News Agency (MINA)