Indonesia's current account deficit to fall below 3% of GDP this year
[JAKARTA] Indonesia's current account deficit is expected to fall below 3 per cent of gross domestic product this year due to a sharp drop in global oil markets and last month's hike in domestic subsidised fuel prices, a central bank official said.
Bank Indonesia Deputy Governor Hendar told reporters on Thursday that the current account deficit narrows by around US$170 million for every US$1 drop in global oil prices.
The current account deficit in the third quarter narrowed sharply to 3.07 per cent of GDP, compared with 4.07 per cent in the previous quarter.
While the deficit has narrowed, it remains higher than the 2.5 per cent of GDP that the central bank considers healthy.
REUTERS
BT is now on Telegram!
For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes
International
H5N1 strain of bird flu found in milk: WHO
China moves to boost foreign investment in domestic tech companies
Xi orders China’s biggest military reorganisation since 2015
Warner Bros CEO earned US$49.7 million in strike-impacted year
Teheran signals no retaliation against Israel after drones attack Iran
India central bank cannot let its inflation guard down just yet, MPC minutes show