Indonesia's exports, imports seen contracting again in June

[JAKARTA] Indonesian exports likely contracted by double-digits in June, a month that is expected to have produced a narrower trade surplus than in May, a Reuters poll showed.

The median forecast from 12 analysts was for a 12.40 per cent shrinkage in exports from a year earlier. In May, shipments declined 9.75 per cent.

Imports probably fell at an annual 10.10 per cent, worsening from a 4.12 per cent decline in May that was the smallest contraction since October 2014.

Southeast Asia's largest economy has seen its exports and imports contract for 20 months up to May as low commodity prices hurt everything from overseas shipments and government revenue to people's purchasing power.

The poll median for June's trade balance is a surplus of US$300 million, compared with May's US$370 million surplus. Every month this year, Indonesia has had a trade surplus.

REUTERS