Indonesia must refocus on short-term wage gains to combat recession: former trade minister

[JAKARTA]

BY MOST accounts, Indonesia has enjoyed a fairly successful year even as the government continues to navigate the twin global headwinds of rising inflation and slowing economic growth.

Growth in South-east Asia’s largest economy is expected to reach 5.4 per cent for the full year, according to latest projections by the Asian Development Bank. This is fuelled largely by higher commodity prices and robust consumption, which allowed the country to book its first current account surplus in 11 years.