The Head of the World Bank for Indonesia and Timor-Leste, Satu Kahkonen, anticipates Indonesia's economic growth to reach only 4.9% in 2024. This projection follows a meeting with the Minister of Economic Affairs, Airlangga Hartarto, in Jakarta on Tuesday, February 27, 2024. Kahkonen stated that the World Bank is in the process of updating its economic projections for Indonesia. However, the current forecast indicates a slight deceleration from the initial 5% economic growth to 4.9% for the calendar year. Managing Director and World Bank Group Chief Financial Officer Anshula Kant, along with Lead Economist for Indonesia and Timor-Leste Habib Rab, were also present during the meeting. Kahkonen emphasized that these projections are preliminary and subject to change as the year progresses.
Highlighting Indonesia's positive economic growth trend, Kahkonen commended the country for maintaining robust fiscal and macroeconomic conditions. He expressed optimism for this trend to continue, making Indonesia a bright spot globally. Previously, the government had set an optimistic target of 5.2% economic growth for 2024, aiming to boost growth sources both domestically and internationally. Minister Airlangga Hartarto emphasized the sustainability of policies as crucial for future economic growth. Despite global economic uncertainties such as the Ukraine-Russia conflict, Hamas-Israel tensions, and China's economic slowdown, the minister remains optimistic about achieving the targeted growth.
