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Kamis, 11 Agustus 2011

Financial turmoil Influential Not Great

Governor of Bank Indonesia (BI) Nasution said the financial turmoil of the world especially in the recent stock market will not have a big impact on the economy of Indonesia, including the estimated economic growth at 6.6 percent until the end of the year.

"We see of course that these dynamics are not prolonged turmoil continues, we look at all that will run not very big influence on our economy," Nasution said in Jakarta on Wednesday (10/08/2011).

According to him, in a protocol agreement with the Ministry of Finance economic crisis, the conditions now are far from the symptoms of the crisis in Indonesia because the only indicator of a troubled stock index, while other indicators such as the rupiah exchange rate, the value of securities, and capital outflows (foreign funds out) still good. "Now, do not you, who were exposed to the stock price index. Rupiah while moving us continue to try to control the volatility is not too big so we are still generally in the area of ​​green light," he said.

  For capital outflow, Nasution also says while there, but the numbers are still within normal limits and not to disrupt the national economy.
Facing financial turmoil as a result of long-term decline in U.S. bond rating, Nasution said BI has done a variety of actions that are routine policy of Bank Indonesia daily. "That's our daily job. We follow closely, while preparing the steps we need to take. We've got anticipatory measures that are more severe turmoil as crisis protocol jointly finance minister," he said.

Darmin explained that economic development in the U.S. shows that the country's economic recovery is still going to last long, giving rise to signs the U.S. will lower interest rates to stimulate the economy.

With that condition, he added, many suspect the U.S. will re-publish the U.S. dollar in large quantities or quantitative easing that could affect the increase in capital inflows into Indonesia. "Capital inflows are going to continue until the U.S. recovery is believed to be the basis of continuous improvement," he said.

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