Fragile Balance of Payment in Indonesia in the Midst of Recent Global Economic Uncertainties
Amid global financial turbulent, the economy of Indonesia posted an annual average growth of above 6 per cent between 2008 and 2012, except in 2009. This was arguably among the most stable growth performance among the regional economies of East and Southeast Asia. The strength of domestic demand has indeed been a primary driver of the remarkably stable growth performance. However, the uncertainties with the advanced economies, particular in the US and the European Union, had negatively affected the local economy and exposed a number of apparent weaknesses with the Indonesian economy. A couple of these vulnerabilities are worth highlighted as they are arguably structural in nature. First is the country banking sector’s exposure to global cross-border bank lending activities. Second factor has to do with the persistent current account deficit and its link to long-standing fiscal policy of fuel subsidy and global commodity market.
|Date of creation:||15 Aug 2013|
|Date of revision:|
|Contact details of provider:|| Postal: Ludwigstraße 33, D-80539 Munich, Germany|
Web page: https://mpra.ub.uni-muenchen.de
More information through EDIRC
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- de Haas, Ralph & van Lelyveld, Iman, 2010.
"Internal capital markets and lending by multinational bank subsidiaries,"
Journal of Financial Intermediation,
Elsevier, vol. 19(1), pages 1-25, January.
- Ralph de Haas & Iman van Lelyveld, 2006. "Internal Capital Markets and Lending by Multinational Bank Subsidiaries," DNB Working Papers 101, Netherlands Central Bank, Research Department.
- De Haas, Ralph & van Lelyveld, Iman, 2009. "Internal Capital Markets and Lending by Multinational Bank Subsidiaries," MPRA Paper 13164, University Library of Munich, Germany.
- Siregar, Reza Yamora & Lim, CS Vincent, 2010.
"The Role of Central Banks in Sustaining Economic Recovery and in Achieving Financial Stability,"
20846, University Library of Munich, Germany.
- Reza Yamora Siregar & Vincent Choon Seng Lim, 2010. "The Role of Central Banks in Sustaining Economic Recovery and in Achieving Financial Stability," Journal of Advanced Studies in Finance, ASERS Publishing, vol. 0(1), pages 83-99, June.
- Siregar, Reza Yamora & Lim & C.S. Vincent, 2010. "The Role of Central Banks in Sustaining Economic Recovery and in Achieving Financial Stability," Staff Papers, South East Asian Central Banks (SEACEN) Research and Training Centre, number sp74, July-Dece.
- Siregar, Reza Y., 2002. "Interest Rate Policy And Its Implication On The Banking Restructuring Programs In Indonesia During The 1997-Financial Crisis: An Empirical Investigation," EIJS Working Paper Series 154, The European Institute of Japanese Studies.
- Victor Pontines & Reza Siregar, 2012. "How Should We Bank With Foreigners? An Empirical Assessment of Lending Behaviour of International Banks to Six East Asian Countries," CAMA Working Papers 2012-04, Centre for Applied Macroeconomic Analysis, Crawford School of Public Policy, The Australian National University.
- Kulwant Rai & Herman Kamil, 2010. "The Global Credit Crunch and Foreign Banksâ€™ Lending to Emerging Markets; Why Did Latin America Fare Better?," IMF Working Papers 10/102, International Monetary Fund.
When requesting a correction, please mention this item's handle: RePEc:pra:mprapa:49027. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Joachim Winter)
If references are entirely missing, you can add them using this form.