Sri Mulyani’s subordinates say household consumption will still be the “savior” of economic growth in early 2022.

JAKARTA – Head of the Fiscal Policy Agency (BKF) of the Ministry of Finance Febrio Kacaribu said that Indonesia’s economic growth in the first quarter of 2022, which amounted to 5.01 percent, was still dominated by household consumption.

According to him, according to data from the Central Statistical Office (BPS), a number of sectors contributing to economic growth are also strengthening.

“This is encouraging as household consumption is growing. Let us hope that this trend will continue as economic activity and mobility continue to improve,” he said on Friday, May 13 via an online channel.

Febrio added that on the investment side, it also saw positive results in the infrastructure and construction sector, which continues to grow and is expected to improve in 2022.

“Exports and imports remain very strong. This is a source of growth whose strength will be visible in 2022. Not only due to rising raw material prices, but also due to exports and an increasingly competitive production sector,” he said.

In addition, Febrio reported that several sectors were already above pre-pandemic levels, namely the manufacturing sector, trade and the construction sector. Meanwhile, other sectors that still require attention are transport, accommodation and food and beverage.

“Regarding the food and beverage sector, although these two sectors recorded very strong growth in the first quarter of 2022, however, as the correction was quite sharp in 2020 and throughout 2021, it did not recover sufficiently, so overall this is still below the performance of these sectors, so it remains the government’s concern for the return of growth,” Febrio concluded.

Tag: economist kementerian keuangan consumer