VOI - Voice of Indonesia | RRI - Radio Republik Indonesia

Director of the Institute for Development of Economics and Finance - INDEF Enny Sri Hartati, said Indonesia's economic growth in 2018 could exceed from the government's target of 5.4 percent. In a special interview with Voice of Indonesia on Tuesday 16/1, she explained, in 2017 the growth of neighboring countries such as Vietnam, Singapore, Philippines and Malaysia have improved. The improving condition of the external economy boosted optimism and showed a recovery in the global economy. According to her, Indonesia has the potential sources of extraordinary economic growth. Enny explained, seeing from the potential of resources and markets, Indonesia is much better than other countries in ASEAN. Nevertheless, there are still many challenges such as slowing household consumption and limited realization of investment figures.

"The homework in 2018 is how the government doing recovery of public purchasing power immediately. Secondly, how to realize the commitment of investors to invest in the real sector. The investment in the real sector is the key, because if we only stay in a portfolio like in 2017, there have no significant contribution to economic growth," Enny said.

Enny Hartati further explained, the effectiveness of government spending also gives a significant impact for the economic growth. The government has a budget of more than 2,000 trillion rupiah. According to him, the procurement of goods amounting to 400 trillion, can be used to absorb domestic products that can promote the Indonesian industry. In addition, the village funds can also be used to improve rural products. Therefore, rural products can meet domestic demand even for export// (Sekar/trs.Rezha)