IMF lowers economic growth projection for Indonesia in 2021

A corner of Jakarta capital (Photo: AFP)

The IMF also predicted that the five largest economies in Southeast Asia: Indonesia, Malaysia, the Philippines, Thailand and Vietnam, will collectively grow by 4.9 percent in 2021, down from the previous estimation of 5.2 percent due to the increasing number of COVID-19 infections in the region.

However, the IMF raised its growth forecast for the Asia-Pacific region from 7.3 percent to 7.6 percent in the same year. It also raised its 2021 growth projection for the global economy from 5.5 percent to 6 percent.

The IMF is the only multilateral economic organisation so far to lower its Indonesia’s economic growth outlook for this year.

Previously, the World Bank held its GDP growth projection for Indonesia at 4.4 percent for 2021, while the Organisation for Economic Cooperation and Development (OECD) raised its projection by 0.9 percentage points to 4.9 percent./.

VNA