This year’s forecast of 12.5% non-oil-and-gas export growth will be maintained despite the global economic slowdown, the trade minister said on Thursday, Reuters reported.
“Exports this year may not be affected because of strong exports in the past eight months. The impact of the global economic slowdown will not be felt until next year,” Mari Pangestu told reporters.
“Exports of non oil-and-gas are still on track to grow at a minimum 12.5%,” she said.
Southeast Asia's biggest economy grew 6.3%, the fastest pace in more than a decade last year, pushed by strong exports of commodities, including palm oil, rubber, gas and a steady drop in interest rates.
Analysts, however, expect global demand for the country's commodities and mining products, which account for a major share of its exports, to weaken amid the credit crisis in some major economies.
The government is discussing a number of incentives to boost exports, including mulling a plan to scrap import duties on raw material used in the production of exported goods, Pangestu said.
The value of non oil-and-gas exports for the January-August period stood at $73.5 billion, or up 22.4% from the same period a year ago.
Indonesia exports mostly to Europe, Japan and the United States.