June 7 (Bloomberg) -- Indonesia is \u201coptimistic\u201d the country can achieve or exceed export growth of 7 percent to 8.5 percent this year, even as Europe\u2019s debt crisis threatens demand for the region\u2019s goods, Trade Minister Mari Pangestu said today.<\/p>\n
The increase in exports in the first four months of 2010 suggests the government\u2019s target for the year can be met, Pangestu said in an interview in Ho Chi Minh City, Vietnam today. \u201cWe are optimistic that we can achieve the 7 percent to 8.5 percent or even beat it.\u201d<\/p>\n
Asia\u2019s rebound is outpacing the rest of the world as companies from Nissan Motor Co. to PT Astra Agro Lestari increase overseas shipments. Still, the recovery may slow as Europe\u2019s debt turmoil hurts consumer and business confidence in advanced economies.<\/p>\n
\u201cThere is still some downside risk because of what\u2019s happening in Europe,\u201d Pangestu said after speaking at a World Economic Forum conference. \u201cWe seem to be so far not seeing any direct effects, but of course we have to be watchful.\u201d<\/p>\n
Indonesia\u2019s exports, which account for 26 percent of gross domestic product, rose 19.55 percent in the first quarter from a year earlier. That helped lift revenue at palm oil producers including Astra Agro and PT Perusahaan Perkebunan London Sumatra Indonesia.<\/p>\n
While Indonesia isn\u2019t \u201cso exposed\u201d to the European market, with about 12 percent of exports sold to Europe, less than the corresponding figure for China, \u201cyou can have secondary effects,\u201d the minister said. \u201cIf China\u2019s exports slow down, then so do their imports.\u201d<\/p>\n
Indonesia\u2019s economy grew at the fastest pace in more than a year last quarter as record-low interest rates boosted consumer spending and exports and investment recovered. Gross domestic product in Southeast Asia\u2019s largest economy increased 5.7 percent in the three months to March 31 from a year earlier.<\/p>\n
Economic growth of 6 percent to 7 percent in the coming years is \u201cpretty much in the pocket,\u201d Gita Wirjawan, chairman of the Investment Coordinating Board of Indonesia, said at the same conference today.<\/p>", "url": "https:\/\/jawawa.id\/newsitem\/indonesia-export-growth-may-beat-goal-pangestu-says-1275900972", "image": "" }, "sponsor": "Okusi Associates", "sponsor_url": "https:\/\/okusiassociates.com" }