Bank Indonesia Emphasises Stability to Drive Investment at G20 FMCBG Meeting
Jakarta (ANTARA) - Bank Indonesia (BI) Deputy Governor Filianingsih Hendarta, speaking at the G20 FMCBG meeting, emphasised that economic stability and policy certainty are essential foundations for driving investment, expanding employment opportunities, and strengthening business growth amidst global uncertainty.
According to an official statement received in Jakarta on Wednesday, Bank Indonesia highlighted three critical priorities for monetary policy implementation amidst global instability.
First, maintaining anchored inflation expectations through comprehensive and forward-looking assessments. Anchored refers to a condition where the rate of price increases for goods and services remains stable and aligned with the targets set by the central bank.
Second, ensuring that the monetary policy framework continues to adapt to increasing global financial integration and rapid digitalisation. According to the central bank, these conditions reinforce the importance of a policy mix through the synergy of monetary policy, exchange rate stabilisation, macroprudential measures, and payment systems.
Third, strengthening clear, consistent, and credible policy communication to manage the expectations of economic actors and enhance the effectiveness of monetary policy transmission.
Filianingsih Hendarta attended the meeting representing the Governor of Bank Indonesia, alongside Deputy Finance Minister Juda Agung, who represented the Minister of Finance, during discussions with the President of the United States.
The G20 Finance Ministers and Central Bank Governors Meeting (G20 FMCBG) took place from 31 August to 1 September 2026.
In addition to G20 members, the meeting was attended by representatives from the Netherlands, Poland, Singapore, Qatar, Switzerland, and the United Arab Emirates, as well as several international organisations.
The G20 views the global economy as remaining resilient, supported by policies that maintain macroeconomic stability and encourage growth. However, several risks remain to be monitored, particularly geopolitical tensions, trade and energy supply uncertainties, inflationary pressures, high debt levels, and financial market volatility.
The G20 also encouraged calibrated synergy between monetary and fiscal policies, structural reforms, increased investment and innovation, and the strengthening and diversification of supply chains to drive potential growth.
Investment in Artificial Intelligence (AI) was also a point of focus for the G20, given its potential to increase productivity and create new sources of growth. The utilisation of AI is seen as needing support through the strengthening of financial system resilience and cybersecurity.
Furthermore, the G20 encouraged enhanced cooperation in several strategic areas, including global imbalances, financial literacy, addressing financial transaction fraud and scams, debt issues, and collaboration with the private sector to support stronger and more sustainable global growth.