Trade deficit

Trade deficit

From Neraca

I felt greatly dismayed by the results of the special report from the limited cabinet meeting of the economical, financial and industrial sector.

The report said that the trade deficit is increasingly swelling. Exports do not balance imports. And for August 1995, the trade deficit in the non-oil sector reached US$498.4 million. In fact, for October 1995, the deficit was $174.3 million.

Worse still, the increasing imports involved consumer goods (110.47 percent), whereas the import of raw materials and semi- processed goods reads only 32.96 percent and 11.70 percent.

According to some scholars, the figures are alarming enough. Then, how can we possibly pay our national debt which already exceeds $100 billion, if we fail to gain as much foreign exchange?

HARYANTO LUKITO

Jakarta