Trade Minister Strengthens Indonesia's Product Competitiveness Through Trade Agreements

Jakarta – Trade Minister Budi Santoso emphasised that the government will continue to strengthen the competitiveness of national products amidst challenges such as the rupiah’s depreciation, through accelerating trade agreements with various countries to make domestically produced goods more competitive internationally.

“We have opportunities in export markets. If the rupiah weakens, we expect our goods to gain competitiveness in international markets. That is why we want domestic products to keep gaining access to international markets. How do we do this? One of them is what we were discussing earlier. We want to accelerate the ratification of trade agreements with all countries,” said Trade Minister Budi after a meeting with Commission VI of the Indonesian House of Representatives in Jakarta, on Tuesday.

According to him, a number of trade agreements have been finalised and are now being pushed through to ratification to open up wider market access for Indonesian products.

“Many have been completed, one of them with Canada. Canada has been completed,” he said again.

Furthermore, he assured that the domestic supply of essential goods remains under control amid the current global economic dynamics, though he would ensure anticipatory steps are taken appropriately.

“So we must stay optimistic. For now, I think essential goods in the market are relatively stable,” said Budi.

Meanwhile, Governor of Bank Indonesia Perry Warjiyo is optimistic that the rupiah against the US dollar will return to stability.

“Certainly stable,” said Perry after attending a limited meeting with President Prabowo Subianto at the Presidential Palace complex, Jakarta, on Monday (18/5).

However, Perry could not confirm when the rupiah would move to stability.

In the same event, Finance Minister Purbaya Yudhi Sadewa reported to President Prabowo that Indonesia’s economy is in good condition; the State Budget (APBN) is also sufficiently safe to support priority programmes. He also noted that Indonesia’s fiscal foundation is sound. The Ministry of Finance (Kemenkeu) will further engage with the capital market and investors.