Indonesia books $1.02 billion trade deficit in August

18-Sep-2018 Intellasia | The Jakarta Post | 6:00 AM Print This Post

Statistics Indonesia (BPS) announced on Monday that Indonesia recorded a trade deficit of $1.02 billion in August, mostly as a result of oil and gas imports.

The August trade deficit is half of the $2.03 billion deficit in July, Indonesia’s highest in five years.

Exports decreased by 2.9 percent month-to-month (mtm) to $15.82 billion, with the mining sector contributing the most to the deficit at 13.58 percent.

Imports declined by 7.97 percent to $16.84 billion mtm, with decreases in imports for apples, cloves and automotive parts.

From January to August, the trade deficit amounted to $4.09 billion, with monthly surpluses only occurring in March and June.

BPS head Suhariyanto said that, even though non-oil and gas commodities booked a $639.6 million surplus in August, the deficit in the oil and gas sector was much bigger ($1.66 billion).

To cut its dependency on imports, including oil and gas, the government launched a presidential regulation that requires that all vehicles use B20 biodiesel. The regulation came into effect on September 1 and is expected to save the country $5.9 billion in oil and gas imports annually.

“To balance it out, we hope that exports will also recover with all policies the government is currently implementing,” Suhariyanto said.

http://www.thejakartapost.com/news/2018/09/17/indonesia-books-us1-02 billion-trade-deficit-in-august.html

 


Category: Indonesia

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