Selasa 10 Jul 2012 23:19 WIB

Hatta: One billion USD to buy IMF bonds

Rep: Esthi Maharani/Satya Festiani / Red: Yeyen Rostiyani
International Monetary Fund (IMF) Managing Director Christine Lagarde, syas that Indonesia needs prudent monetary policy and a flexible exchange rate to safeguard it against external risks. She speaks to journalists while accompanied by Indonesia's Central
Foto: Reuters/Enny Nuraheni
International Monetary Fund (IMF) Managing Director Christine Lagarde, syas that Indonesia needs prudent monetary policy and a flexible exchange rate to safeguard it against external risks. She speaks to journalists while accompanied by Indonesia's Central

REPUBLIKA.CO.ID, JAKARTA - The Coordinating Minister of Economy, Hatta Rajasa, ensures that Indonesia will allocate one billion USD to purchase International Monetary Fund (IMF) bonds.

"It is not from State Budget. It will be like foreign exchange in BI. It will be in the form of a bond. Our foreign exchange will not decrease," Hatta said on Tuesday.

Hatta said the Managing Director of IMF Christine Madeleine Odette Lagarde and President Susilo Bambang Yudhoyono did not discuss the loan specifically. Yet, IMF appreciated Indonesian contribution towards global economy.

IMF earlier gave two options for the countries willing to help IMF. The loan can either on bilateral loan or on the commitment to purchase IMF bonds.

Bank Indonesia's Governor, Darmin Nasution, confirmed the loan by saying that BI would buy the IMF bonds. He emphasized that the fund came from BI instead of state budget.

"The loan still remains in Indonesia's reserve," he said.

Meanwhile, on the meeting SBY said Indonesia would still contribute to ASEAN despite the global economic crisis. "Indonesia will keep contributing to ASEAN, global economy, and play a role in ASEAN forum," Hatta said.

SBY said to Lagarde that with interconnected global economy, European crisis would affect Indonesia as seen on its economic growth. Earlier Indonesia targeted the economic growth on 6.7 percent, but due to the crisis, it was revised into 6.5 percent.

"However, President also said that we must maintain the economic growth above 6 percent," he said.

The visiting Christine praises Indonesian positive economic growth. Compared to other countries, Indonesia has low and managed inflation and fiscal deficit. "Indonesia is a successful country," Lagarde said.

Lagarde reminded that the unhealthy global economy would cause broader impact. "There is no economy that immunes to what happen in global economy," she said.

 

 

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