REPUBLIKA.CO.ID, JAKARTA -- The Indonesian government will check its import needs more selectively to ensure that the imports will really support the national economy. Finance Minister Sri Mulyani said that at the parliament complex here on Tuesday.

"We will selectively check who will need imports and if the imports will be raw materials or capital goods. And if it will be strategic to support domestic economic activities," she said.

The step to check the imports is a corrective step towards negative sentiment, which has led to the trend of the rupiah's weakening against the US dollar, she noted.

In addition, it is also aimed at narrowing the current account deficit as well as at supporting exports, tourism, and other activities that may bring foreign exchange earnings to the state, she added. The selection of imports is also aimed to see whether the import of raw materials has been able to support production.

Also read: Indonesia be wary of US-China trade war: Sri Mulyani

"When it comes to capital goods related to large projects, particularly those related to government projects, we will look at whether the projects must be completed by importing capital goods," she remarked.

She further asked the private sector to stay alert for the impact of interest rate hike and change in exchange rate on their balance sheet.

"They need to take steps that we have taken to make adjustments, so that the economy can stem the shock more properly without causing upheaval," she pointed out.

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