REPUBLIKA.CO.ID, JAKARTA -- Coordinating Minister for Maritime Luhut Binsar Pandjaitan said no need to shelve infrastructure projects in order to cope with falling value of rupiah against the U.S. dollar. There has been suggestions about putting off implementation of infrastructure projects especially ones using imported materials amid shrinking value of the national currency.

"I think it is not necessary especially after we see possible increase in income from palm oil exports, biodiesel and coal and increase in earning from the tourism industry," Luhut said here on Thursday.

Luhut acknowledged the government is evaluating the condition, but what is certain, so far, there has been no postponement in the implementation of infrastructure projects.

"There is none , not yet. We are still evaluating," he said.

Also read: 'Rupiah weakening does not reflect fundamentals of economy'

The government is working on a number of strategies to save and increase foreign exchange reserve to strengthen economic resilience in facing global economic uncertainty, he said.

Among the programs to be carried out to save foreign exchange include wider use of B20 fuel(mixture of automotive diesel oil and palm oil making up 20 percent of the mixture), increase in the use of local content and optimization of the service of the tourism sector.

The government will also study the possibility of pruning imports of non essential goods. Luhut said the government policy is expected to bear fruit especially improvement in the country's current account balance in the remaining months of the year.

"At least to keep rupiah at the level of around 14,000 per U.S. dollar before gradually regaining strength," he said.

Ikuti Whatsapp Channel Republika