Indonesia says 2014 budget to focus on promoting domestic demand
JAKARTA (REUTERS) - Indonesia's budget for 2014, to be announced on Friday, will focus heavily stimulating domestic demand to support economic growth given the impact of a softer global economy on exports, Finance Minister Chatib Basri said.
In an interview with Reuters, Mr Basri said next year's budget deficit should equal 1.49 per cent of gross domestic product, compared with around 2.4 per cent this year.
He also said that the government's 6.3 per cent target for GDP growth this year will be difficult to achieve but that"around 6 per cent" was possible.
High inflation should stabilise in September, and the pace should decline in October as price pressures from food and increased fuel prices ease, the minister said.