Indonesia Market Outlook 2020: Will be better, since trade war between US and China is relatively not affect to Indonesia economic growth in year 2020.
Economic Maintain at 5.3%
Trade war between US and China is relatively not affect to Indonesia economic growth in year 2020, since US and China has its first phase of agreement followed by second phase.
On the other hand, the growth of middle class income followed by the increase of consumption will support the Indonesia domestic economic growth. Indonesia economy is projected to growth 5.3% in 2020, or in accordance with 2020 State Budget. These projection is greater than 5.2% in 2019 State Budget.
Government deregulations and integrated infrastructure development, making business license more efficient and encouraging the economy growth better. The Government facility support will encourage investor confidence, both international and domestic, thereby increasing FDI and DDI.
From here, capital inflow to emerging country especially Indonesia capital market, which offers more attractive return than other emerging market. Bank tight liquidity in 2020, can be anticipated by a number of BUKU 4 bank categories, as the ability to raise funds both through third party funds or bonds issuance. For the record, corporate bonds issuance in year 2020, will support by BI 7-DRRR low interest rate trend. On the other hand, Indonesia still face with similar challenge that is the global commodity price volatility.