Jakarta, IO – International Monetary Fund (IMF) managing director Kristalina Georgieva visited President Joko “Jokowi” Widodo at the State Palace, Monday (4/9).
On this occasion, Kristalina revealed that the Asean economy is currently unstable because it is experiencing a number of challenges. According to her, the post-Covid-19 situation is one of the triggers for this dynamic.
“Everyone in Asean is currently facing a global economy that is not performing well,” said Kristalina, per Katadata, Tuesday (5/9).
Kristalina said that cooperation is needed to face challenges in this global economic uncertainty. “Everything is very dynamic and it is very possible to move together for mutual benefit,” she said.
The Organization for Economic Co-operation and Development (OECD) previously projected that the average economic growth rate for Asean will be around 4.2 percent this year. This figure was lower than the previous rate of 4.6 percent.
Read: Govt Shuts Down Four Coal-Fired Power Plants To Combat Pollution In Jakarta
OECD Development Center director Ragnheidur Elin Arnadottir explained that most developing countries in Asia will face challenges in overcoming an economic slowdown due to weaker external demand, leading to decline in export due to the ongoing economic slowdown in developed countries. (un)