
(TIS) - Indonesia's economic growth continued to slow in the second quarter of the year, easing to 5.81% from the same period a year earlier compared with 6.03% on-year growth in the January-March period, the first time economic expansion has fallen below 6% in nearly three years.
Quarter-on-quarter, gross domestic product grew 2.61% between January and March.
Friday’s data further underscore the likelihood of the missing this year’s target of a 6.3% economic expansion.
The country’s central bank recently shifted its focus from supporting growth to managing inflation amid persistent current account deficits.
“BI is focusing on managing inflation, exchange rate stability, and bringing the current account [deficit] into a manageable level,” central bank’s deputy governor Perry Warjiyo said after the data announcement.
“After we achieve those, we can then shift our focus to support growth,” he added.
The central bank, independent of the government, forecast this year’s economic growth to come in between 5.8% and 6.2%, slowing from 6.23% in 2012.
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