Country Economic Forecasts - Indonesia
We have downgraded our 2022 GDP growth forecast for Indonesia by 0.3ppts to 5.7% despite a strong growth rebound in Q4 2021. This reflects the retightening of restrictions to contain the current Omicron wave, a steady rise in inflation, and the slowing momentum in export volumes. We expect growth momentum will pick up again in H2 2022 after slowing in H1 as higher vaccination rates boost private consumption and support a more durable recovery.
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