Tuesday, September 7, 2010

Indonesia and East Asia

Indonesia's bonds are selling well,based on the country's economic growth and market access.Its longer term bonds won't be affected even if interest rates are raised.Q2 growth was 6.2,up from 5.7.They're optimistic of reaching 6.3% in 2011.The main driver of August inflation was electricity rates.They're confident of about 5% inflation by maintaining food stocks and so on.
They think inflation is manageable,once food prices can be stabilized.Indonesia favors growth over inflation worries.They continue to see Asia as the growth market:China,Korea and other ASEAN neighbors and India-also Russia and the Middle East as new markets.The East Asia region,including Australia and New Zealand,is growing together.It's a complementary growth pattern based on agreements,Indonesia's trade minister,Mari Pangesta,pointed out.

No comments: