Balance Sheet Vulnerability and Macroeconomic Managementin Indonesia

Gadjah Mada International Journal of Business

Miranda Swaray Goeltom¹ 

[1] Vice Governor and the Senior Deputy Governor of Bank Indonesia;

关键词: adjustment and reform program;    balance sheet vulnerability;    economic crises (1997);    Indonesia flow of funds;    macroeconomic management;   

DOI  :  10.22146/gamaijb.5575

来源: DOAJ

【 摘 要 】

The economic and financial crises hitting Indonesia in 1997 have triggered a significant economic downturn. A critical issue addressed is how common shocks during crisis period have brought about macroeconomic outcome. The paper briefly discusses the problems, response and lessons learnt in the country’s effort to restore the economy to its long-term potential growth path. By examining balance sheet conditions across sectors in the economy, it is shown that even though some progress has been achieved, overall balance sheet conditions are still vulnerable to further shocks that may hit the economy, so that efforts to restore economic growth and stability face substantial challenges. Considering these constraints, Indonesian macroeconomic policy makers focus their efforts on strengthening financial markets, among others, by developing bond markets and implementing banking architecture. However, various constraints will remain unless the government speeds up the necessary reforms, mostly institutional in nature.

【 授权许可】

Unknown