14-3-2024 (JAKARTA) According to a Reuters poll conducted between March 7-14, Indonesia’s trade surplus for February is expected to have expanded marginally compared to the previous month. The survey, comprising 20 economists, projected a trade surplus of $2.32 billion, surpassing January’s surplus of $2.01 billion.
As Southeast Asia’s largest economy, Indonesia has maintained a streak of monthly trade surpluses for over three years. This trend reached its pinnacle in April 2022, buoyed by a significant commodity boom. However, in recent times, the surplus has been gradually narrowing due to weaker exports. The prices of Indonesia’s key commodities, such as coal and palm oil, have faced declines amidst reduced global demand.
Economists participating in the survey anticipate a 6.5% year-on-year contraction in exports for February, a slight improvement compared to the 8.06% drop witnessed in the previous month. Concurrently, imports are expected to have surged by 9.3% on an annual basis, in contrast to the meager 0.36% growth recorded in January.
It is common for imports to experience an upswing leading up to Ramadan, particularly in a country like Indonesia, which has the world’s largest Muslim population. As Ramadan commenced in March this year, imports of goods were expected to have increased in preparation for the fasting month.
