President Optimistic About Growth In 2nd Semester Reaching 4.9 Pct

Jakarta (Antara Bali) - President Joko Widodo has said he was optimistic that the country's economy could grow by 4.9 percent or more than 4.7 percent in the first semester.

"We must not be pessimistic. Last year, our economy grew at five percent and in the first semester this year, it declined to 4.7 percent. I think in the second semester, the rate of growth will be 4.8 to 4.9 percent but I think it will go further up, meaning it has bottomed and it will go up," he said in a special interview with news agency LKBN Antara, radio station RRI and television station TVRI here on Monday.

President Joko Widodo said the government paid full attention to the needs of the people to maintain the public's buying power, including that of the middle class and the economically weaker group.

"In view of that, government spending must be boosted. Our target is 92-94 percent. I think it is achievable. God willing, there will be no problems. Some regions are worried but after I checked up the situation, I think it can be boosted up to 90 percent, if there is a lot of money in circulation and the middle class buys goods and products. In this regard, I suggest that they would buy 100 percent domestic products to boost the public's buying power and give a good push to the community," he said.

To the people with weaker economic power, he said the government has prepared a social safety net and initiated rural funds to move the rural economy forward.

"The rural funds this year amount to a huge Rp21 trillion. I have ordered using these for labor intensive programs, meaning these are available in villages. So in time of drought, these can be made to work for their villages, using transfers from the government. This year, we will give Rp21 trillion and next year Rp47 trillion. This is not a small amount. This will strengthen the buying power of the people," the President said. (WDY)