Central Bank Predicts Surplus To Continue In Foreign Trade

Jakarta (Antara Bali) - Bank Indonesia predicted that the country would still chalk up surplus in its international trade in the next several months.

The surplus will result in the country's current account deficit to narrow  from the present level of 2.1 percent of the country's gross domestic product (GDP), Executive Director of Communication Department of the central bank Tirta Segara said here on Monday.

A surplus of US$670 million  was recorded in the country's trade balance  in April, up from US$510 million in the previous month.

The surplus was attributable to growing exports of several commodities including edible oil and fat,footwear, motor vehicles  and machinery  and shrinking imports.

Exports of commodities other than oil and gas also declined in April from March but a sharpest fall was recorded in imports.

"Imports of non-oil/gas commodities dropped 3.4 percent month to month  and exports of the commodities fell only 0.1 percent," Tirta said.

As a result trade in non-oil/gas commodities favored the country with a surplus of US$1.14 billion more than offsetting a deficit of US$500 million in oil and gas trade in April, he said.

Deficit in the oil and gas trade  was attributable to 28.4 percent fall in exports in April month to month . Oil and gas imports also declined but the decline was  12.3 percent or lower than exports.

"In the coming  months the country's trade balance is expected to continue to have a surplus ," Tirta said. (WDY)