Press Release

Economic Lecture by Prof. Dr. Nouriel Roubini

“Global Economic Challenges and Its Impact on Indonesia”

Jakarta, October 20th 2011: Economic crisis is happening right now, especially in United States (US) and Eurozone countries, and yet still not indicate significant recovery. Global economic condition that slowly turned better in 2010 in fact run into another contraction after the global economic slowdown with the worsening economic performance in US and Europe. This can be showed by the debt to GDP ratio in 2011 in several countries, like US, Greece, Spain, Italy and Japan that marked a fantastic record, subsequently each is 100%, 165.5%, 67.4%, 121.1% and 233.1%.

Until now the crisis has not brought any direct effect to Indonesian Economy, especially with the support of strong domestic market. The debt to GDP ratio for Indonesia is still in sound number which is 25.5%  and it is much lower than in 2009 and 2010 which are 28.6% and 27.4%. The economic growth is also positive, even predicted to rise. In 2009 and 2010, Indonesia achieved economic growth as 4.6% and 6.1%. Then for 2011, IMF has predicted Indonesia’s economic growth to boost as 6.2%. However, this positive outlook should not make Indonesia unguarded by the possible negative effect from the global economic crisis that is predicted to still going on in the near future.

Indonesia Investment Coordinating Board (BKPM) and Indonesian Economist Association (ISEI) believe that this continuous crisis at the end will hamper Indonesian economy, especially the investment flow to Indonesia. Both government and private sectors should work in hand to anticipate this negative possibility and prepare the right policy in minimizing the effects. To formulate that, credible information coming from credible speaker, like Prof. Dr. Nouriel Roubini, a professor at Stern School of Business, New York University and also chairman and founder of Roubini Global Economics (RGE), a reputable economic consultancy firm, who in 2006 had predicted the upcoming financial crisis in US that came true in 2008, is needed.

Regarding that, BKPM and ISEI will conduct an Economic Lecture by Prof. Dr. Nouriel Roubini on Monday, October 24th 2011 at 8.30 to 11.00 WIB, in Nusantara Auditorium BKPM with theme “Global Economic Challenges and Its Impact on Indonesia”. This lecture invites more than 200 guests, as Rector or Dean from both respected public and private universities; officials and members of ISEI; government including Coordinating Minister of Economic Affairs, Minister of Finance, Minister of Industry, Minister of Trade, Minister of Energy and Mineral Resources, State Minister for State Owned Enterprises, Head of the National Development Planning Agency, Governor of National Defense Institute, Chairman of Capital Market Supervision Board, and Chairman of BKPM; Director of State Owned Enterprises, like Garuda, Pertamina, PLN, PGN, Telkom, Antam and Krakatau Steel; officials and members of business association like Indonesia Chamber of Commerce and Industry (KADIN), Indonesia Entrepreneur Association (APINDO), and Indonesian Association of Young Entrepreneurs (HIPMI). The lecture will begin with opening remarks from Chairman of BKPM, and be moderated by Chairman of ISEI and also Deputy Governor of Bank Indonesia, Dr. Halim Alamsyah.

Indeed this lecture offers numerous beneficial informations about the current global economic condition, especially in US and Europe; the possible upcoming effects to other region like in Asia, especially in Indonesia; the changing in global economic power; and the right action that the Government and business sectors should take to anticipate and face the crisis. This information could enrich the policy-maker and business sector in figuring the right policy in dealing with this crisis. At last, both need to synergize in improving the national economic strength and competitiveness in order to create better welfare for the people.

Jakarta, October 20^th 2011

Indonesia Investment Coordinating Board

Indonesian Economist Association