Trade Surplus Better than Expected

Bank Indonesia (BI) deputy governor Perry Warjiyo stated that trade surplus in July was better than the bank's expectation.

"This is better than what BI and others had expected," he said after meeting with the budget committee of the House of Representatives here on Monday.

He noted that BI had indeed expected a surplus in the trade balance but not as high as this.

"We had thought the surplus will be small at between US$10-20," he said.

Perry expressed belief that Indonesia's trade balance will be better at the end of this year in line with the resumption of mineral exports.

"The figures of trade balance in July have not included concentrate exports, which resumed in August, following the agreement between the government and several large companies," he said.

According to the deputy governor, besides surplus in the non-oil and gas, which is predicted to continue, improvement is also expected in manufacturing exports.

"We are optimistic that the trade balance will remain good, but pressure will keep coming from oil and gas deficit," he added.

The National Bureau of Statistics has announced that Indonesia had enjoyed a surplus of US$0.13 billion in its trade in July because of a surplus in the non-oil/gas sector of US$1.73 billion despite a deficit of US$1.6 billion in the oil and gas sector.