By I Made Sentana
JAKARTA--Indonesia's ?economic? growth slowed down in the fourth quarter ?due to lower government spending and private consumption.
Southeast Asia's largest economy grew ?4.94% in the fourth quarter compared with the same period a year earlier, ?weakening from the 5.0?1?% expansion in the July-September period, the official Statistics Agency said Monday. Sequentially, the economy contracted by ?1.77% from the previous three months, though this was mainly attributed to seasonal factors.
For 2016, gross domestic product growth was 5.02%, picking up a six-year low of 4.79% in 2015, according to agency figures.
A poll of economists by The Wall Street Journal had forecast fourth-quarter growth at 5.1% from a year earlier, a 1.75% quarter-on-quarter contraction, and a 5.07% expansion for 2016.
Bank Indonesia, which cut interest rates by 1.5 percentage points last year and relaxed regulations on commercial banks' lending, expected the economy to grow 5.0% in 2016.
The International Monetary Fund gave a favorable assessment of Indonesia's economy Friday, saying its near-term outlook remained favorable. It said Indonesia had maintained economic stability thanks to a prudent mix of macroeconomic policies and the launch of structural reforms that helped the economy weather slow global growth, a commodity downturn, and several episodes of financial turbulence.
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(END) Dow Jones Newswires
February 06, 2017 00:01 ET (05:01 GMT)
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