Indonesia gets go-ahead for 2013 budget

The budget signals possible adjustments in fuel and electricity subsidies.

According to OCBC, the parliament has approved the 2013 budget, affirming the 6.8% yoy GDP growth, 4.9% yoy inflation and 1.65% budget deficit targets for next year. The budget also indicates that spending for fuel and electricity subsidies can be adjusted if there is a difference between actual and assumed prices.

"Meanwhile, OECD said that a key to boost Indonesia’s growth productivity going forward is to encourage increased efficiency in small businesses in the country, given that this is a source for employment growth in the longer-term," OCBC added.

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