Tropical savannas are complex landscapes composed of mainly grasses and a matrix of proportions of discontinuous tree cover. They play an essential role in providing multiple ecosystem services including biodiversity, carbon storage, and socio-economic and cultural values. However, knowledge of...

The Indonesian authorities are to be commended for their continued strong policy performance under their arrangement with the IMF. The economy is sustaining steady growth despite a number of external and domestic shocks; inflation has continued to decline; and there has been an additional buildup...

This Selected Issues paper takes stock of Indonesia’s performance against the original macroeconomic objectives under the IMF’s extended arrangement. The paper compares the performance of the Indonesian economy in the post-crisis period with that of the other major “crisis” countries in...

The main priority was to seek assurances that policies were on track to facilitate a smooth transition to the postprogram environment. A stable exchange rate and continued declines in inflation have allowed reductions in interest rates in support of the economic recovery. With inflation risks...

Macroeconomic performance has evolved in line with program projections, and financial market sentiment remains strong. Although the political situation remains stable, electoral politics are expected to intensify in advance of next year's general elections. The authorities indicated that they...

The discussions focused on advancing the unfinished reform agenda, and strengthening the investment climate. The macroeconomic objectives for 2003 remain broadly unchanged from those presented at the seventh review. Discussions on the 2004 financing outlook focused on the implications of the...

Indonesia entered the current global crisis with strong initial conditions. This 2009 Article IV Consultation highlights that notwithstanding the initial impact of the global crisis, the economy has rebounded in 2009. Macroeconomic policy responses have kept appropriate pace with the evolving...

Indonesia’s external borrowing spreads increased by more than 1000 bps from mid-2007 to late 2008, before subsiding in recent months. The large increase in spreads prompted questions about whether the spreads adequately reflect the improvements in fundamentals made over the past few years....

Indonesia’s Fourth Post-Program Monitoring discussions highlight that short-term macroeconomic indicators and near-term prospects have deteriorated. Financial sector vulnerabilities have increased in the face of rising interest rates and a slowing economy, but the overall banking sector...