The impact of Greece to the Indonesian economy

Illustration/SHUTTERSTOCK

Standard Chartered Bank Chief Economist Eric Sugandi said, a phenomenon that threatened Greece out of Europe indirect impact on economic growth in Indonesia.

"The impact to us was indirect but still big yes," he said in a Fast Breaking with Standard Chartered Bank and Discussion Panel "Challenges and Opportunities in Developing Medium Sector in Indonesia", Hotel Mulia, Jakarta, Monday (29/06/2015) ,

He said Greece's problems do not have a direct impact on the Indonesian economy because Greece is not the main investor in Indonesia.

"For Greece it is not a major investor in Indonesia right, nor is our main trading partner, and we are also not investors in Greece, but yes indirect (indirectly) through currency (finance)," he said.

According to him, the nation's economy will be affected indirectly but from other countries as a business partner that relate directly to the Greek.

He said Indonesia's economic growth is also influenced by other external factors such as the phenomenon of "super dollar" which resulted in further dollar strengthened against other currencies.

"It is the trend right now there is expectation the Fed will raise interest rates, funds, rotation started back to America yes. Then yesterday, the Bank of China in the China cut interest rates, then the Euro is the case of Greece," he said.

Eric said, the phenomenon of super US dollar also impacted via the proven financial and weakening rupiah continues to occur while the US dollar strengthened.

"So this will be a strong dollar against the euro and the currencies of other emerging markets, including Indonesia. Impact her to that one so via the financial, psychological factors also continue to exist, we as regional stock exchanges was no red so, he took to be affected yes, "he said.

Greece must pay off debts worth 1.6 billion euros to the International Monetary Fund (IMF) on Tuesday or declared bankrupt. A number of other European countries are willing to provide a bailout for Athens with a number of requirements changes to the budget.

(KOMPAS.com)