BRIDS Presents 2024 Macroeconomic Outlook at KAI's Annual Meeting

BRI Danareksa Sekuritas ("BRIDS"), represented by Chief Economist & Head of Fixed Income, Mr. Helmy Kristanto, was trusted by PT Kereta Api Indonesia (Persero) to provide a presentation regarding Indonesia's macroeconomic outlook in 2024. In his presentation, Mr. Helmy said four important things need to be considered regarding Indonesia's macro economy this year.

The first is accelerated growth in the first quarter to 5.16%, driven by an increase in household spending of 5.02%. Then, it is also predicted that the reduction in interest rates will not occur until the second half, both for Bank Indonesia (BI) and the Fed Fund Rate (FFR).

In addition, the market focus is now shifting to important initiatives promoted by the incoming Government, such as the free lunch program which will be implemented in stages starting in 2025, and there is room in the fiscal space to accommodate increased spending in the early years of the term. new government. Plus a focus on achieving a tax ratio of 23%, which is a significant economic policy.

Finally, regarding risk factors, BRIDS assesses that the weakening of the rupiah is only temporary and is still under BI's control. Meanwhile, risks from geopolitical tensions and weather risks are still moderate but will significantly increase commodity prices if tensions continue to increase.