JAKARTA. The trade balance deficit in January 2020 is estimated to reach US$ 127 million by an economist from PT Bank Central Asia Tbk (BBCA), due to the coronavirus outbreak in China.
David Sumual, the economist, said that Indonesia's exports only grew by 1% in January 2020. Meanwhile, imports declined by 5%. The factor that supported export in this period was the sales of Crude Palm Oil (CPO) abroad.
Sumual explained that the decline in imports in January was caused by the problems in the distribution process in China. "Not only raw materials, but also finished goods," said Sumual as quoted by Kontan on Thursday (13/2) yesterday.
Indonesia's trade balance deficit is estimated to be even deeper, if the coronavirus outbreak cannot be controlled. Even if there is no change for the better, the trade balance is threatened with a deficit of more than US$ 127 million in February. Indonesia could also lose the momentum of economic growth in the first quarter of this year, Sumual said. (KR/AR)