10/12/2018, 13.23
Send to a friend

Widodo warns: Trade war ushering new global financial crisis

The annual Meetings of the International Monetary Fund (IMF) and the World Bank Group (Wbg) are currently underway in Bali. The Indonesian president: "Developing countries suffer enormous market pressure". During the summit, Indonesian companies sign important agreements with foreign partners.

Jakarta (AsiaNews) - Indonesian President Joko "Jokowi" Widodo (photo) is warning of a possible financial crisis, which could overwhelm the world economy due to the growing commercial tensions between China and the United States.

Widodo was speaking at the plenary session of the Annual Meetings of the International Monetary Fund (IMF) and the World Bank Group (Wbg), underway in Nusa Dua (Bali). Citing a popular American television series, he said: "Winter is coming".

This morning the president congratulated the experts and international leaders who managed to overcome the economic situation in 2008, but also advised them to stay alert during this period of uncertainty. "The commercial war - declared Widodo - is intensifying and technological innovation has upset industrial companies, while developing countries suffer enormous market pressure".

Christine Lagarde, IMF's director of operations, declared herself "deeply impressed" by the Indonesian president's statements. Also Jim Yong Kim, president of the World Bank, appreciated the words of Widodo. However, if the President gathers praise on the international scene, he is the object of criticism of his political opponents. Responding to those who complain about the "excessive costs" incurred by the country to host the summit, the government rejects the accusations of having set up a "sumptuous party" to entertain the participants.

Bambang P. Soemantri Brodjonegoro, Minister for National Development Planning, reveals that during the summit the Indonesian companies have signed important agreements with foreign partners, willing to invest "large amounts of money" in the country. The Minister for State Enterprises, Rini Soemarno, has offered foreign investors various projects, worth a total of US $ 42.1 billion, involving at least 21 national companies as local partners.

Pt Bank Mandiri, the leading state-owned bank, confirms that about $ 13 billion in at least 21 state-owned enterprises. Rohan Hafas, general secretary of the institute said: "These are direct investments and 95% come from foreign companies".

Sri Mulyani Indrawati, Finance Minister, underlines that "the benefits that the country has drawn from the meetings in Bali are much more important than the expenses to host this international event". "The positive impact - he concludes - is not only financial, but also concerns the good image of the nation".

Send to a friend
Printable version
See also
Growing unemployment in the Philippines, also due to corruption and waste
Economic crisis: US, China and the coming monetary storm
IMF Meetings, an Indonesian success
100 million at risk of poverty: danger of famine and war in poor countries
Bali: IMF donations to rebuild Lombok and Sulawesi
09/10/2018 15:59