Indonesia finance minister keeps 2020 GDP outlook despite sharp Q2 contraction

Indonesia posted its first contraction since 1999 in the April-June period

  
Indonesia's Finance Minister Sri Mulyani Indrawati attends the World Economic Forum on ASEAN at the Convention Center in Hanoi, Vietnam September 12, 2018. Image used for illustrative purpose.

Indonesia's Finance Minister Sri Mulyani Indrawati attends the World Economic Forum on ASEAN at the Convention Center in Hanoi, Vietnam September 12, 2018. Image used for illustrative purpose.

REUTERS/Kham

JAKARTA - Indonesia's finance minister on Wednesday maintained the outlook of zero to 1% economic growth this year despite a weaker than expected second quarter.

Sri Mulyani Indrawati told journalists she would be more aggressive in supporting the economy for the rest of the year.

Indonesia posted its first contraction since 1999 in the April-June period, with the economy shrinking by a worse-than-expected 5.32%, official data showed on Wednesday. 

Third quarter economic growth was seen at up to 0.5%, and fourth quarter growth seen at near 3%, Indrawati said.

(Reporting by Fransiska Nangoy, Maikel Jefriando, Tabita Diela; Editing by Andrew Heavens) ((Fransiska.Nangoy@thomsonreuters.com; +62 21 2992 7610; Reuters Messaging: fransiska.nangoy.thomsonreuters.com@reuters.net))

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