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Economic Reports

03 September 2024

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Samuel Daily Economic Report 3 September 2024

Overview

In August 2024, Indonesia's economy faced significant challenges, particularly in the manufacturing sector, where the PMI fell for the second consecutive month, indicating ongoing contraction. Inflation remained low at 2.12%, signaling weaker demand, while investor confidence held strong despite political unrest. Global investors were drawn to Indonesia amid speculation of U.S. Federal Reserve monetary easing, underscoring the country's robust economic fundamentals. However, concerns about a shrinking middle class and the impact on domestic consumption persist, highlighting the need for policy measures to stabilize the economy. Meanwhile, key developments in business, such as the issuance of 40-year bonds and digital advancements by companies like Pertamina, reflect ongoing efforts to attract investment and modernize operations.

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