Indonesia aims to use G-20 presidency to steer post-Covid-19 recovery

Banking & Finance

JAKARTA (REUTERS) – Indonesia hopes to use its upcoming maiden presidency of the G-20 group of rich and developing nations to promote balanced post-pandemic global recovery as governments recalibrate from a period of fiscal stimulus and low interest rates.

The world’s fourth most populous nation is to take the G-20 presidency from Italy in December for a year and hold part of a summit, themed “Recover Together, Recover Stronger”, on Bali island.

“Indonesia has a strategic opportunity to determine the direction of the global economic recovery in a post-Covid-19 pandemic world,” Coordinating Minister of Economic Affairs Airlangga Hartarto told reporters at a virtual conference.

Discussions will focus on when countries will end monetary and fiscal policies rolled out during the Covid-19 crisis, added Finance Minister Sri Mulyani Indrawati.

“What would be discussed a lot is when the G-20 nations who have taken extraordinary measures in fiscal and monetary policy will start conducting their exit policy,” she said.

“This is not an easy matter because each country has their own different condition.”

Indonesia will also push for the development of central bank digital currencies to support a digital transaction boom, Bank Indonesia Governor Perry Warjiyo said.