Global Economic Policy Gives Potential Signal of Recession
- VoxPop/Muhamad Solihin
Therefore, Ronny emphasized that the symptoms of the current global recession are only indications. But looking at the Fed's consistency in fighting inflation, where they still want to raise interest rates to reduce the volume of the money supply. So, inevitably the potential for recession is not decreasing but increasing.
Ronny recognized that the United States' situation is very similar to the conditions in the early 1980s during the stagflation era. Where America chose to tame inflation and sacrifice growth, resulting in a two-year recession after Paul Volcker raised interest rates very high.
"Because of this policy, BI finally took action. The Fed's interest rate hike encouraged capital outflows about two months ago, which made the rupiah almost break IDR16,000 per US dollar.” He remarked.
The increase in BI interest rates, which is quite high, can indeed reduce inflation but has the opportunity to choke liquidity and suppress investment due to high lending rates. If indications of a recession are getting clearer, because the potential risks are not only from the monetary side but also the real economy," he added.
Sektor Keuangan RI Terjaga, Bos OJK Tetap Waspadai Beragam Potensi Imbas Ketidakpastian Global
Kiki menegaskan, OJK akan tetap mewaspadai berbagai potensi di balik kembali meningkatnya ketegangan geopolitik Timur Tengah, imbas gagalnya gencatan senjata Iran-AS.
