DIGIVESTASI - Government Targets 8% Economic Growth with Ambitious Trade and Export Strategy, The Indonesian government, through the Ministry of Trade (Kemendag), has outlined an ambitious strategy to support the *Indonesia Emas* vision, focusing on trade and export sectors. This initiative aligns with President Prabowo Subianto's target of achieving 8% economic growth.  

Fajarini Puntodewi, Head of the Trade Policy Agency (BK Perdag) at Kemendag, stated that the global economic growth projection for 2025 is estimated at 3.2%, slightly lower than the previous forecast of 3.3%, according to the latest IMF report. However, global trade is expected to grow faster, reaching 3.4% compared to 3.1% in 2024.  

“For Indonesia, economic growth in 2025 is projected to reach 5.1%, up from 5% in 2024, according to the World Bank and IMF,” Fajarini remarked during the 17th Gambir Trade Talk in Jakarta on Tuesday (November 19, 2024).  

Ambitious Export Growth Targets

To achieve the 8% economic growth target, the Ministry of Trade has developed a roadmap to boost exports. In 2025, export growth is targeted to range between 7.1% and 9.6%, with expectations for continued growth through 2029.  

“This is a significant target. As of October 2024, our exports have already increased by 1.3%. Cumulatively, exports from January to October 2024 grew by 1.x%, which is better than the previous month's growth of only 0.3%,” she explained.  

Despite challenges, Fajarini expressed optimism that the trade balance surplus would be maintained through the end of 2024. “We are confident that the trade balance surplus will be achieved and exports will continue to grow until year-end,” she added.  

Expanding Export Markets through FTAs

One of the Ministry of Trade's strategies to expand export markets is through free trade agreement (FTA) negotiations. “We are currently focused on negotiations with the European Union. Hopefully, this agreement can be finalized by the first quarter of next year or even by the end of this year. In addition, negotiations are also ongoing with Peru and Canada,” Fajarini revealed.  

She also noted that Indonesia currently has 11 bilateral free trade agreements. “Nearly 87% of Indonesia's total exports are to FTA partner countries. Export trends to these countries are rising, with the exception of Palestine,” she said.  

Diversifying Markets for Global Reach

Fajarini emphasized that market diversification is a critical strategy for expanding the global reach of Indonesian products. “By opening market access to new, potential countries, we can significantly broaden the market share of Indonesian products,” she concluded.  

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