Meanwhile, along with tumbling commodity and fuel prices as well as solid rice production, the interest rate in 2009 is expected to decline, in the range of 5.0-7.0%. If current developments persist, however, the lower limit of this range is expected. Questions often arise on the prospect of our Balance of Payments this upcoming year.
Based on detailed calculations performed at the end of last year, we estimate that the Current Account will run a deficit of around 0.11% of GDP in 2009. Global fund flows are estimated to return to normal in 2009. However, there is one particular note for Indonesia.