The budget for infrastructure, which accounts for roughly 20% of total government spending, flattened out. Sri Mulyani Indrawati’s reappointment as finance minister leaves the impression that the latest budget is here to stay. Granted that Jokowi may be chastened after soaring public debt became a presidential campaign issue, is this fiscal tightening a good idea? The fact is, Indonesia still desperately needs hard infrastructure to reduce inequality among its nearly 270 million people. She previously wrote on markets for Barron’s, following a career as an investment banker, and is a CFA charterholder.

Source: Washington Post October 23, 2019 03:11 UTC