Indonesia posts larger than expected trade deficit as declining export prices affects trade
Indonesia’s trade gap widened sharply in January as falling metal prices weighed on exports. The data was posted on Monday from the country’s statistics bureau.
Southeast Asia’s largest economy showed a trade deficit of $870 million in January compared to the expectations of a $61.70 million deficit from a Reuters poll in December.
Exports prices fell by 3.71% to $13.41 billion in January – a drop in value in contrast to a forecast of 1.19%.
Volatility in the prices of metals such as copper and tin last month affected Indonesian trade, according to head of the statistics bureau, Suhariyanto. He added that the halting of nickel ore exports was also a factor.
January imports amounted to $14.28 billion which was down by 4.78% from a year earlier. Meanwhile, the forecast had expected a decline of 5.66% no-year.