Indonesia Faces Looming Economic Crisis as Inflation Rises and Fuel Shortages Spread Across Multiple Cities
Updated
Updated · The New York Times · Oct 19
Indonesia Faces Looming Economic Crisis as Inflation Rises and Fuel Shortages Spread Across Multiple Cities
1 articles · Updated · The New York Times · Oct 19
Summary
Indonesia is showing mounting signs of economic strain, with a shrinking middle class and graduates like 28-year-old Novri Putra settling for lower-paid work — he earns about $220 a month as a motorcycle taxi driver.
The pressure is being driven by fallout from the war in Iran and U.S. tariffs, which are pushing up inflation while fuel shortages spread across multiple Indonesian cities.
President Prabowo Subianto’s policies are worsening the stress, the report says, by weakening institutions and raising doubts about the government’s economic management.
The downturn marks a sharp reversal for an economy that was seen as stable in 2018, when Indonesia’s tech sector was booming and demand for software engineers was surging.