IMF and WB meetings are believed to boost Bali’s economy by 6.4%

DENPASAR -The Bali provincial government is optimistic that the regional economy in 2018 can grow in the range of 6% -6.4% after experiencing a slowdown in 2017 with only 5.59% growth.

Head of Economic Bureau Setda Bali Nengah Laba said the preparation and simultaneous implementation of the IMF and World Bank Annual Meeting became the basis of such optimism. Before the event will be attended by 15,000 delegates from 189 countries, Bali built a number of supporting infrastructure.

“This is certainly if we maintain the security of Bali and participate and engage in this activity,” he explained, Sunday (1/4/2018).

According to him, the existence of infrastructure facilities will also support Bali’s step to increase the economy. He assessed that infrastructure such as Ngurah Rai Airport’s apron capacity expansion to the underpass of Simpang Ngurah Rai would have a very positive impact.

Conditions that will certainly facilitate the flow of passenger movement and can encourage the increase of tourists to Bali. He said in 2017 the economy of Bali experienced a slowdown due to eruption of Mount Agung. According to the Balinese economy that is supported by the tourism sector is very affected by the eruption of Mount Agung.

“The eruption of Mount Agung has lowered tourist arrivals and has an effect on the overall economy of Bali,” he said.

Profit says growth in 2017 is lower than in 2016 at 6.32%. This slowdown occurs because household consumption is declining due to low purchasing power, one of which is the deterioration of building materials also affect the economy.

“In addition, in 2017 there is also an increase of inflation from 2.69 to 3.32%. This happens because of the increase in Basic Electricity Tariff, “he said.

He emphasized Bali’s great work at the moment is how to encourage alternative sector economy to grow. He states it is time this area is not only based on the tourism economy alone.