canada goose Cost of oranges betrays lack of zest in Indonesia’s economy canada goose

JAKARTA (Reuters) Indonesia government is confident that a slide in economic growth, exacerbated by recent capital flight from emerging markets, is a hiccup that will soon pass. The price of canada goose store oranges in a Jakarta market gives a clue why that faith looks misplaced.

canada goose clearance Workers sort out oranges at the Kramat Jati vegetable and fruit market in Jakarta September 6, 2013. canada goose factory sale REUTERS/Beawiharta canada goose clearance

buy canada goose jacket Domestic demand should certainly get canada goose a healthy boost next year from spending during parliamentary and presidential elections. But that masks problems with the basic drivers of growth that some doubt will https://www.goosefrshop.com get more than cursory attention until a new government has to confront them in late 2014. buy canada goose jacket

To appreciate the size of the problem and why Indonesia economy struggled, even in the last few years of stellar growth, to match its potential consider the humble citrus fruit.

A Canada Goose Coats On Sale farmer in Indonesian Borneo Canada Goose sale can grow a kilo of oranges for about the same price, or cheaper, than his counterpart in canada goose uk outlet China. By the time they are bought by a shopper in the capital, though, the price of the Chinese oranges is Canada Goose Parka up to 50 canada goose coats percent cheaper even though they traveled uk canada goose outlet nearly three times further.

canada goose coats An inefficient distribution system and failing infrastructure have long been on the list of fundamental issues holding back Southeast Asia biggest economy from finally propelling itself to the next economic level. canada goose coats

The tide going out on the flood of money that had poured in from booming global commodity prices and investors hunting higher returns simply lays barer the lack of investment in economic building blocks like infrastructure and education. Federal Reserve will soon start to pare back its monetary stimulus, pushing up borrowing costs worldwide.

buy canada goose jacket cheap The government, nonetheless, expects growth to rebound next year, and predicts the current account deficit, a particular source of investor concern, will narrow. buy canada goose jacket cheap

cheap Canada Goose Officials concede the government missed a chance when the economy was riding high at 6 plus percent growth and foreign investment both direct and portfolio was at record canada goose soldes femme levels. cheap Canada Goose

Canada Goose Jackets lacks focus. It easily distracted, said the head of the Finance canada goose uk black friday Ministry think cheap Canada Goose tank, Bambang Brodjonegoro. Canada Goose Jackets

Canada Goose Parka A street vendor looks for customer during a traffic jam in Jakarta September 2, 2013. REUTERS/Beawiharta Canada Goose Parka

canada goose deals He said the shock of seeing the rupiah plunge nearly 14 percent this year was a wake up call and his ministry wanted more fiscal measures following an emergency package late last month to try to stem further attacks on the currency. canada goose deals

we are afraid of is that people will forget, he said of the reform efforts. momentum has to be sustained.

By International Monetary Fund estimates, Indonesia economy will grow 5.25 percent this year, its lowest since 2009.

Even then, the canada goose clearance sale world fourth most populous nation will be Canada Goose Outlet heavily dependent on domestic demand at a time when interest rates have canada goose uk shop risen sharply to defend the rupiah and uk canada goose inflation is at 4 1/2 year highs the result largely of a jump in fuel prices and mismanagement of the supply of some staple foods.

Consumer spending is likely to be next shoe to drop according to Credit Suisse Asia economist Robert Prior Wandesforde, who forecasts GDP growth this year of 5.7 percent, followed by 5.3 percent next year.

a few years of unsustainably strong growth, the country is Canada Goose Online heading in to at least a couple of years of sub trend activity, he wrote in a note.

canada goose clearance sale In 2012 growth was 6.23 percent. The government forecast for next year is 6.4 percent. canada goose clearance sale

canada goose store UNSUSTAINABLE DEFICIT As he comes to the final year of his second five year term, President Susilo Bambang Yudhoyono has faced mounting criticism for his government muddled approach. canada goose store

canadian goose jacket coordination between ministers is now out of sync, cheap canada goose uk said another senior economic official, who asked Canada Goose Jackets not to be identified because of the sensitivity of Canada Goose online the issue. canadian goose jacket

Canada Goose online The current account canada goose clearance deficit, running at an unsustainable level of more than 4 percent of GDP, is heavily skewed by domestic structural issues including fuel price subsidies and a thirst for imported capital goods that suggest it will be hard to tame. Canada Goose online

A worker paints a wall surrounding a new apartment block in Jakarta August 28, 2013. REUTERS/Beawiharta

canada goose black friday sale Many canada goose black friday sale worry that political leaders are already buy canada goose jacket cheap so wrapped up with next year elections that there is no chance of substantial policy initiatives, such as canadian goose jacket another cut in budget busting fuel subsidies, this canada goose coats on sale side of the polls. canada goose black friday sale

Canada Goose Outlet Business leaders welcomed the latest fiscal measures, including tax breaks, but were sceptical they will do much. Canada Goose Outlet

canada goose coats on sale government always delays. It makes us a buy canada goose jacket bit frustrated., said the head of Employers Association of Indonesia (Apindo), Sofjan Wanandi. canada goose coats on sale

Canada Goose sale is an urgency now, he said of the ballooning current account deficit, which triggered the past month exodus from the rupiah and shares Canada Goose sale.