Minister of Finance Sri Mulyani Indrawati again speaking of the threat to the world economy. Rising food prices are proof of this threat.
This was communicated through his official Instagram account with a blue check. Sri Mulyani uploaded several photos of his activities while he was in Washington DC, United States (USA) to attend the G20 activity series meeting.
The activity he shared was when he ate with the Finance Department team on the sidelines of a hectic event in Washington DC.
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“I invited the team from the Ministry of Finance to eat at Chipotle, a casual Mexican-style food with tacos and burritos, popular with most people in the United States whose taste suits our Malay language,” he wrote. in the @smindrawati account, quoted on Tuesday (10/18/2022).
While uploading a photo of him eating tacos, Sri Mulyani effectively exposed the current threat to the world economy, namely inflation. This is evident from the price of the tacos he eats has gone up.
“Inflation and rising food and energy prices around the world have seen its impact. A menu of tacos or burritos that used to cost US $ 7.5-8 has now increased to $ 12-13. USA, “he explained.
He explained that the very high rise in the price of commodities caused the US Central Bank or the Federal Reserve (the Fed) to raise interest rates drastically and quickly. This has resulted in tightening of US dollar liquidity to control the demand side. The demise of the US dollar is getting stronger and affects the entire world economy.
According to Sri Muliani The surge in prices (inflation) in the United States, followed by the increase in interest rates by the Fed, as well as the strengthening of the US dollar caused an economic recession or a global economic recession.
“This condition will also threaten that many poor countries and developing countries with a weak state budget position will experience a financial crisis,” he said.
Sri Muliani stressed that the complexities of world economic development with the threat of a food, energy and financial crisis were discussed at the G20 forum and at the annual meeting of the IMF and the World Bank.
“We need to be aware of the deteriorating world conditions, even as we remain optimistic about the momentum of Indonesia’s economic recovery. Let’s take care of our economy together,” he concluded.
(che / ang)