31 Jul 2023 | News & Feature

A preliminary update on corporate Indonesia

  • The Indonesian corporate sector appears to be hit with declining revenue growth in Q2-2023, a testament to the challenging competitive and demand conditions faced by the business sector throughout the quarter.
  • The domestic business sector may face a more favourable competitive condition in the upcoming periods. However, fiscal interventions may still be necessary to stimulate the domestic aggregate demand condition.
  • A robust short-to-medium demand outlook continues to encourage businesses to expand. However the strong CAPEX amidst the weakening revenue growth may lead to an increase in leverage.