Bank Indonesia (BI) Governor Burhanuddin Abdullah said Monday the central bank is optimistic the economy will grow by more than 6 percent this year due to a robust lending growth.

"Apart from that, with the state budget realization rate expected to improve in the thirdand fourth quarters, economic growth is likely to exceed the figure," Burhanuddin said following a meeting of the bank's board of governors on Monday.

The meeting agreed that the economy would perform better in the second semester, he said.

The economy in the two previous quarters was on the right track and it would continue to expand during the rest of the year, he said.

He believed full-year inflation rates would hit the central bank's inflation target of 6, plus orminus 1, percent for 2007 and of 5, plus or minus1, percent for 2008.

_____
jakarta post

Labels: Bank, Indonesia, Internet News, Market, Money