REPUBLIKA.CO.ID, JAKARTA -- Economists from University of Indonesia, Muslimin Anwar, said that the conflict between North Korea and South Korea have not give a direct impact on the Indonesian economy. If the two neighbors are really at war, then the Indonesian economy could be disrupted.

"The impact has not been calculated, but the conflict is potentially affected. We do not know big the impact if  the war is happened," he said, Wednesday (26/8).

In general, Muslimin assessed that the economic slowdown occurred in the country was because the consumption and investment that were slowed. Exports were also still weak due to the global economic growth, so that commodity prices were still declining.

To respond to these conditions, the government should  stabilize rupiah which has been in the level of Rp 14,000 per US dollar. The government should also speed up the fiscal stimulus to boost economic growth.

The government and related economic institutions also need to prepare strategies and policies to face a number of external and internal risks that could undermine economic growth in the future. Among of them, the uncertainty of the timing of the increase of Fed Funds Rate in the United States and the weakening of the yuan in China, as well as the Korean conflict.

Earlier, President Joko Widodo (Jokowi) said that the slowdown in the national economy caused by the conflict between North Korea and South Korea.

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