The Impact of Global Uncertainty on Indonesia's Economic Stability: An Empirical Study for the Period 2020-2025

Authors

  • Heri Ardian Universitas Muhammadiyah Jambi Author
  • Adi Putra Universitas Muhammadiyah Jambi Author
  • Nurdin Nurdin Universitas Muhammadiyah Jambi Author
  • Sunandar Sunandar Universitas Muhammadiyah Jambi Author

DOI:

https://doi.org/10.62872/6srtfb48

Keywords:

global uncertainty, economic stability, Indonesia, economic growth

Abstract

This study aims to analyze the impact of global uncertainty on Indonesia's economic stability in the period 2020-2025. Global uncertainty triggered by various external factors such as the global health crisis (covid-19 pandemic), commodity price fluctuations, changes in international trade policies, and geopolitical tensions, can have a significant impact on the economies of developing countries such as Indonesia. This study examines how global uncertainty affects Indonesia's key economic indicators, including economic growth, inflation, the rupiah exchange rate, and foreign investment flows. The method used in this study is econometric analysis with multiple linear regression model, which involves secondary data from various official sources such as Bank Indonesia, Central Bureau of Statistics, and international institutions. The results of this study are expected to provide a clearer picture of the extent to which global uncertainty affects Indonesia's economic stability and what economic policies need to be taken by the government to maintain economic stability in the face of external threats. In addition, the study will also identify sectors of the economy that are more vulnerable to the impact of global uncertainty and provide policy recommendations that can strengthen Indonesia's economic resilience.

Downloads

Download data is not yet available.

References

Basri, B., Aisah, L., & Abdullah, A. (2024). Realizing Sustainable Development In Indonesia Through Economic Growth Priorities: Empirical Evidence Vector Error Correction Model (VECM). EKONOMIKA SYARIAH: Journal of Economic Studies, 8(1), 79-94.

Dwijaya, I. K. B. The Era of High Interest Rates: Sectoral Stock Price Index Volatility in Indonesia. International Research Journal of Economics and Management Studies IRJEMS, 3(9).

Fuzi Noviyanti, Iman Sugema, Tony Irawan (2023). Analysis of the Effect of Global Uncertainty and Financial Development on Foreign Direct Investment in Indonesia. Jurnal Ekonomi Dan Kebijakan Pembangunan, 31(4), 123-139. https://doi.org/10.29244/jekp.12.2.2023.122-145

H. Aimon, Hari Setia Putra, Farid Husein (2020). Macroeconomic Shocks to Non-Oil and Gas Exports to ASEAN Countries Amid Global Uncertainty. Journal of Economic Development, 15(2), 88-104. https://doi.org/10.2991/aebmr.k.201126.026

Hashmi, S. M., Gilal, M. A., & Wong, W. K. (2021). Sustainability of global economic policy and stock market returns in Indonesia. Sustainability, 13(10), 5422.

Ismail, I. P., Gunawan, L. A., Malik, F. M., & Maarif, M. A. (2025). Analysis of the Impact of Economic Digitalization on Economic Growth on the Island of Sumatra. Journal of Islamic Economics Perspectives, 7(1), 33-45.

Jasiyah, R., Raliby, O., Hierdawati, T., Pamungkas, B. D., & Ningtyas, S. (2024). Indonesia’s economic growth projections 2023-2025: empirical data analysis. Jurnal Ekonomi, 13(01), 345-354.

Maran, R. (2023). Impact of macroprudential policy on economic growth in Indonesia: A growth-at-risk approach. Eurasian Economic Review, 13(3), 575-613.

Masrom, S. N. F. B., Aziz, N. B., & Ismail, M. M. B. (2023). Beyond economic growth: How Indonesia’s 2045 vision prioritized reducing income inequality. International Journal of Emerging Trends in Social Sciences, 14(2), 45-57.

Pradita, S., & Soebagiyo, D. (2024). Analysis of the effect of foreign investment, domestic investment and inflation on economic growth in Indonesia 2000-2022. Jurnal Ekonomi, 13(01), 1336-1343.

Rahayu, M. D., Handayani, E., Innayah, M. N., & Utami, R. F. (2025). The Effect of Leverage, Operating Capacity, Liquidity, Sales Growth, and Firm Size on Financial Distress of Non-Cyclicals Companies Listed on the Indonesia Stock Exchange for the Period of 2020-2023. International Journal of Integrated Science and Technology, 3(1), 1135-1154.

Raihan, A., Voumik, L. C., Rahman, M. H., & Esquivias, M. A. (2023). RETRACTED ARTICLE: Unraveling the interplay between globalization, financial development, economic growth, greenhouse gases, human capital, and renewable energy uptake in Indonesia: multiple econometric approaches. Environmental Science and Pollution Research, 30(56), 119117-119133.

Regina Niken Wilantari, Faradilla Oktaviana, E. Santoso, Duwi Yunitasari (2020). Ketidakpastian Kebijakan Ekonomi China Dan Pertumbuhan Ekonomi Indonesia. Journal of International Economics, 38(3), 112-130. https://doi.org/10.19184/bisma.v14i2.17911

Ringga, E. S., Hafizah, I., Idroes, G. M., Amalina, F., Kadri, M., Idroes, G. M., ... & Hardi, I. (2025). Long-term impact of dirty and clean energy on Indonesia’s economic growth: Before and during the COVID-19 pandemic. Grimsa Journal of Business and Economics Studies, 2(1), 66-76.

Sekar Utami Setiastuti (2017). Time-Varying Macroeconomic Impacts Of Global Economic Policy Uncertainty To A Small Open Economy: Evidence From Indonesia. Economic and Business Journal, 45(1), 50-65. https://doi.org/10.21098/BEMP.V20I2.809

Situmorang, B., Tjaraka, H., & Novita, S. (2025). The impact of public policy on budget realization during the COVID-19 pandemic in Indonesia. Cogent Economics & Finance, 13(1), 2467442.

Soeparno, W. S. I., Hasyim, S., Rusydiana, A. S., Nasution, I. G. S., & Anggia, Y. (2025). How Does Ores and Metal Exports, Fuel Exports and Inflation Affect Economic Growth in Indonesia? An Autoregressive Distributed Lag Approach. International Journal of Economics and Financial Issues, 15(2), 19-27.

Sugihartini, P., & Hendrian, S. (2025). The Impact of Fiscal Policy on Regional Economic Resilience Post-Pandemic in Indonesia. Journal of Regional Economic Studies, 1(1), 36-43.

Syarifuddin, F., & Setiawan, M. (2022). The relationship between COVID-19 pandemic, foreign direct investment, and gross domestic product in Indonesia. Sustainability, 14(5), 2786.

Thawley, C., Crystallin, M., & Verico, K. (2024). Towards a Higher Growth Path for Indonesia. Bulletin of Indonesian Economic Studies, 60(3), 247-282.

Tuyen, D. T., Hoai, N. T. T., Hong, N. T., Chau, N. M., Trung, N. N., & Akhtar, R. (2025). Evaluating the impact of macroeconomic instability on export turnover of ASEAN countries. Multidisciplinary Science Journal, 7(6), 2025318-2025318.

Wibowo, F. A., Satria, A., Gaol, S. L., & Indrawan, D. (2024). Foresight for SOE Companies in Indonesia’s Construction Industry: Recognizing Future Opportunities. Sustainability, 16(23), 10384.

Woahid Murad, S. M., & Rahman, A. (2025). Governance Quality Under Economic Uncertainty: Global Insights. Australian Economic Review.

Zahira, I., Nafi'Hasbi, M. Z., & Faris, S. (2024). Strengthening Economic and Development Relations Transformation Efforts Towards Golden Indonesia 2045. Journal of Lslamic Economics and Bussines Ethics, 1(3), 125-135.

Downloads

Additional Files

Published

2024-03-30

How to Cite

The Impact of Global Uncertainty on Indonesia’s Economic Stability: An Empirical Study for the Period 2020-2025. (2024). Nomico, 1(2), 12-21. https://doi.org/10.62872/6srtfb48

Similar Articles

121-130 of 152

You may also start an advanced similarity search for this article.