Jakarta - Bank Indonesia (BI) forecasts global economic growth this year at 5.7%, or lower than the previous estimate of 5.8%.

"The global economy has shown recovery, but the recovery is lower than expected due to the case of the Delta COVID-19 variant," said Bank Indonesia Governor Perry Warjiyo in Jakarta on Tuesday (19/10).

Previously, there was an increase in daily cases at the beginning of the third quarter of 2021, which hampered the economic recovery of countries in the world, including the developed countries of the United States (US), China, and Japan.

In addition, the lower forecast for global economic growth is also driven by the global supply chain and energy disruptions.

The lower forecast for global growth performance this year is also evident from several early indicators, such as retail sales, Purchasing Managers' Index (PMI), and slowing consumer confidence in September 2021.

"We are optimistic tha