The world is facing uncertainty as the threat of a global recession looms.

Excessive hyperinflation, disruptions in food supply chains, tightening global liquidity, and a warming geopolitical climate could lead to a recession caused by multiple crises.

The impact of this global challenge is likely to slow as all countries work together to find a solution that benefits all. Meanwhile, Indonesia is in a much better position compared to other countries.

The performance of the national economy has actually been strengthening. This is largely due to a positive trend of economic growth remaining at 5 percent, a stable exchange rate, and manageable inflation. "This indicates strong domestic stability as well as strengthening economic fundamentals," Agus Martowardjojo, former Governor of Bank Indonesia (2013-2018) and President Commissioner of PT Bank Negara Indonesia (Persero) Tbk (BNI) said at the Nusa Dua Convention Center in Bali.

Agus added that Indonesia's banking sector is currently in good shape due to strong financing and the implementation of risk management. Considering the healthy national consumer spending rate and the progressive performance of Indonesia's exports, the government is confident that economic growth will exceed the 5 percent target in 2022.

"We see the possibility of higher inflation. However, the excellent export performance will ensure currency stability, which will also have a positive impact on domestic economic stability," he added. According to Agus' observations, monetary and fiscal policies have so far helped drive the post-pandemic recovery. Despite the enormous challenges, he remains optimistic that the fiscal and monetary authorities have executed their pre-emptive and forward-looking policies well.

Going forward, the balance between fiscal and monetary policies must be maintained to strengthen the structure of the developing economy. All players in the economy must also remember that a strong performance in the sustainable economy presents opportunities to encourage growth opportunities for both real economy players and financial sector players.