Indonesia's showed resilience in 2009, buoyed by its robust domestic demand and commodity base. These trends along with relative political stability, superior growth performance to most other ASEAN economies, and loans from international organizations to finance the fiscal gap have buoyed investor confidence in the Indonesian economy and strengthened asset markets. Rising foreign direct investment and a loosening credit growth should help to boost growth through 2010. Downside risks include volatile capital flows, continued infrastructure deficiences, and political uncertainty.
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