Indonesia’s economy grows less than forecast on spending cut

JAKARTA: Indonesia’s economy expanded less than forecast in the fourth quarter as government spending was curbed by a legal cap on the fiscal deficit.

Gross domestic product rose 4.94% in the fourth quarter from a year earlier, the statistics bureau said in Jakarta yesterday median estimate of economists was for 5% growth GDP declined 1.77% in the fourth quarter from the previous three months; economists expected a contraction of 1.8%.