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Different From Covid-19, Sri Mulyani: This Uncertainty Will Be More Permanent

Finance Minister Sri Mulyani Indrawati said that the current global uncertainty will be permanent and change the global order. Economic turmoil, geopolitical stability, and security issues in each country are the main driving factors for this change. 

"We are witnessing that this uncertainty will be more permanent. Because the nature of the uncertainty itself is not due to a temporary situation, but rather a shift that is likely to be medium to long term," she said in Jakarta, Wednesday, June 18, 2025. 

In other words, the current global instability or uncertainty is different from previous situations such as during the Covid-19 pandemic, for example. At that time, the main cause of uncertainty was an outbreak that disrupted mobility and disrupted the global supply chain. 

As Covid-19 is handled properly, mobility has recovered and supply chain disruption can be suppressed. This is different from the current situation which is more caused by political policies, especially from large countries that also have a large influence on other countries. 

Trump's tariff policy 

A real example is the United States' trade tariff policy. It has encouraged the strengthening of a unilateral climate, instead of bilateral as before. Each country seems to be forced to be able to adapt to these rapid changes. 

On the other hand, international organizations that have been a forum for cooperation between many countries have also begun to lose their teeth. As a result, weak countries will be easily exposed and negatively impacted by changes in the current global order. 

"This is what I mentioned earlier, global uncertainty now touches on fundamental factors, namely how countries and economies must interact with each other. Because it is called the economy and all economies cannot be completely closed," explained Sri Mulyani. 

"Today's situation where unilateral regimes are dominant combined with security and political issues causes the world to continue to be in a tense situation that unfortunately we do not know when it will end," added the Minister of Finance. 

What makes the situation complicated is the shock of the world caused by decisions by countries or political leaders whose considerations are not global in nature or oriented, but rather the interests of their own countries. Therefore, said Sri Mulyani, Indonesia continues to be aware of world developments in order to be able to take the right steps. 

"We will continue to be affected by an uncertain environment that is relatively not short-term, because this is a seismic change, a change that relatively changes direction. And we must be ready," he said. 

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Tag: Finance Minister Geopolitical Stability Sri Mulyani Indrawati