JAKARTA - Indonesian Finance Minister Sri Mulyani Indrawati said on Thursday that the shift in global economic dynamics under the current US government has led to heightened uncertainty, hampering economic growth worldwide.

"The world order, which for the past 50 years has been based on multilateral rules, is now being disregarded," Indrawati said at a press conference in Jakarta.

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She emphasized that since the new US government came to power, unilateral policies from the world's largest economy have become increasingly dominant, altering the rules of international engagement, adding that the unfavorable global environment has made it more difficult for governments to drive economic growth.

For Indonesia, economic growth is projected to reach 5.02 percent in 2025, following a 5.03 percent expansion in 2024. "I must stress that maintaining growth above 5 percent is not an easy feat for any country, especially amid extraordinary global disruptions," she said.

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The minister noted that global uncertainty has also weighed on the Indonesian rupiah and government bond yields.

As of Monday, the rupiah had weakened to 16,340 per US dollar, with a year-to-date average of 16,309 per US dollar. At the end of 2024, the rupiah stood at 16,162 per US dollar, with an annual average of 15,847 per US dollar.

Starting in January, and especially since the new US administration was inaugurated, so many US executive policies have continued to cause turmoil, she said, noting that such turmoil is felt throughout the world and this is reflected in the rupiah exchange rate.

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Meanwhile, the yield on Indonesia's 10-year government securities fluctuated due to global developments, reaching 6.88 percent as of Monday, with a year-to-date average of 6.98 percent.