Weak commodity prices which continue to hit the economy becomes the culprit, however, the growth is expected to slightly recover to 4.8 percent in 2021.

Despite facing a slower growth scenario, Indonesia was expected to see no changes in its credit rating.

Statistics Indonesia data reported the country’s GDP growth stood at 5.02 percent in the third quarter of 2019, down from 5.05 percent in the previous quarter.

The GDP slowdown as well as weak commodity prices, especially for palm oil and coal, will also affect the earnings of many corporates.

“We’ve seen some decline in commodity prices and as a result, slower economic growth and that has had a knock-on effect in terms of Indonesia’s economy,” Moody’s managing director and chief credit officer Michael Taylor said.