On this occasion, the writer would like to highlight several major developments in the Indonesian economy that led to new policies during the reporting year. Rapid economic development has strengthened economic fundamentals, essential for sustaining long-term growth. In the first three years of the Sixth Five-Year Development Plan (Repelita VI), these strong fundamentals supported robust economic growth driven mainly by domestic demand. High GDP growth is crucial for achieving national development goals, such as increasing incomes and creating jobs, which in turn strengthen national savings. However, rapid growth also brings risks, such as economic overheating. Recently, Indonesia has faced challenges with an overheated economy, high inflation, and a rising current account deficit. These issues are likely to persist, potentially impacting future economic growth if not addressed properly.