Jakarta, ONENEWS.MY.ID —
The government targets the Indonesian economy to recover from recession pressure effect pandemic covid-19 this year. Recovery is expected to bring economic growth back to the 4.5 percent to 5.5 percent range.
Initially, there was a bright spot from this hope. This is because the country’s economy only contracted 0.74 percent in the first quarter of 2021. Indeed, the figure is still minus, but it is already smaller than minus 3.49 percent in the third quarter of 2020 and minus 2.19 percent in the fourth quarter of 2020.
The hope for recovery is even more shining because the economy is able to turn positive to 7.07 percent in the second quarter of 2021. Unfortunately, the delta variant of the covid-19 shattered the government’s dream in the third quarter of 2021, so that economic growth fell back to the range of 3.51 percent.
“At the beginning of the third quarter, the delta variant case caused the government to have to pull the emergency brake by implementing PPKM level 4 in various areas to maintain public safety,” said Head of the Fiscal Policy Agency (BKF) of the Ministry of Finance Febrio Nathan Kacaribu, Friday (11/5).
Even so, the government is again putting hope in the fourth quarter of 2021. Minister of Finance Sri Mulyani targets economic growth to reach at least 5 percent so that the economy is in the range of 3.5 percent to 4 percent for the whole of 2021.
Meanwhile, in 2022, Ani, as she is familiarly called, hopes that the Indonesian economy can grow higher to around 5.2 percent. However, he did not deny that the recovery target is not easy to achieve because the pandemic is not over.
“After the delta variant, now we focus on the new variant originating from South Africa, this underscores that economic recovery efforts and also recovery in the world are still overshadowed by the fact that COVID-19 is not over yet,” said Ani.
Ani hopes that when the economy returns to the 5 percent range, the flow of investment into Indonesia will be even more intense. If this happens, he sees that the community can benefit from the availability of new jobs, an increase in income, and an increase in purchasing power.
However, Economist and Executive Director of the Institute for Development of Economics and Finance (Indef) Tauhid Ahmad is skeptical about the government’s projections. According to his calculations, the Indonesian economy is likely to be stuck at 4.3 percent next year.
“Because in 2022 there is a potential for a weakening of the effects of the Fed’s tapering, then there is rising inflationary pressure in various countries in the world,” said Tauhid to CNNIndonesia.com.
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