Indonesia Pushes to Reopen Economy to Curb Mounting Job Losses

• Indonesia is pushing ahead to reopen its economy amid a surge in coronavirus infections, with the government seeking to minimize job losses and the threat of social unrest.
• Southeast Asia’s biggest economy will need to adjust and cope with the pandemic, which has already put 2 million people out of work in just two months, Coordinating Minister for Economic Affairs Airlangga Hartarto said.
• Hartarto said Indonesia’s economy likely contracted less than 3% in 2Q20, and that the government is willing to widen its fiscal deficit further to help cushion the blow from the pandemic. He’s sticking to the official forecast of 2.3% economic growth for 2020.
• The government has set aside about IDR642tr so far as part of its emergency virus response, with the budget deficit expected to widen to at least 6.3%. Authorities are now preparing additional stimulus, including IDR9.4tr for the farming and fisheries sectors, which may be announced in coming days, Hartarto said.

External Link : https://www.bloomberg.com/news/articles/2020-06-01/indonesia-pushes-to-reopen-economy-to-curb-mounting-job-losses