The Ministry Of Foreign Affairs Is Worried That The Corona Virus Will Impact The Indonesian Economy
JAKARTA - The Director General for Asia Pacific and Africa, Ministry of Foreign Affairs (Kemlu) Desra Percaya, acknowledged that the corona virus outbreak from China would have an impact on the Indonesian economy. The reason is, in 2019, China will become the third largest investor in Indonesia.
He said, with China's economic power being hit, the investment power coming to Indonesia would weaken. "This virus certainly has an economic impact on China and of course Indonesia, because China is our biggest trading partner. Now (2020), China is approaching the second largest in Indonesia," said Desra at the Ministry of Foreign Affairs Office, Gambir, Central Jakarta, Monday, February 3. .
Not to mention, China is now in a lock down condition. The Chinese government is currently closing flight access to and from 10 cities in the Bamboo Curtain country. Plus, a number of countries have also banned tourists from China from entering their country.
"However, there will definitely be an impact from the conditions caused by the corona virus in China, including from the reduction in the number of people traveling from here to China and vice versa," he explained.
However, he continued, currently the concern about the economic impact in Indonesia has not yet been felt. Bearing in mind, there needs to be a comprehensive impact analysis conducted overtime.
"It can't be done if, for example, the virus spread yesterday, the next day the value (of its economic impact) will be discovered," said Desra.
However, Desra said, currently the economic impact on the stock exchange has been seen. "The stock exchange shows all red, both in China and in the world. So if it is red in the region or the world, it will definitely affect Indonesia," he added.
This afternoon, the Composite Stock Price Index (IHSG) was closed further down. JCI at the beginning of this week Monday 3 February, closed down 55.88 points or 0.94 percent to the level of 5,884.17.
During the last week, the JCI closed at 4.87 percent lower to 5,940.05 from the previous week which closed at 6,244.11 levels.