President Jokowi's Series Of Policies For Small Communities Amid The COVID-19 Outbreak

JAKARTA - The spread of the corona virus or COVID-19 is getting more massive, at least 189 countries have registered positive for COVID-19, including Indonesia. The impact of this outbreak is a slowdown in global and national economic growth. Because of this, the government continues to issue policies so that the Indonesian economy does not collapse.

The policy issued by the government this time is targeting low-income people who are and want to carry out subsidized housing loans. President Joko Widodo (Jokowi) said the government would provide two stimuli at the same time to ease the burden on society.

"First, the government will provide subsidies for the difference in interest for 10 years," he said, via video conference at the Bogor Palace, West Java, Tuesday, March 24.

Jokowi explained that later if the interest is above 5 percent the difference will be paid by the government. In addition, the second subsidy is down payment assistance.

"The government also provides subsidies for down payment assistance for those who will take out the budget subsidized housing loans that have been prepared for IDR 1.5 trillion," he said.

Not only that, Jokowi also invited all levels of government both at the central and regional levels to the sub-district and village levels to always be responsive to the health situation and economic conditions of the community.

"We have to work hard, we must unite and work together to face this challenge. Believe us, we are a great nation, we are a nation of fighters. InshaAllah we are able to face tough global challenges today," he said.

Exempt Processing Industry Income Tax

This virus outbreak has not only touched the tourism sector but also other sectors. So that the government provides income tax relief for processing industry workers. In addition, relaxation for MSMEs is also given.

Jokowi said the government would help the purchasing power of workers in the manufacturing sector. Not only that, the government will also pay income tax article 21 which has been paid by workers themselves in order to provide additional income to jobs in the processing industry.

"The budget allocation provided is Rp. 8.6 trillion," said Jokowi.

For information, PPh 21 is a tax on income in the form of salaries, wages, honoraria, allowances and other payments in any name and in any form related to work or position.

Not only that, President Jokowi has also instructed the Financial Services Authority (OJK) to provide credit relaxation to micro, small and medium enterprises (MSMEs) for credit values below IDR 10 billion with business objectives, be it credit provided by banks or by the financial industry. non bank.

"As long as it is used for business, interest rates will be reduced and installments are postponed for up to one year," he said.

Jokowi also appealed to motorcycle taxi drivers, taxi drivers and fishermen who are crediting motorized vehicles or boats not to worry about paying installments. This is because the government will provide relief in the form of postponement of interest payments and installments for one year.

"The banking sector and the non-bank financial industry are prohibited from chasing installments, let alone using collection services or debt collectors. This is prohibited. And I ask the police to record this," he said.