Bank Mandiri Is Optimistic That The Recovery Will Continue In The Rest Of The Year, Consumption And Investment Are The Supports

Director of Treasury and International Banking Bank Mandiri Panji Irawan

JAKARTA - Director of Treasury and International Banking of Bank Mandiri Panji Irawan said that his party is quite confident that the recovery momentum will continue, marked by positive growth projections in the second quarter of 2021.

"Signs of economic recovery can be seen from the investment figures that have moved in a positive direction as well as consumption. These two things will be the main pillars”, he said in a webinar on Economic Outlook & Industry 2Q21 on Wednesday, May 19.

Irawan added, although in the first quarter of 2021 the economic growth rate was still experiencing a contraction, he said that this economic performance continued to improve compared to the previous 3 quarters.

"Domestic economic growth is already in a gradual recovery trend", he said.

Furthermore, Irawan said that sectorally, the four main industries had experienced improvements while the transportation and accommodation sectors were still experiencing a heavy impact due to this pandemic.

"The growth of the manufacturing industry in the first quarter of this year improved. This improvement is mainly due to increased demand from abroad", he said.

To that end, this state-owned bank predicts that Indonesia's economic recovery will continue.

"We view that Indonesia needs to continue to maintain restrictions on community activities to prevent an increase in daily cases of COVID-19 because even though vaccinations have been intensively implemented, the impact will only be more pronounced in a while", he explained.

As reported by VOI previously, the Central Statistics Agency (BPS) confirmed that Indonesia's economic growth during the first quarter of 2021 was still on a contractionary path with a record of minus 0.74 percent on a year-on-year (yoy) basis compared to the same period in 2020.

"However, if we look at the second quarter 2020 period, the trend of improvement has begun to appear. This shows that the signs of economic recovery are getting clearer”, he said in a press conference broadcast virtually, Wednesday, May 5.