Kadin Chairman Rosan Roeslani: Indonesia's Economy Will Improve In 2021, Assisted By The COVID-19 Vaccine

Chairman of Kadin, Rosan P. Roeslani. (Photo: Kadin)

JAKARTA - The Indonesian Chamber of Commerce and Industry (Kadin) estimates that the national economy will get better next year.

"In the future, if I see it, God willing, in 2021 the economy will get better," said Chairman of the Indonesian Chamber of Commerce and Industry Rosan P. Roeslani as quoted by Antara , Monday, October 19.

According to Rosan, this is because the basis of the national economy has begun to be low in 2020, thus making business actors in a defensive position.

In addition, he continued, the presence of the COVID-19 vaccine also provided positive things for the national economy in 2021.

"Although we get it gradually, we hope this vaccine will also be more helpful and reduce the uncertainty factor, considering that our main enemy is a high uncertainty factor," he said.

He also said that as it was known the trend in the second quarter, Indonesia's economic growth contracted 5.2 percent.

Meanwhile, for economic growth in the third quarter of 2020, Kadin predicts between minus 2 and minus 3 percent and in the fourth quarter of 2020 the contraction will be better. According to Rosan, in the second quarter of 2020, the Indonesian economy had reached its lowest level.

He also said that in order to survive, business actors had a company turnover of only 40-50 percent. They can survive because they have done a lot of efficiency.

"However, we need to remind us that we are pushing more on the supply side. In fact, to revive the economy, the demand or demand side has more challenges considering that the aspects of demand are related to uncertainty, convenience and projections," he said.

Therefore, continued Rosan, social assistance (bansos) and direct cash assistance (BLT) were requested to be encouraged by the government in order to increase demand.

"If the supply side is encouraged, but the demand side is weak, of course this will not be optimal," he said.