2020 Performance: Government Claims Economy Shows Recovery

Two workers are seen passing in front of an office building area (Photo: Ministry of Finance)

JAKARTA - The government, through the Ministry of Finance, said that the economic performance showed a direction of recovery and was already on the right track (on-track).

Head of the Fiscal Policy Agency of the Ministry of Finance, Febrio Kacaribu, said the PEN program will continue to ensure that the handling of COVID-19 continues to run effectively, maintain people's purchasing power, and stimulate the recovery of the business world.

"In the future, the direction of this recovery will be pushed more quickly, especially with the start of a well-planned and measured vaccination," he said in an official statement received by VOI, Saturday, February 6.

Febrio added, although growth during the past year contracted by minus 2.07 percent, the realization was within the government's projection range in the range of minus 2.2 percent to minus 1.7 percent.

"The performance of this economic growth is better than many countries in ASEAN and the G20 which experienced a deep contraction," he said.

Furthermore, the trend of economic recovery in Q4 / 2020 is predicted to continue in 2021. This is reflected in several indicators such as the Manufacturing PMI in January 2021 which again increased from 51.3 in December 2020 to 52.2 in January 2021.

In fact, he continued, is the highest level in the last six years. In addition, the level of public confidence also continues to be on a positive trend. Indonesia's economic growth in 2021 is estimated to return to positive growth at the level of around 5 percent.

"The COVID-19 vaccination program, the sustainability of the PEN 2021 program, the SWF / LPI instrument, and the omnibus law Cipta Kerja have also become the government's strategy to leverage economic growth in 2021," he added.

"The momentum for reform will continue to be strengthened in the economic recovery phase, as reflected in the derivative regulations of the Job Creation Law that have been completed and can be implemented immediately," he concluded.