Economy to not fully recover until 2021 first semester: Indrawati

Economy to not fully recover until 2021 first semester: Indrawati

Finance Minister Sri Mulyani Indrawati at a working meeting with the House of Representatives (DPR) Commission XI in Jakarta on Wednesday. (Aug 26, 2020) (ANTARA/HO-Kemenkeu/pri.)

In fact, we cannot assume full recovery in the first semester of next year since COVID-19 will be one of the factors hindering recovery.
Jakarta (ANTARA) - Finance Minister Sri Mulyani Indrawati has projected the national economy to not still fully recover until the first semester of 2021 despite the government having targeted an economic growth of 4.5-5.5 percent.

"In fact, we cannot assume full recovery in the first semester of next year since COVID-19 will be one of the factors hindering recovery," the minister noted during a working meeting with the House of Representatives’ (DPR’s) Commission XI here on Wednesday.

Meanwhile, Indrawati remarked that after the COVID-19 vaccine was discovered, widespread administration will be conducted only in the second semester of 2021.

Economic recovery will vastly depend on the discovery and widespread administration of the COVID-19 vaccine during the second semester of 2020, the minister affirmed.

Availability of the COVID-19 vaccine will shore up public confidence to conduct normal activities, she remarked.

"Public confidence will rise once the vaccination is conducted," she stated.

The minister remarked on Tuesday that the government had apportioned budget funds in the draft 2021 state budget for procurement of vaccines and immunization, facilities and infrastructure, laboratories, and research and development centers to support vaccine researches.

Budget allocations for the health sector are set at Rp169.7 trillion, or equivalent to 6.2 percent of the state spending in the draft 2021 state budget, she noted.

Procurement of the vaccine will prioritize domestic products developed through cooperation, including the transfer of knowledge and technology.

Development of the COVID-19 vaccine has currently entered the phase of clinical trials. Related news: Indonesia recorded deflation of 0.05 percent in August 2020: BPS
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