"I want to remind all of us that the pandemic is not over yet. We must be vigilant, and the situation we face is still an extraordinary one that must be responded to with fast and appropriate policies, which require the same frequency by all of us, both at the level of state institutions and all levels of the central government and regional governments," Widodo noted at State Palace, Jakarta, Friday.
The president highlighted that since the pandemic struck in 2020, the government had taken extraordinary steps, including changing the state budget, refocusing and reallocating the budget at all levels of government, as well as providing space for relaxation of the state budget deficit, so that it can be widened to over three percent for three years.
"The deficit-widening measure must take into account the increasing need for state spending for health and economic care at a time when the state income is declining," he expounded.
The president noted that the government had also encouraged various state institutions to work together to share the burden, such as that carried out by the government and Bank Indonesia.
Through various policy responses, the president stated that Indonesia was able to handle the increase in health spending and concomitantly protect the economy from various pressures.
"Although we experienced a deep contraction in the second quarter of 2020, reaching minus 5.32 percent, but in the next quarter, we passed a rock bottom. The Indonesian economy grew better, and until the first quarter, we were at minus 0.74 percent," the president stated. Related news: President: PPKM Mikro, lockdown measures essentially the same
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