JAKARTA, KOMPAS.com – Government revises projections economic growth in the second quarter-2020.
Minister of Finance Sri Mulyani Indrawati stated, in the second quarter of this year Indonesian economy will experience a contraction in the range of -3.5 percent to -5.1 percent with the midpoint of -4.3 percent.
“So we expect that the second quarter contraction that I conveyed is -3.5 percent to -5.1 percent. The point is -4.3 percent. Deeper than what we said yesterday was -3.8 percent,” Sri Mulyani explained. at the RI Parliament Building, Wednesday (07/15/2020).
This was deeper than Sri Mulyani’s previous projections which mentioned in the second quarter Indonesian economy contracted 3.8 percent.
Also read: Sri Mulyani Called Indonesia’s Economy Semester I Still Minus
Sri Mulyani explained, the decline occurred in almost all sectors of the economy ranging from trade, manufacturing, mining, and transportation.
In fact, according to him, even though the activities in the transportation industry that had been relaxed by the government did not restore the condition of the sector which was experiencing considerable pressure.
“Because people don’t do travelling, although there is still very little recovery. So that contractions in the transportation and mining sectors contribute negatively growth which is quite deep in the second quarter, “he said.
Sri Mulyani also hopes that the government can pursue economic performance in the third quarter. He said he was also quite optimistic because there were some economic data that had shown a turning point.
“But the turning point is that we want to accelerate, so the focus of attention is the President,” he said.
Also read: Recession, Singapore’s economy in the second quarter shrank 12.5 percent
Previously, Sri Mulyani revealed that the economic projection up to semester I-2020 was in the negative zone. He said, the Ministry of Finance projections were in the range of minus 1.1 percent to minus 0.4 percent.
According to Sri Mulyani, the range figure came from the combined economic growth in the first quarter of 2.97 percent and in the second quarter which was projected to be minus 3.8 percent or in the range of minus 3.5 percent to minus 5.1 percent.
“Semester I 2020 growth is projected from -1.1 percent to -0.4 percent,” Sri Mulyani said in the DPR Banggar meeting room on Thursday (07/09/2020).
Sri Mulyani also projects that the national economy will begin to grow positively in Q3 III and IV-2020. He said the economy will be in the range of minus 1.2 percent until the third quarter and positive 1.6 percent to 3.2 percent.
Also read: Getting to Know What a Recession Is
–
