The Worst Point of the Economy Has Been Passed …

JAKARTA, KOMPAS.com – Minister of Finance Sri Mulyani Indrawati stated that the Indonesian economy has shown a process of recovery and a reversal of direction (turning point).

The State Treasurer, through his Facebook account, stated that national economic activity had moved towards the positive zone, even though in the third quarter of this year the economic pace was still negative.

“The worst is over! The Indonesian economy in the third quarter of 2020 grew by minus 3.49 percent (yoy). Efforts to increase economic growth from the second quarter of 5.32 percent have shown a process of recovery and a reversal of direction, national economic activity is heading into a positive zone, “Sri Mulyani said as quoted from her Facebook account, Friday (6/11/2020).

Also read: There is a Recession and Turmoil in the US Presidential Election, What Sectors Are Still Potentially Cuan?

He explained that the improving economic performance was driven by state spending. State spending was recorded to have grown by 15.5 percent.

This is supported by the realization of social assistance and support for the business world, including MSMEs.

“The acceleration in the realization of state spending has made government consumption growth grow positively by 9.8 percent (yoy), a sharp increase compared to the negative second quarter of minus 6.9 percent,” Sri Mulyani explained.

Tax Revenue

According to him, the turning point of economic activity is also reflected in the administrative data of tax revenues.

Also read: Economist: Indonesia Recession, People Asked Not to Panic

Monthly tax revenue growth, which experienced the sharpest decline in May, has shown an upward trend until the end of the third quarter of 2020.

Sri Mulyani said that the government will continue to make various efforts to accelerate PEN, especially the acceleration of government spending in the regions in the third quarter which only reached 53.3 percent of the total national budget in the 2020 APBD amounting to Rp 1,080.71 trillion.

“To ensure a reduction in the transmission of Covid-19, the government will continue to strengthen the health system, encourage testing, tracing, and treatment (3T). The public must ensure that they remain disciplined in carrying out the 3M health protocol – wearing masks, washing hands with soap, and maintaining a distance. , “he said.

– .