BPS: Public Spending Plunges over Covid-19
Translator
Ririe Ranggasari
Editor
Laila Afifa
Selasa, 5 Mei 2020 16:56 WIB
TEMPO.CO, Jakarta - Public spending declines as household consumption slows over the social restriction against Covid-19. The central statistics agency, BPS, announced that household consumption in Q1/2020 only grew 2.84 percent (year-on-year), down from Q1/2019's 5.02 percent.
In an online press conference in Jakarta, May 5, BPS chief Suhariyanto said the decline has caused the quarter's economic growth to go down to just 2.97 percent, just around half of Q1/2019's 5.07 percent.
Suhariyanto said that household consumption is one of Indonesia's main growth contributor after investments.
"This is why it is important to maintain household's purchasing power," he said.
Despite the sharp fall, Suhariyanto said that Indonesia's GDP structure did not change much because of the pandemic. Household consumption still accounts for more than half at 58.14 percent.
The BPS also announced that exports in Q1 grew slightly by 0.24 percent, which is an improvement from last year's first quarter when it was at -1.58 percent.
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