TEMPO.CO, Jakarta - The Minister of National Development Planning or Bappenas Head, Suharso Monoarfa, stated that Indonesia would still face many challenges in 2021. He said the two biggest challenges are weaker people's purchasing power and widespread COVID-19 transmission.

“The COVID-19 transmission in Indonesia has not reached its peak yet,” said Suharso in a virtual discussion with Tempo titled "2021 National Development Plan through Energy Investment and Use of Marine Products" on Monday, Dec. 14, 2020.

Suharso predicted the pandemic would persist as long as the people did not comply with health protocols, particularly in regions that still recorded huge crowds. Besides, the testing capacity was considered inadequate compared to the country’s large population.

The second challenge is declining people's purchasing power. Suharso said in the midst of the pandemic, people’s purchasing power weakened as many workers were laid off and unemployed.

However, Suharso was optimistic that the national economy would improve next year despite the challenges. Bappenas, he added, had made development adaptation for 2021, which is aimed at accelerating the economy and social reforms.

The government has decided that the economic recovery would be focused on the three most affected sectors, viz. industry, tourism, and investment, Suharso informed.

“These three sectors are under great pressure from the COVID-19 pandemic and absorb a large number of workers,” said Suharso.

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FRANCISCA CHRISTY ROSANA

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