Businesses Requesting New Stimulus as Economy Grows Weaker

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Petir Garda Bhwana

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  • A costumer wears a protective face shield and a protective face mask while choosing clothes at a shopping mall on the first day after the government eased restrictions amid the coronavirus disease (COVID-19) outbreak in Jakarta, Indonesia, June 15, 2020. Jakarta's shopping centres reopened their doors on Monday with the distancing and hygiene measures recommended by health authorities to prevent the spread of coronavirus. REUTERS/Ajeng Dinar Ulfiana

    A costumer wears a protective face shield and a protective face mask while choosing clothes at a shopping mall on the first day after the government eased restrictions amid the coronavirus disease (COVID-19) outbreak in Jakarta, Indonesia, June 15, 2020. Jakarta's shopping centres reopened their doors on Monday with the distancing and hygiene measures recommended by health authorities to prevent the spread of coronavirus. REUTERS/Ajeng Dinar Ulfiana

    TEMPO.CO, JakartaBusiness actors asked the government to add more stimulus packages to prevent the economy from weakening further. They also want the stimulus implemented faster to anticipate a predicted downfall in Q2/2020. 

    Chamber of Commerce and Industry (Kadin) chairman Rosan P. Roeslani said that additional stimulus and accelerating its implementation is required to curb the wave of unemployment. The efforts, he said, will restore people's purchasing power.

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    "The government must upsize the stimulus and fast-track its implementation, to slow down the rate of unemployment and gradually restoring purchase power," he said as reported by Bisnis Indonesia, June 16.

    Rosan said Kadin had predicted that economic growth in Q2 will plunge to a rate of -3 to -5 percent.  

    Meanwhile, Finance Minister Sri Mulyani Indrawati said in a live streamed press conference on Tuesday that Indonesia's economy is expected to have experienced contraction of -3.1 percent in Q2, as a result of large-scale social restrictions during the quarter.

    Read also: Conflicting Business   

    BISNIS | CAESAR AKBAR