Bappenas Chief: 2022 Turning Point for Economic Recovery in Indonesia

TEMPO.CO, Jakarta - The Head of the National Planning Agency (Bappenas) Suharso Monoarfa on Thursday said next year will mark a starting point for Indonesia’s national economic recovery as it will be the strategic year for countries across the globe to transition from the Covid-19 pandemic to endemic.

“We observe this based on the projections conducted by international organizations such as the World Bank, International Monetary Fund (IMF), saying at least the world’s economic growth will go to a positive trend, followed by growing foreign direct investments,” said the Bappenas chief at his office on September 2. 

Monoarfa cited the IMF forecast stating that Indonesia’s economy will surge 5.9 percent by 2022 while the World Bank projects a 5 percent national growth. The Organization for Economic Cooperation and Development (OECD) and Asian Development Bank also forecasted a 5.1 and 5 percent growth, respectively.

Positive economic growths alongside the narrowing vaccination gap between developed and developing countries are currently boosting global trading activities to an eventual normality.

The Bappenas head asserted that 2022 will be the gateway for Indonesia in reaching the 2045 goal of becoming a high income state.

“Without exceptional economic growth, Indonesia will be overtaken by the Philippines and Vietnam because our productivity is low compared to other ASEAN countries. This affirms 2022 as a critical year for economic recovery,” he added. 

Read: Delta Variant Disturbs Economic Recovery Efforts

FRANCISCA CHRISTY ROSANA