BI Governor: PPKM Lift Can Help Economy Grow 5%

TEMPO.CO, Jakarta - Bank Indonesia (BI) governor Perry Warjiyo said that the plan to lift the public activity restriction (PPKM) will have a positive impact on Indonesia's economy. People's mobility will increase, followed by a boost in economic and financial activities.  

"This will surely encourage Indonesia's economic growth to be better," Perry said in a press conference on Thursday, December 22. 

The central bank predicts that Indonesia's economic growth this year will come close to BI's upper projection, which is between 4.5 and 5.3 percent. However, in 2023, the growth rate is expected to slow down to a range of 4.5 percent to 5.3 percent, or at a median of around 4.9 percent.

"We will monitor the impact of community mobility after PPKM. If consumption continues to increase as a result of the repeal of PPKM, Indonesia's economic growth could be around 5 percent," he said.

President Joko Widodo or Jokowi has signaled that all forms of Covid-19 restrictions will be lifted. The president said that the PPKM policy will likely be ended at the end of this year. 

Jokowi said he was still waiting for the results of the full study and calculations by Health Minister Budi Gunadi Sadikin as well as Coordinating Minister for Economic Affairs Airlangga Hartarto, who is also the chairman of the Covid-19 Mitigation Committee.

"Yesterday I gave a target, that the studies and calculations should reach my desk this week," Jokowi said at a press conference in Jakarta, Wednesday, December 21.

RIRI RAHAYU | FAJAR PEBRIANTO

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