"I want to remind all of us that the pandemic is not over. We must be vigilant, and the situation we are facing is still an extraordinary condition that should be responded to with fast and appropriate policies that require us to be at the same frequency," President Jokowi remarked at the State Palace, here on Friday.
The head of state conveyed the statement during the submission of the Examination Results Report on the Central Government Financial Statements (LHP LKPP) 2020 and Summary of Semester II 2020 Examination Results (IHPS), as well as Submission of Examination Results Report (LHP) Semester II 2020 from the Supreme Audit Agency (BPK).
The president expounded that every state institution, both in the central government and regional governments, must be on the same wavelength. The response of every state agency to overcome the COVID-19 pandemic must also be fast and precise, so that the benefits are immediately felt by the public.
Jokowi noted that since the COVID-19 pandemic surfaced in 2020, the government had applied extraordinary measures, including changing the focus and budget apportionments at all governmental levels to address health and economic issues.
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“(The government) provides space for relaxation of the state budget deficit that can be widened to more than three percent of the GDP (gross domestic product) for three years. The widening of the deficit must be conducted on the basis of the increasing need for state spending to deal with health and the economy at a time when state revenues are declining," he expounded.
Various state institutions also took extraordinary steps, such as the policy of sharing the burden between the central government and Bank Indonesia in restoring the economy.
"With these various policy responses, we are able to handle the increase in health spending and at the same time protect the Indonesian economy from various pressures," he expounded.
President Jokowi highlighted that with the application of some extraordinary policies, Indonesia had witnessed an improvement in its economic growth in the past few quarters, albeit still lying in the contraction zone.
In the second quarter of 2020, Indonesia's economy had contracted 5.32 percent year-on-year (YoY). However, the economy continued to improve in the third and fourth quarters of 2020, and even until the first quarter of 2021.
"Indonesia's economy grew better until the first quarter. We were at minus 0.74 percent," President Jokowi stated.
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