"Regional economy has improved till the first semester of the year, and we are optimistic that 11 percent growth or higher could be achieved by the year-end," assistant to the regional secretary for economics and regional development of Yogyakarta, Kadri Renggono, informed in Yogyakarta on Monday.
In the first half of 2021, Yogyakarta had recorded an economic growth of 11.8 percent, which was significantly higher than earlier growth estimates of 6-7 percent, he said.
"The central authority's decision to apply higher activities restriction enforcement (PPKM) level due to the latest COVID-19 infection wave may cause a slight decline in our economic growth percentage," Renggono added.
The exceptionally high growth percentage in 2021 was due to it being juxtaposed with the economic growth data in 2020 that saw a minus two percent decline due to the COVID-19 pandemic, the official confirmed.
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The communication sector played a significant role in economic growth in Yogyakarta as high demand for prepaid phone credit and internet package was recorded among residents, Renggono informed.
With the pandemic situation improving in Yogyakarta, the trade and service sector may follow the communication sector to contribute to regional economic growth, he added.
Meanwhile, Yogyakarta Mayor Haryadi Suyuti informed that the tourism sector in the city has begun to recover, with tourists returning to the city and contributing to an increase in occupancy rates at Yogyakarta's hotels.
"We must maintain this favorable condition by enforcing strict health protocols that will ensure people's health while we strive to restore our economic activities," Mayor Suyuti said.
Yogyakarta tourist actors have a firm commitment to abide by the health protocols as they hope a healthy and safe city would attract more tourists, he remarked.
"Tourism attraction operators and the tourists must also remind each other to observe strict health protocol," Suyuti added.
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