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Indonesia

Indonesia: COVID-19 response Multi Sectoral Response Plan Report No. 02 (As of 27 August 2020)

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Situation Overview

As of 2 September, the Ministry of Health has confirmed that 180,646 people in Indonesia have tested positive for COVID-19 in 469 out of 514 districts / cities. Additionally, 129,971 people have recovered, and 7,616 people have died from the illness. Although all 34 provinces in the country are affected, records reflect that 78 percent of the total cases are identified in eight provinces: DKI Jakarta, East Java, West Java, Central Java, North Sumatra, Papua, South Sulawesi, and South Kalimantan. Java Island contributed 57 percent of all confirmed cases in Indonesia.

On 20 July, the President created the Committee for the COVID-19 Response and National Economic Recovery through the Presidential Regulation No. 82 of 2020. The committee consists of:

  • The Policy Committee, that is led by the Coordinating Minister for Economy, Mr. Airlangga Hartarto, and the Minister of State-Own Enterprises, Mr. Erick Thohir who is appointed as the Chief Executive.
    Later, the Chief of Staff of the Indonesian Army and the Deputy Chief of the Indonesian National Police are appointed as Vice Chief Executive.

  • The Task Force for COVID-19 Response (Satuan Tugas), which is headed by Head of BNPB, Mr. Doni Monardo, who was previously the Chief Executive of the Task Force for the Acceleration of COVID-19 Response (Gugus Tugas).

  • The Task Force for National Economic Recovery, that is chaired by the Vice Minister of State-Owned Enterprises, Mr. Budi Gunadi Sadikin.

In a ministerial meeting on 21 August, the Committee discussed and prioritized the following economic programme:

  1. Accelerating the regional Loans that is regulated through Minister of Finance Regulation no. 105/2020;

  2. Additional Regional Incentive Fund for the National Economic Recovery Program;

  3. Labor intensive program on agriculture, particularly palm oil plantation;

  4. Development of Digital Villages and Digital MSMEs;

  5. Additional allocation and targeted recipients for the Pre-Employment Card Program;

  6. Facilitation of traditional market; and 7. Labor Intensive Program though the National Strategic Project Development.

On 8 August, the Statistics Agency reported Indonesia's economic shrinking at 5.32 percent in the second quarter of 2020, while during the first quarter of 2020, it grew by 2.97 percent. The Government estimates the economy will grow 0.4 percent in July-September 2020 (Q III). The Agency calculated that the deepest shrinking between April and June is experienced in transportation and warehouse (-30.84 percent), accommodation, food and beverage (-22.02 percent), and other services (-12.60 percent). More recently, the Minister of Finance provided the Indonesia economic growth outlook in the third quarter of 2020 in the range of 0% to minus 2%. Meanwhile, the national economic growth forecast throughout 2020 would be between - 1.1% to 0.2%.

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