The Coordinating Ministry for Economic Affairs stated that various key economic indicators have shown a positive trend. From the demand side, economic growth was driven by positive growth in consumption, investment and exports. Likewise, from the supply side, almost all sectors grew positively in response to increased demand. Population mobility has also started to increase since early August 2021. Until December 20, 2021, the increase in population mobility was not followed by an increase in positive cases of Covid-19. The Covid-19 pandemic situation remains under control at a low level with daily confirmed cases of 133 cases, down 99.7 percent from its peak on 15 July 2021 of 56,757 cases. Even so, the public still has to be wary of the Omicron variant which has been detected in 100 countries, including Indonesia.
“This increase in demand encourages the manufacturing sector to increase its production capacity. The decline in the PPKM level encourages domestic demand as reflected in the realization of inflation in November 2021," said Secretary of the Coordinating Ministry for Economic Affairs Susiwijono Moegiarso at the Virtual Assistant Forum for Economy and Development in Indonesia 2021 in Jakarta, Tuesday (21/12). Indonesia, he said, also has a strong external and internal balance. Indonesia's trade balance in November 2021 experienced a surplus of 3.51 billion US dollars or a surplus for 19 consecutive months since May 2020. Export performance continues to improve in line with rising prices for Indonesia's main commodities and global demand. Rising commodity prices such as agriculture, energy and metals also contributed to a surplus in the trade balance, which resulted in a stronger balance of payments. Revenue in the State Revenue and Expenditure Budget (APBN) also strengthened, so that the APBN deficit was better than the target. Indonesia's economic fundamentals tend to be better than other developing countries in the face of uncertainty in the United States' monetary policy. Indonesia's inflation rate of 1.7 percent, which is still below Bank Indonesia's target of 2 to 4 percent, and controlled gross public debt have contributed to Indonesia's resilience in the face of changes in US monetary policy. In addition, Indonesia's vulnerability level is also relatively low. Indonesia as a member of the fragile five in the 2013 taper tantrum, showed improvement in economic fundamentals as shown by good governance, maintained debt, and qualified foreign exchange reserves. In the challenges ahead, he said, Indonesia is still faced with various domestic risks from the increase in COVID-19 cases and the spread of new variants, as well as from external sources such as taperingoff the FED, rising commodity prices, rising global inflation, energy crisis, climate change and chain disruption. supply. The economic growth target for 2022 has been agreed at 5.2 percent.
The fulfillment of this target will of course depend on the handling of the Covid-19 pandemic, the implementation of the PEN Program. At the same time, various other factors include the right economic policy response, significant job creation, and readiness to transform into digital technology.
Sources: https://www.republika.co.id/berita/r4jqnp370/pertumbuhan-ekonomi-2022-ditopang-pengendalian-covid19
