Signals for Indonesia's Economic Recovery from Covid-19

It has been more than two years since the COVID-19 pandemic has hit various parts of the world and has had a negative impact on economic activity in many regions, including Indonesia. Over time, the government continues to boost vaccination to all corners of Indonesia.

As of August 7, 2022, there are 170,20 million people who have received the 2nd dose of vaccination. The daily number of Covid-19 cases in the world began to decline to 19.7 per one million population (Ourworldindata.org). The control of the Covid-19 pandemic in Indonesia has led to recovery in various sectors and activities.

In terms of employment, Indonesia's Open Unemployment Rate (TPT) in February 2022 was 5.83 percent. This shows that if there are 100 workers in the workforce, there are about 5-6 people who are unemployed. This figure has decreased by 0.43 percentage points when compared to the February 2021 TPT.

The working age population affected by Covid-19 has also decreased compared to the previous year. The working age population affected by Covid-19 in February 2022 was 11.53 million. This figure has decreased from the previous 19.10 million people.

Indonesia's economic growth rate in the second quarter of 2022 grew by 5.44 percent year-on-year. This is believed to be caused by several factors, such as the relaxation of community mobility and the maintained purchasing power of the people which encourages the acceleration of consumption and production activities (BPS, 2022).

On a year-on-year basis, the economic performance in the second quarter of 2022 is already higher than the growth rate before the pandemic, which was 5.05 percent in the second quarter of 2019. This indicates that the economic recovery that has taken place since the second quarter of 2021 continues and is getting stronger. (Jambi/BPS data for West Tanjung Jabung Regency)