Indonesia is on the Verge of Recession, How Do We Respond? All pages

JAKARTA, KOMPAS.com – The Indonesian economy is now on the verge recession, once on quarter II-2020 the economy grows negatively by 5.32 percent. This negative performance is estimated by the government to continue in the third quarter of 2020.

If the economy is negative for two consecutive quarters, then technically Indonesia will officially enter a recession.

Then, how Public must address the recession conditions?

Also read: Sri Mulyani: If the recession in the third quarter does not mean that the conditions are very bad

BCA economist David Sumual assessed that in the midst of a weakening economy there are always opportunities. This is what the community must find in order to survive in times of crisis.

“Don’t surrender either, there must be an effort to do innovation or new creativity,” he told Kompas.com as quoted on Wednesday (9/9/2020).

He gave an example, this innovation is like diversifying business lines into products that are currently needed. One of them is medical equipment, including personal protective equipment (PPE), masks, and hand sanitizers.

In addition, now even cinemas with a drive thru system have started to appear or watch movies without having to get out of the vehicle. There is also selling via online stores.

“Shopping e-commerce It’s also still quite good, there are certain products that people demand pretty good, “he said.

In the midst of this pandemic, digitalization is indeed increasing rapidly and this momentum needs to be utilized. While most of the people glanced at the shopping passing by online, then business people can boost product promotion through the online system as well.

“This is an opportunity to boost the introduction of the products they sell in the community,” said David.

Also read: Recession Approaching, Millennials Must Prepare For This

Previously, Deputy Director of the Institute for Development of Economics and Finance (Indef) Eko Listiyanto stated that amidst the economic downturn, people cannot just depend on the government. It needs its own efforts to accelerate its economic recovery.

According to him, people who are financially affected can take an eye sector which is in high demand in the midst of a pandemic. Such as the food, health and communication sectors.

Public can work or open a business related to these three sectors. So it is hoped that personal economic recovery can occur quickly.

“Usually the primary sectors such as agriculture, especially food, marine affairs, as well as MSMEs related to these sectors can be options to survive,” said Eko.

Also read: Indonesia has a chance of recession, people don’t need to panic

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