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If in the short term the implementation of VAT on basic goods cannot be carried out, it is very possible that the fiscal deficit cannot be returned to below 3 percent in 2023 as mandated by law.

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The reduction of the state budget deficit does not always mean there will be an increase in state revenues, especially when the business world is still recovering from the impact of the pandemic.

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The pent-up demand in Indonesia has a different character from that in the US and China. In the US, people shop for durable goods, especially gadget and in China there is a more balance between durable goods and service

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The pandemic has brought a severe impact, both in terms of unemployment and poverty. Meanwhile, the divergence in economic recovery will create different job opportunities.

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So far, the agriculture industry has been an example of continuing growth, but the welfare of farmers has not improved: it is growth without development.

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Sooner or later, the global economy will be affected as India is one of the hopes for the world economic recovery from the demand side.

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Currently, SOE’s debts, especially those engaged in the construction sector (construction SOEs), are in the spotlight. The solution can only be formulated by understanding the root of the problem.

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Idul Fitri does not only have a religious dimension. Its economic dimension is even bigger. Economic activity usually grows at the start of the fasting month and reaches its peak ahead of Idul Fitri celebrations.

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With such an improvement, Indonesia can take the advantage of the recovery of the two world economic locomotives, namely the US and China.

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Ironically, Indonesia, instead, relies heavily on imported raw materials for its manufacturing industry.

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