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The Indonesian economy is very likely to enter a recession in the third quarter of 2020. We need to find the right and quick way to recover.

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Indonesia is facing a tough challenge in avoiding the middle-income trap amid an unstable growth cycle. The country’s economic fundamentals must be strengthened through transformation and sustainable growth.

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The threat of an economic recession in Indonesia is not without its foundational reasons. Amid the threat of recession, deflation was also recorded in July.

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We are in an extraordinary situation during the Covid-19 pandemic; therefore, the policy and measures must also be extraordinary.

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The government has promised to boost programs to strengthen consumption, including the preemployment card program. However, industrial sectors that support the economy also need to be leveraged.

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Indonesia needs to implement an inclusive and sustainable economic recovery program not only to avoid a recession.

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Indonesia's economy is projected to experience negative growth in the second quarter 2020. The bureaucratic procedure, distribution and data collection should be immediately improved to help boost government pending.

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Economic recovery in the second semester of 2020 depends highly on whether Indonesia can avoid a second wave of Covid-19 infections, so the estimates of economic growth vary greatly.

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The upgrade of Indonesia's status to that of an upper-middle income country is not enough. More reforms are needed to spur economic growth and reduce inequality.

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The World Bank estimate on the country’s policy on fiscal tightening deserves attention. Public spending should be more efficient and effective.

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