UNAIR NEWS – In the second quarter of 2021 (Q2 / 2021), the Indonesian economy is predicted to grow by around 7 to 7.8 percent. The optimistic prediction is indeed very encouraging news.
UNAIR Public Economics expert Dr. Ni Made Sukartini SE., M.Si., MIDEC., revealed that economic growth, especially reaching over 5 percent, is an extraordinary thing. This condition reflects that normal economic activities are taking place.
“What I need to highlight here is that this economic growth is still a prediction, as there is still one month left in the Q2 of 2021. This condition certainly brings new hope, where we can all get out of the economic downturn that had occurred for more than a year, “she said.
Dr. Made explained that the prediction of the economic growth value by 7.8 percent means that there are increasing economic activities, both from the production and the expenditure side. From the production side, several sectors that had slowed down during the pandemic have started to run again, such as the property, industry, trade, and services sectors.
“The agricultural sector, in general, is still producing, and this sector is the only one that has survived and even continues to grow during the pandemic. It shows that business confidence has started to grow,” she explained.
Meanwhile, from the consumption side, she continued, household and government expenditure were quite dominant. From April to May, which coincides with Ramadan and Eid al-Fitr, there was a significant increase in household consumption.
Household consumption is the central aspect of the economy for a large population country like Indonesia. On the other hand, it is believed that investment and foreign trade performance will still contribute significantly.
“So, if this growth rate prediction goes as we expect, it will certainly be a positive and exciting thing for the people of Indonesia,” she continued.
If the Covid-19 pandemic has started to subside, the 17 sectors of the Indonesian economy are expected to contribute as well. But in reality, only the economic sector is able to quickly adjust to the situation, recover the fastest and contribute to gross domestic product (GDP).
“I believe the agricultural sector is still dominant, given the various efforts made to encourage this sector to support food security, which is quite evident during the pandemic. Other sectors such as construction, trade, tourism, and services, in general, are predicted to grow significantly,” she added.
The transportation and communication sector is also predicted to grow rapidly, given the relatively high linkage of this sector to information technology. Likewise, or even much faster, is the trade, hotel, and restaurant sector. Activities related to this sector took a hit during the pandemic.
“If the pandemic has subsided, people will really miss activities in this sector. Hopefully, it will come true without causing problems or new cases,” she concluded.
UNAIR, as one of the best universities in Indonesia, encourages the entire academic community to contribute to the wider community. (*)
Author: Sandi Prabowo
Editor : Binti Q Masruroh
