(Jakarta, 25th) Indonesia plans to announce an economic stimulus package on June 5th to rejuvenate economic activities, boost consumption, and aim to raise economic growth to about 5% in the second quarter.
Coordinating Minister for Economic Affairs of Indonesia, Airlangga, stated in a declaration on Saturday (May 24th) that the economic stimulus package will be implemented before the end of the school holidays in late June, providing momentum to enhance consumer purchasing power.
In the first quarter of this year, the economy of Indonesia, the largest economy in Southeast Asia, grew by 4.87% year-on-year, marking the lowest in over three years. Bank Indonesia has revised its economic growth forecast for the whole year from 4.7% to 5.5% down to 4.6% to 5.4%.
A spokesperson for the Indonesian Ministry of Finance said that the ministry is still calculating the scale of the economic stimulus package, a series of measures aimed at boosting economic growth in the second and third quarters.
The measures planned to be introduced by the government include a 50% electricity bill discount for about 79.3 million households in June and July, food assistance to 18.3 million low-income households, wage subsidies for contract teachers and low-income workers earning less than 3.5 million rupiahs (approximately 911 Malaysian Ringgit) per month, and injury insurance premium discounts for employees in labor-intensive industries.
During the school holiday period, airline, train, and ship tickets will also be sold at discounted prices, and highway tolls will be discounted to promote tourism.
Coordinating Minister for Economic Affairs of Indonesia, Airlangga, stated in a declaration on Saturday (May 24th) that the economic stimulus package will be implemented before the end of the school holidays in late June, providing momentum to enhance consumer purchasing power.
In the first quarter of this year, the economy of Indonesia, the largest economy in Southeast Asia, grew by 4.87% year-on-year, marking the lowest in over three years. Bank Indonesia has revised its economic growth forecast for the whole year from 4.7% to 5.5% down to 4.6% to 5.4%.
A spokesperson for the Indonesian Ministry of Finance said that the ministry is still calculating the scale of the economic stimulus package, a series of measures aimed at boosting economic growth in the second and third quarters.
The measures planned to be introduced by the government include a 50% electricity bill discount for about 79.3 million households in June and July, food assistance to 18.3 million low-income households, wage subsidies for contract teachers and low-income workers earning less than 3.5 million rupiahs (approximately 911 Malaysian Ringgit) per month, and injury insurance premium discounts for employees in labor-intensive industries.
During the school holiday period, airline, train, and ship tickets will also be sold at discounted prices, and highway tolls will be discounted to promote tourism.