Indonesia

Response to COVID-19 in Indonesia: Situation Update (as of 9 November 2020) [EN/ID]

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As of 9 November, the Indonesian Government has announced 440,569 confirmed cases of COVID-19 in all 34 provinces of Indonesia, with 14,689 confirmed deaths from the virus, and 372,266 people that have recovered from the illness. The government has also reported 57,925 suspected cases. To increase the country’s COVID-19 testing capacity, the Ministry of Defense and the Indonesian Army are currently acquiring 17 mobile Polymerase Chain Reaction (PCR) laboratories for 17 army hospitals across the country.

With a 2020 state budget (APBN – the National Revenue and Expenditure Budget) of IDR 2,739.1 trillion, the Government of Indonesia has spent around IDR 1,841 trillion as per September (reaching 67.2 percent), apart from the Regional Revenue and Expenditure Budget (APBD). Majority of APBN and ABPDs are allocated for activities that would trigger economic recovery. Moreover, on 4 November, the Committee for the COVID-19 Response and National Economic Recovery (PC-PEN) explained the use of funds for handling the COVID-19 pandemic. The overall level of spending reached 52.8 percent, which is IDR.366.86 trillion from the allocated IDR.695.2 trillion. The utilization of funds per main sectors are as follows:

  • Social protection programs: 86.51 percent (IDR.176.38 trillion from the allocated IDR.203.9 trillion);

  • Medium, small and micro enterprises (MSME) sector: 75.81 percent (IDR.93.59 trillion from the allocated IDR.123.47 trillion);

  • Ministries / agencies and local governments programs: (IDR 30.25 trillion from the target of IDR.106.11 trillion);

  • Incentives for new businesses: 29.43 percent (IDR 35.49 trillion from the IDR.120.61 trillion budget); and • The fund of IDR 53.6 trillion for the corporate financing sector remained unspent.

In addition, the Presidential Productive Assistance has disbursed IDR.22.1 trillion out of IDR28.8 trillion (76.77 percent), that benefitted 9.2 million business from the target of 12 million MSMEs.

Meanwhile, the implementation of the People's Business Credit (KUR) between January and October 2020 reached IDR.148.38 trillion (78.09 percent of the 2020 target of IDR.190 trillion) and has been used by 4.5 million debtors. The Coordinating Minister for Economic Affairs explained that the KUR implementation has been greatly affected by the COVID-19 pandemic situation; with disbursements for a total of IDR.18.99 trillion in March 2020, to only IDR.4.76 trillion in May 2020, which then increased to IDR 17.72 trillion in October 2020. The KUR disbursements during 2020 were made as follows: a proportion of super-micro KUR (for individuals affected by termination of employment or housewives with productive businesses) of 3.02 percent, micro KUR of 65.74 percent, small KUR of 31.02 percent, and a KUR dedicated to Indonesian workers abroad of 0.23 percent. The government plans to add IDR.5.33 trillion to the Credit total fund and to increase the allocation of IDR. 292 billion through the Ministry of Cooperatives and MSMEs.

The Indonesian Government plans to continue social assistance through the Family Hope Program (PKH) and the sembako / Non-Cash Food Assistance (BPNT) programs throughout 2021, with target beneficiaries of 10 million families and 20 million families respectively. Meanwhile, the Jabodetabek Cash Assistance and Cash Assistance for non-PKH, which have a target of 9 million families respectively, are planned to continue at least until June 2021, as explained by the Minister of Social Affairs on 5 November, after a ministerial meeting that discussed the possible evaluation of social assistance in the first-to-third quarters, progress in the fourth quarter and the plan for social assistance in 2021. Social assistance in 2021 will still be managed by the Ministry of Social Affairs and the Ministry of Villages, Development of Disadvantaged Areas, and Transmigration.

In another occasion, the Minister of Health shared an update indicating that the Government will maximize the use of social assistance programs such as the Family Hope Program (PKH) and Non-Cash Food Assistance (BPNT) to support stunting prevention in Indonesia. The Minister explained that the current rate of stunting in children under five years of age is at 27.6%, with the National Medium-Term Development Plan for 2020-2024 (RPJMN) at a target of below 20 percent. The COVID-19 pandemic situation has brought an adverse effect on achieving the goal, by limiting access to healthy food, disrupting family income and overwhelming health facilities.

The Pre-Employment Card Program is currently entering its 11th batch, which will accept around 382,000 individuals. In previous batches (1 to 10), a total of 36,044,167 people registered, and 5,597,179 selected people have benefited from the program. The Government allocated around IDR 20 trillion to reach the target of 5.6 million individuals. The program is implemented through seven digital platforms with 147 training institutions offering more than 1,534 trainings, and in collaboration with academics to maintain the training quality.

The Jakarta Provincial Government has extended the Large-Scale Social Restrictions (PSBB) transition to the new normal for another two weeks, until 22 November. The Governor highlighted the continuing trend of decreased average occupancy of isolation beds in the last two weeks, from 59 percent on 24 October to 56 percent on 7 November. Similarly, the average occupancy rate of ICU beds has declined from 62 percent on 24 October to 60 percent on 7 November. This data is compiled by the Provincial Government of Jakarta from 98 COVID-19 referral hospitals throughout the capital city. However, epidemiologists have warned that the daily number of COVID-19 tests in Jakarta fluctuates significantly.

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