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Stricter virus regulations put businesses in bind
The government announced on Wednesday that it would reimpose large-scale social restrictions (PSBB) on the two islands from Jan. 11 to Jan. 25 to combat a persistent rise in COVID-19 cases.
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Residents shop along the Tanah Abang skybridge in Central Jakarta. (JP/Seto Wardhana)
T
he government’s plan to impose stricter social restrictions throughout Bali and Java has put the nation’s suffering businesses in a bind as many recognize the justification for the move but all brace for yet another setback to the economy.
The government announced on Wednesday that it would reimpose large-scale social restrictions (PSBB) on the two islands from Jan. 11 to Jan. 25 to combat a persistent rise in COVID-19 cases. The measure will further limit the public activities of more than 140 million people, requiring 75 percent of employees to work from home and businesses and public places to limit their occupancy and operational hours.
Indonesian Chamber of Commerce and Industry (Kadin) deputy chairwoman Shinta Kamdani said that while business players understood the necessity of controlling the pandemic, the restriction would be only a short-term measure and would be counterproductive for the economic recovery.
“PSBB will definitely hamper the business recovery, especially on the island of Java, as the epicenter of the Indonesian economy,” she told The Jakarta Post on Thursday.
She expected the measure to particularly impact the retail, transportation, food, trade, accommodation and aviation sectors.
Shinta cited Statistics Indonesia (BPS) data showing that last year’s PSBB had impacted 29.12 million workers, more than 80 percent of whom had had their work hours or wages cut.
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