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Employers call for relief aid as govt mulls extending PPKM Darurat
The government is caught between a rock and a hard place as it mulls over extending the emergency restrictions, which could threaten businesses and jobs but also save lives amid Indonesia's second wave of COVID-19 infections.
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A child cycles past road barriers on July 4, 2021 along Jl. Al-Fathu in Soreang, Bandung regency, West Java. The central government is thinking of extending the emergency public activity restrictions (PPKM Darurat) to between four and six weeks, from the current duration of 18 days from July 3 to 20. (Antara/Raisan Al Farisi)
T
he looming extension of the COVID-19 emergency restrictions on travel and business activities could jeopardize Indonesia’s economic recovery, threatening businesses and workers alike, industry experts have cautioned.
Earlier this week, Finance Minister Sri Mulyani Indrawati told a House of Representatives hearing that the government was considering extending the emergency public activity restrictions (PPKM Darurat) from 18 days at present to between four and six weeks.
The PPKM Darurat was initially implemented with a view to remaining in place from July 3 to July 20, but the alarming surge in infections has raised doubts over its efficacy in reducing daily cases during that time frame.
Deputy chair Shinta Kamdani of the Indonesian Employers Association (Apindo) said it was uncertain how long businesses could survive while the emergency restrictions were in place. Small businesses typically did not have the financial resources to maintain their operations for more than four weeks, she said, especially amid a drastic fall in demand.
“We hope a PPKM Darurat of between four and six weeks can significantly reduce COVID-19 transmission. We really do not want the PPKM Darurat to last any longer [than that],” Shinta told The Jakarta Post by text message.
Unemployment in the country could return to last year’s level with businesses under pressure to operate at reduced capacity, Shinta noted, while adding that Apindo had not collected any relevant data yet.
Read also: GDP growth forecast slashed to 3.7-4.5% as pandemic worsens
