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View all search resultsUp to 30 percent of Jakarta's restaurants could close down: PHRI
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T
he Indonesia Hotel and Restaurants Association (PHRI) predicts that up to 30 percent of restaurants will close down as a result of phase II of the large-scale social restrictions (PSBB) in Jakarta.
The PSBB phase II, which involves reimposing stricter social restrictions, including banning dine-in services at restaurants, has been in place from Sept. 14 until Oct. 11.
“Currently, 50 percent of tenants in malls are restaurants. If people cannot dine-in at restaurants, they could slash 70 to 80 percent of their employees. There is this one restaurant that used to earn between Rp 12 million [US$814] and Rp 15 million a day, but now only earns Rp 500,000 a day now. So many think it’s better to just close down their businesses rather than ‘bleed to death’,” PHRI deputy head Emil Arifin said Saturday as quoted by tempo.co.
He added that up to 20 to 30 percent of the 5,000 existing restaurants could close.
“The most severe impact has been experienced by stand-alone restaurants,” he said.
He predicted that the total losses suffered by restaurants during PSBB phase II could reach Rp 20 trillion.
“One restaurant alone can suffer Rp 100 to 150 million in losses a month, excluding those operating in Jakarta’s satellite cities,” Emil said.
