Several countries, including Indonesia, are starting to reopen their economies and relax pandemic prevention as an effort to recover from the contraction caused by COVID-19. Even though the peak of the pandemic and its resolution are still uncertain, Indonesia has decided to gradually revive the economy by easing Large-Scale Social Restrictions (PSBB) towards a "new normal". To date, the pandemic has had an impact on all aspects of the economy along with global supply chain disruptions and weakening demand. A decline in consumption and investment cannot be avoided. Furthermore, exports fell significantly while imports fell further. This condition reflects the gloomy economic prospects in the near future because the fall in imports, which are dominated by raw materials and capital goods, signals a contraction in the real sector. In addition, inflation remains low and under control because the decline in demand reduces inflation originating from increases in production costs.

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