Cranes silhouetted against the setting sun at Tanjung Priok port in Jakarta (Photo: Reuters)Hanoi (VNA) - Indonesia'seconomy contracted in the second quarter for the first time in more than twodecades as it was slammed by coronavirus restrictions, with warnings that therecovery could be among the weakest in Southeast Asia.
Output in the region's biggesteconomy slumped 5.3 percent on-year in April-June, the country’s statisticsagency said. That marked Indonesia's first contraction since the first quarterof 1999 during the Asian financial crisis.
“Economic activity in Indonesiacollapsed in the second quarter," research house Capital Economics said in noteafter the figures were published. "A failure to contain the viruseffectively and inadequate policy support means the recovery is likely to beone of the slowest in the region," it added.
Last month, Indonesia's central bankcut interest rates for the fourth time this year in a bid to boost thestruggling economy. The country has announced a stimulus package worth morethan 48 billion USD to help offset the impact of the virus, which forced alarge-scale shutdown that hammered growth.
Indonesia, home to nearly 270 millionpeople, has been easing movement restrictions in a bid to head off economiccollapse but COVID-19 infections are mounting, with cases topping 115,000 withand more than 5,300 deaths./.
Output in the region's biggesteconomy slumped 5.3 percent on-year in April-June, the country’s statisticsagency said. That marked Indonesia's first contraction since the first quarterof 1999 during the Asian financial crisis.
“Economic activity in Indonesiacollapsed in the second quarter," research house Capital Economics said in noteafter the figures were published. "A failure to contain the viruseffectively and inadequate policy support means the recovery is likely to beone of the slowest in the region," it added.
Last month, Indonesia's central bankcut interest rates for the fourth time this year in a bid to boost thestruggling economy. The country has announced a stimulus package worth morethan 48 billion USD to help offset the impact of the virus, which forced alarge-scale shutdown that hammered growth.
Indonesia, home to nearly 270 millionpeople, has been easing movement restrictions in a bid to head off economiccollapse but COVID-19 infections are mounting, with cases topping 115,000 withand more than 5,300 deaths./.
VNA
