Indonesia: Pandemic-hit economy shrinks 2.07% in 2020

JAKARTA, Indonesia

Indonesia's economy contracted 2.07% in 2020 amid the coronavirus pandemic, according to official data released on Friday.

The country’s economy narrowed 2.19% on a year-on-year basis in the fourth quarter of the year, the Central Bureau of Statistics said.

On a quarterly basis, the economy lost 0.42% in the final quarter.

In 2019, Indonesia’s economy grew 5.02% on an annual basis.

Suhariyanto, head of the statistics bureau, said the contraction was solely due to the impact of coronavirus restrictions.

Last year, Indonesia’s economy was mostly supported by government spending, which grew 1.9%, while household consumption, investment, and exports declined, according to the agency.

Indonesia has recorded over 1.1 million coronavirus cases and more than 30,000 fatalities to date.

The country started a vaccination drive for 1.4 million health workers last month and plans to expand it to all citizens by mid-February.