Indonesia Economic Resilience and Economic Recovery Effort Post Pandemic of Covid-19 Muhammad Handry Imansyah
Faculty of Economics and Business
Lambung Mangkurat University
Abstract
Pandemic covid-19 made world economic shock as well as Indonesian economy. This shock affected and maybe will remain long time. Nobody knows how long this pandemic will end. The objective of this paper is to examine financial vulnerability and economic resilience due to pandemic covid-19 shock in Indonesia. Examining these conditions, one can evaluate how strong Indonesian economy hit by the pandemic covid-19 and how long Indonesian economy can survive. The methodology used in this study are the examination of macroprudential indicators and economic resilience developed by UNDP, Bureau for Development Policy (2011) and Klimek et al. (2019). The result of the study shows that Indonesia financial vulnerability is moderate condition, even though some indicators behave abnormal indicating potential currency crisis. Meanwhile, Indonesian economic resilience is quite good toward the pandemic covid-19. However, during the pandemic covid-19, Indonesian economic resilience declined as macroeconomic stability deteriorated significantly. It is recommended that health problem should be carried out first by decreasing the incident of positive covid-19. Tracing and massive test to suspected people should be the priority to slow down the spread of covid-19. Economic will be started after the slow down of covid-19.
Keywords: Macroprudential, Economic Resilience, Pandemic of Covid-19
