IMF’s Economic Outlook vs. Effects of Job Creation Law

The International Monetary Fund (IMF) predicted the worst for the Indonesian economy. In its recent report titled "A Long and Difficult Ascent," the IMF revised its view on the world economy in 2020 saying that will only contract 4.4 percent. The figure was better than the projection in April, at 4.9 percent. However, the IMF projected that Indonesia's economic growth to be minus 1.5 percent, deeper than IMF’s projection in June 2020 at minus 0.3 percent throughout 2020.

Meanwhile, the recovery of the global economy was closely related to China's economy, growing beyond expectations. "The global economy started to climb from the depths to which it had plunged in April. But, as the pandemic is still spreading, the global economy’s long ascent back to pre-pandemic levels of activity remains prone to setbacks,” IMF wrote in the report.