Fajarasia.co – It is believed that the Indonesian economy will improve due to increasing investor confidence, which is driven by the trust of Indonesia to hold the G20 Presidency for the first time.
“The trust in Indonesia as the organizer of the cooperation forum for the 20 major world economies has shown high investor confidence,” said economic observer from the University of North Sumatra (USU), Wahyu Ario Pratomo in Medan, Saturday.
According to him, the G-20 Presidency also provides more opportunities to promote investment opportunities in Indonesia and North Sumatra, especially where it is one of the meeting locations.
The government’s efforts to promote investment opportunities in accordance with the potential of Indonesia’s abundant natural resources, he said, are believed to be successful.
Moreover, the government has prepared a superstructure, through regulations that support investment such as Law No. 11 of 2020 concerning Job Creation, as well as more complete infrastructure development such as toll roads, energy availability, and ports.
According to Wahyu, who is a lecturer at the USU Faculty of Economics and Business, the economic revival has seen improving in the first quarter of 2022 compared to the same period the previous year.
In North Sumatra, for example, in the first quarter of 2022, economic growth reached 3.90 percent year on year (yoy). In the first quarter of 2021, the economic growth was minus 1.85 percent.
The increase in the economy was due to the increasing mobility of the people and public trust in active activities in the economy along with the decline in cases of the spread of COVID-19.
The increase in economic transactions in North Sumatra, said Wahyu, was also supported by an increase in “online” transactions and digital payments during the COVID-19 pandemic.
Restrictions on people’s movements and the inconvenience of using cash during the COVID-19 pandemic have caused some people to be more comfortable using online/digital transactions.
The increasing trend of digitization is reflected in the rapid use of electronic money and e-commerce transactions.
The expansion of the use of digital transactions is also increasingly widespread for transactions related to regional revenues and regional expenditures such as regional taxes/retributions, transportation modes and others.
Wahyu said, Bank Indonesia noted that in the fourth quarter of 2021, the nominal value of e-commerce transactions in North Sumatra was Rp. 9.38 trillion, or grew 56.58 percent yoy.
The people of North Sumatra are increasingly accustomed to using “electronic commerce” in economic transactions to meet their daily needs.
“Welcoming the COVID-19 endemic period and the May 20 National Awakening, it is believed that the economy in North Sumatra will run better, through the restoration of investor confidence to invest,” he said.****
