Governor of Bali Wayan Koster Asks the Central Government to Issue Specific Policies for Bali's Economic Recovery

  • 09 April 2021
  • 21:04 WITA
  • News
Governor of Bali Wayan Koster at the "Accelerated National Economic Recovery Workshop - Stakeholders Meeting" in Nusa Dua, Friday ,April 9, 2021

BADUNG, - Governor of Bali Wayan Koster asked for specific and spatial policies in an effort to restore the economy of Bali after the Covid-19 pandemic, especially in the tourism sector.

"For that I think it would be wise if the central government and the DPR have a specific policy for Bali," Koster said at the "Accelerated National Economic Recovery Workshop - Stakeholders Meeting" in Nusa Dua, Friday (April 9, 2021).

Governor Koster also hopes that all policymakers in the Republic of Indonesia, do not feel like 'exhausted after being thrown away' in dealing with the effects of the pandemic which caused a deep economic contraction in Bali.

"If the situation is normal, Bali will have a huge contribution to foreign exchange from the tourism sector. But now it is stuck, with perhaps the worst economic contraction in history," he explained.


"Tourism actors are very heavy. Many are laid off, laid off, are unable to pay salaries, some are not even operational. I am grateful that the Balinese people who do tourism are still patient, but we do not know how long this will last," he said.

He explained, during normal conditions in mid-2019, as many as 6.3 million foreign tourists came to Bali, which is equivalent to 39 percent of the total number of national tourists. This figure also means the amount of foreign exchange is 29 percent of the total foreign exchange of Indonesia's tourism sector.

"Not to mention for wisdom, where there are 10, 5 million people coming to Bali. So the economy is very dependent on tourism, and if normal our economic growth is always above the national average," he said.

The governor wants Bali tourism actors and their associated sectors to be given specific fiscal policies, which are specifically able to save the pillars of the Balinese economy.

"I appreciate the performance of the Center and the DPR for the recovery of Bali. And we specifically propose to disburse working capital to sectors that are badly affected by Covid-19, namely tourism, hotels and restaurants. Soft loans with low interest. I am sure, year 2023 when conditions improve, they will fulfill their obligations, because on average they are good people, very tax-compliant, "Koster said. 


He also encouraged the role of state-owned banks that are members of Himbara to become leaders for this.

Meanwhile, Minister of Finance Sri Mulyani Indrawati emphasized that the government through the Minister of Finance Regulation (PMK) Number 32/2021 concerning Government Guarantee Procedures for Corporate Business Actors through the Guarantee Business Entity appointed in the Context of Implementing the National Economic Recovery Program, wants banks to have the courage to lend funds. to micro, small and medium enterprises (UMKM).

According to her, PMK 32/2021 aims to make it easy for banks to provide loans, MSMEs also have the confidence to borrow money. It is all guaranteed because all risks will be taken by the government.

"This is all related to the ability, especially companies in the fields of hotels, restaurants, and accommodation or Horeka which have been quite heavily affected so that they can get a relaxed loan," She explained in front of business stakeholders in Bali.


Furthermore, the former Director of the World Bank invited all parties together to adjust instruments and policies in dealing with the impact of the pandemic. "We will continue to improve in the business sector with close cooperation, continue to calibrate and recalibrate. So that industry and banking will revive," She said.


According to the Minister of Finance, if all parties are together and in sync, 2021 will undoubtedly be better, especially since vaccination can be a momentum or a game changer.


"2021, we are better prepared to balance prokes and economic activities. We are optimistic for a better direction. We have seen the light in the dark alley, to recover with enthusiasm and not give up. We will help and fully support Solidarity through various efforts to defeat Covid-19. , "She said.


Still in the same place, answering the proposal of the Governor of Bali, Chairman of the Board of Commissioners of the Financial Services Authority (OJK), Wimboh Santoso said that state-owned banks aka Himbara (Association of State-Owned Banks) are ready to disburse working capital to sectors badly affected by Covid. -19 namely tourism, hotels, and restaurants, including in Bali Province which are priorities.


Bank Himbara refers to four state-owned banks, namely PT Bank Rakyat Indonesia Tbk (BRI), PT Bank Mandiri Tbk (BMRI), PT Bank Negara Indonesia Tbk (BNI), and PT Bank Tabungan Negara Tbk (BTN).


"The tourism, hospitality and restaurant sectors are priorities in Bali. Last night we had a meeting with Mr. Suahasil (Deputy Minister of Finance Suahasil Nazara, red) and the Managing Director of Himbara, starting to record all customers who belong to Himbara to roll out additional working capital," he said. 


Meanwhile, the Governor of Bank Indonesia (BI) Perry Warjiyo asked the Regional Development Bank (BPD) and national private banks to immediately lower their lending rates following the cuts in the main benchmark interest rate carried out by the central bank. This step is needed to encourage the recovery of the national economy which was affected by the Covid-19 pandemic.


"Now only BPD and other private banks. Come on, come on, come on, lower interest rates, so that we continue to boost our economy," said Perry.


For information, the workshop was initiated by the Financial Services Authority (OJK) to hold a meeting with the government and stakeholders to encourage economic recovery. This time it was done on the island of Bali after previously in Semarang and Surabaya. The speakers who attended were Chairman of OJK RI Wimboh Santoso, Minister of Finance Sri Mulyani Indrawati, Governor of Bank Indonesia Perry Warjiyo and Chairman of Commission XI DPR RI Dito Ganinduto and the Financial services industry. (Gix)