Bank Indonesia estimates that this year's national economic growth will be 3.5-4.3% from the previous 4.1-5.1% projection.

"Domestic economic growth is predicted to be lower than before after the spread of the delta variant of the COVID-19," said BI Governor Perry Warjiyo in a statement on Thursday (22/7).

According to Perry, as of the second quarter of 2021, the economy will continue to improve, mainly driven by increased export performance, fiscal spending, and non-construction investment.

The development of a number of early indicators in June 2021, such as retail sales and PMI, indicates that the domestic economy is still recovering.

"In the third quarter of 2021 economic growth will be lower in connection with the mobility restriction policy that must be taken by the government to overcome the increase in the spread of the delta variant of COVID-19," he explained.

The decline in growth was mainly due to h