Bank Indonesia forecasts economic growth in 2022 to be in the range of 5.4-5.9%. This year, BI predicts it in the range of 4.8-5.8%.

"The synergy of policies by Bank Indonesia, the government and the relevant authorities, which are continuously enhanced, including the continuing structural reform policy, will accelerate the recovery of the national economy," Bank Indonesia said in the Indonesian Economic Report Book 2020, released on Wednesday (27/1).

The speed of Indonesia's economic recovery, in general, is influenced by the fulfillment of one main prerequisite and the effectiveness of the five policies. The main conditions to encourage healing are vaccination and community discipline's point in implementing the Covid-19 protocol.

BI is optimistic that in line with global economic recovery and improvement in domestic economic activity supported by positive developments in vaccines, domestic economic recovery will continue this year.

This optimism is supported by the strengthening of economic activity due to increased community mobility, even though the large-scale social restriction (PSBB) is still being enforced in some areas to prevent the increase in positive cases of Covid-19.

"This is a very important concern because it will affect human mobility, as well as goods and services," he said.

Five policy steps synergize with each other to support recovery, including opening up productive and safe sectors nationally and in each region, accelerating fiscal realization, increasing banking credit from the demand and supply side, sustaining monetary and macroprudential stimuli, and accelerating economic digitization,  and finance, particularly in the context of developing SMEs.

"The improving global economic growth will support the improvement of Indonesian exports which in turn will increase production and investment activities," he added.