China’s relaxation of Zero Covid policy and its impact on Indonesia’s economy

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(Source: Instagram @haberanadolu.net_)

Jakarta, IO – The Chinese government has relaxed its stringent Zero Covid policy as it enters a “new phase” in the way Covid-19 outbreaks are handled and the spread of Omicron variant is considered less lethal. The easing will have a positive impact on Indonesia’s economy, said Bank Mandiri chief economist Andry Asmoro as exports and tourism sectors will benefit from the normalization of economic activity in China.

China is one of Indonesia’s main export destinations, accounting for a quarter of Indonesia’s total exports. “So China’s reopening will have a significant positive impact on the Indonesia’s economy,” he said at Mandiri Investment Forum (MIF) 2023 pre-event conference, reported Katadata.

Before the pandemic, more than 2 million Chinese tourists (13 percent of total foreign arrivals) visited Indonesia. The is hope that the return of Chinese tourists will spark the revival of Indonesia’s tourism sector. China has allowed its citizens to travel overseas from January 8.

Read: Health Ministry readies 9.3 million second booster Covid-19 vaccines

On Sunday (22/1), Indonesia resumed direct flight to China. As many as 210 passengers from Shenzhen landed at Bali’s I Gusti Ngurah Rai International Airport. The government has set the target to welcome more than 250,000 Chinese tourists in 2023.

“We hope to exceed this target and hope the tourism figures can approach the level of 2019,” said Tourism and Creative Economy’s deputy for marketing Ni Made Ayu Marthini as reported by Antara. (bp)