Indonesian Government Monetary Policy in National Economic Recovery (PEN)

Abstrak

The Covid-19 pandemic has caused the Indonesian economy to become unstable, both micro and macro, and has even put Indonesia on the brink of recession. Economic instability during the pandemic caused the realization of Indonesia's economic growth to be very low, even the lowest since the 1998 monetary crisis, so the government designed monetary policy in implementing the national economic recovery program. This study aims to determine the monetary policies implemented by the government to overcome the economic crisis that occurred during the pandemic. The method used in this research is qualitative, the type of research is library research. Data is taken from journals, books, national news, official government websites that publish information that supports research. In restoring economic activity, the government took steps through the National Economic Recovery Program (PEN) with three policies, namely increasing domestic consumption, increasing business activity, and maintaining economic stability and monetary expansion. PEN is carried out through four modalities and state spending, namely state capital participation (PMN), placement of funds, government investment, and guarantee activities with a scheme determined by the government.