The Impact of the Covid-19 Pandemic on the Economy of Rural Communities in Indonesia

The Impact of the Covid-19 Pandemic on the Economy of Rural Communities in Indonesia


The corona virus or Covid-19 was first discovered in Wuhan, China at the end of 2019 and this virus quickly spread to other countries in the world, including Indonesia. This pandemic has a significant impact on various sectors of life, including the Indonesian economy, which is also affect

The corona virus or Covid-19 was first discovered in Wuhan, China at the end of 2019 and this virus quickly spread to other countries in the world, including Indonesia. This pandemic has a significant impact on various sectors of life, including the Indonesian economy, which is also affected, in a very difficult situation, there will be an increase in the number of poverty rates.

The community's economy has undergone very drastic changes in the midst of the Covid-19 pandemic as it is today, a lot of people are going through difficult times. This pandemic is slowly making many people have to try hard to stay alive. With the spread of the Covid-19 pandemic and the increasing number of people infected with the virus, the government has implemented Large-Scale Social Restrictions (PSBB).

Many groups of people who experience a decrease in income, even have to lose their livelihood. This condition is estimated to have the potential to increase the number of poor people in Indonesia. In conditions like this, it does not only attack the economy of the people in big cities, but this condition also attacks the rural economy.

For some people, it is not easy to survive in the midst of the Covid-19 pandemic. Hunger is definitely a scourge for their lives. Even recently, Indonesian citizens have been shocked by sad stories that are heart-wrenching and so sad to watch. This condition is certainly very worrying and invites compassion for those of us who witness the many portraits of poverty that continue to grow from day to day.

Therefore, in response to these conditions the government issued a number of aids. One of them is using village funds to use social assistance for people affected by the corona virus pandemic, people belonging to the poor and also channeled to unemployed people. In addition, the government has also issued a policy so that village funds are used to encourage the village economy by opening up opportunities for labor-intensive jobs. This step is intended to empower the affected community and stabilize the economy of the community in the village due to the corona virus pandemic.

 

The existence of this assistance encourages the flexibility of the village government to move creatively and innovatively in utilizing the potential of available natural and human resources to become commodities that can maintain the basic needs of the community and generate profits for the village so as to create village independence.

The use of village funds for each region will be different depending on the characteristics of each region and the number of people affected, so it will depend heavily on local wisdom. The social assistance provided by the government through village funds can be used to be given directly to the affected community and used to develop the village economy in the midst of the corona virus pandemic.

Various policies have been made by the Indonesian government in dealing with the current COVID-19 pandemic. The policies that are implemented also directly have a positive impact but on the other hand can also have a negative impact, one of which we can know today is the decline in economic growth in Indonesia

The most visible impact is the number of employees who have been laid off in various sectors. Therefore, the government seeks to provide assistance through regional apparatus or through village apparatus to channel funds provided by the government to the community and it is hoped that in the future it can help people who are greatly impacted by this outbreak and can be used in creating creative ideas that can restore the community's economy.