Most Indonesians will get to enjoy a five-day weekend at the end of the month after the government announced extra holidays in a bid to boost travel and consumption.
(Bloomberg) — Most Indonesians will get to enjoy a five-day weekend at the end of the month after the government announced extra holidays in a bid to boost travel and consumption.
President Joko Widodo declared June 28 and 30 as collective leave days around the Eid al-Adha holiday on June 29, effectively giving Indonesians an extended break. The leave days apply to all civil servants, with companies usually following suit by giving their employees time off. The stock exchange will be shut on those days.
“The holiday break should encourage the economy, especially in the regions and local tourism areas, to be better. Because we saw that it could be extended, that was what we decided,” Jokowi, as the leader is popularly known, said on Wednesday.
It’s not the first time Jokowi turned to uncommon tactics to drive consumer spending in Southeast Asia’s largest economy. Not long after the government lifted all virus curbs, he ordered local authorities to approve permits for concerts and sports events to get people going out more. During the pandemic, he urged Indonesians to shop online.
Consumption is a pivotal growth engine in Indonesia, accounting for more than half of domestic output. High prices and sluggish job creation post-pandemic have started to weigh on spending and retail sales, with weaker-than-usual activity seen during the end of Ramadan, typically the nation’s busiest holiday.
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