Jakarta extends social distancing measures till July 30 as coronavirus cases surge

JAKARTA (BLOOMBERG) - Indonesia's capital will remain under some social distancing rules for two more weeks after new coronavirus cases surged since the easing of a partial lockdown a month ago.

The transition period to completely exit a so-called large scale social distancing rules to contain the virus will be extended to July 30, Governor Anies Baswedan said in a message posted on YouTube on Thursday (July 16).

The city, which last month allowed offices, places of worship, restaurants and shopping malls to reopen in phases with some limits, was set to lift the remaining restrictions on Friday.

Jakarta, home to more than 10 million people, has remained one of Indonesia's virus hot spots with the gradual easing of social distancing rules allowing most economic activities to resume, fuelling a surge in infections.

The continuation of curbs may hit a nascent recovery in South-east Asia's largest economy, forecast to expand at the slowest pace since the Asian financial crisis.

The capital reported 312 new cases and seven deaths in the past 24 hours, official data showed on Thursday.

The number of confirmed cases have almost doubled to 15,636 since the administration allowed business activities to resume, with the cumulative death toll reaching 713. The pandemic has claimed almost 3,900 lives in Indonesia and infected 81,668 people, the most among South-east Asian nations.

A ramp-up in testing and contact tracing has shown a spike in the positivity and reproduction rates of the virus in the capital, prompting the authorities to keep the curbs, Mr Baswedan said.

The reopening of movie theatres and indoor entertainment venues will be delayed until conditions improve further, he said.

"We have to be more serious in upholding health protocols," he said.

"All activities must be conducted at half capacity."

With the virus infecting more people, President Joko Widodo plans to soon issue a rule to fine violators of social distancing rules.

Jokowi, as the president is known, has pointed to reluctance among Indonesians to wear masks as a key reason for the spread of the disease.

The pandemic has battered Indonesia's economy, spurring policy makers into action with almost US$50 billion (S$70 billion) in fiscal stimulus.

On Thursday, Bank Indonesia cut its benchmark interest rate for a fourth time this year to bolster economic growth. Mr Joko has said the pandemic is having a bigger impact on the nation than the Asian financial crisis more than two decades ago.