EVEN as Jakarta scales back Covid-19 restrictions, economists have moderated their growth expectations.

In an Oct 11 note, Citi economist Helmi Arman noted that the psychological impact of rising infections may have hurt consumer behaviour in early October, with the Google Mobility Index showing a pullback in visits to retail and recreation sites, back to the lows of June 2020.

"Going forward, we remain of the view that economic activity could still see oscillations in coming quarters along with the rise and fall of the infections curve. This will dampen private capex and also push back the return of GDP to pre-Covid levels," he said.