Bridging the Financial and Real Sectors

Kompas/Priyombodo

Aerial photo of the Jakarta city landscape on the implementation of large-scale social restrictions (PSBB), Saturday (11/4/2020). There are eight sectors that remain active during the PSBB, apart from government.

The financial sector, namely banking, capital market, money market and bond market, is generally still experiencing growth during the pandemic, in both developed and developing countries.

Financial companies continue to perform well, despite experiencing a relative slowdown compared to before the pandemic. However, the real sector has generally suffered a heavy blow due to the cessation of production activities during lockdowns and a sharp fall in demand. As a result, unemployment has risen sharply in all countries as if these two sectors were separate, in turn leading to greater income inequality.