Financial impact of COVID-19: non-pharmaceutical interventions in Indonesia
by Ana Noveria; Muhamad Fikri
International Journal of Monetary Economics and Finance (IJMEF), Vol. 16, No. 3/4, 2023

Abstract: The COVID-19 pandemic is a global crisis that has influenced everyone's daily life and the business sector. The Indonesian government has implemented policies to control the spread of the pandemic. These policies, including large-scale social restrictions (LSSR), emergency public activity restrictions, and economic support, have affected the investors' reactions. Therefore, this research aimed to investigate how the government policies regarding the COVID-19 pandemic influence the stock returns on the Indonesia Stock Exchange (IDX). The results showed that policies on closures of public places negatively affect stock returns. However, the economic support from the government positively affects the stock returns. This study contributes to the literature on the effect of government response to the COVID-19 pandemic on the stock returns. The results could also be used as considerations for the government in making policies to prevent the future spread of the COVID-19 pandemic and mitigate the adverse impact on the business sector. Additionally, investors could consider the result in making decisions on responding to announced policies.

Online publication date: Tue, 04-Jul-2023

The full text of this article is only available to individual subscribers or to users at subscribing institutions.

 
Existing subscribers:
Go to Inderscience Online Journals to access the Full Text of this article.

Pay per view:
If you are not a subscriber and you just want to read the full contents of this article, buy online access here.

Complimentary Subscribers, Editors or Members of the Editorial Board of the International Journal of Monetary Economics and Finance (IJMEF):
Login with your Inderscience username and password:

Username:        Password:          Forgotten your password?

Want to subscribe?
A subscription gives you complete access to all articles in the current issue, as well as to all articles in the previous three years (where applicable). See our Orders page to subscribe.

If you still need assistance, please email subs@inderscience.com