IT IS estimated that 1,600 restaurants are threatened with closing if the Enforcement of Restrictions on Community Activities (PPKM) is extended. There are around 1,030 restaurants closed since the start of Large-Scale Social Restrictions or PSBB until October 2020.

According to  Indonesian Hotel and Restaurant Association (PHRI), Deputy Chairman for Restaurant, Emil Arifin, said that if this was extended maybe the permanent closure could be up to 1,600. They can reopen outlets if there is additional working capital from new investors or banks, or otherwise they will be permanently closed.

“In the Enactment of Restrictions on Community Activities (PPKM), there are 400 restaurants that are temporarily closed. The current uncertainty poses a threat to the business continuity of entrepreneurs. In the world, if it is not certain, it will be difficult to find investors, so if this is continued, we will be permanent, the result will be more layoffs,” he said.

He explained that a number of businessmen admitted to facing difficult pressures when PPKM began on January 11, 2021. Businessmen engaged in the mall, hotel and restaurant business sector felt that the company’s cash flow was very limited at this time.

Meanwhile, Chairman of PHRI Hariyadi Sukamdani on the same occasion said that we hope that this limitation will be enforced, especially in relation to operational hours later on after January 25, it can be increased, not limited to this.

“I hope that after the PPKM regulation lasts for this week, the government can evaluate and give a number of concessions to malls, retails, and hotels and restaurants that have implemented strict health protocols,” he noted.

He added that the concession included allowing the business sector to continue operating until 9:00 p.m. with a maximum eating capacity of 50%. I also suggest that the PPKM, which was implemented on January 11-25, 2021, should not be extended again, considering that shopping centers or malls, tenants and modern retail stores have implemented strict health protocols. [ traveltext]