The Effect of Legal Political Determination of Perpu Number 1 of 2020 on Financial Markets in Indonesia During the COVID-19 Pandemic

The purpose of this research paper is to overcome the impact the COVID-19 in Indonesia, the Government of the Republic of Indonesia has set Perpu No.1 of 2020 concerning State Financial Policies and Financial System Stability for Handling COVID-19 Pandemic. This paper uses a descriptive analysis method with a normative juridical approach, namely by explaining the politics of law in the stipulation of Perpu No. 1 of 2020 into Law, then analyzing its effect on the character of legal products contained in the Act. The data sources used in this paper are the 1945 Constitution of the Republic of Indonesia, Perpu Number 1 of 2020 which has been ratified into Law Number 2 of 2020, Legislation in the field of state finance, literature books, and several articles from print and electronic media. This paper concludes that the legal politics of establishing Perpu No.1 of 2020 into Act was born from a democratic political system and configuration, but the character of its legal products was conservative. The aim of the paper is to focus on the discussions related to the new regulations that have been made by the Indonesian government and analyse the impact resulting from the enactment of these regulations.