ArticleImpact of 2023 Economic Recession, a New Threat for the Church?

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Ruth Natasya N.S.
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6 minutes - 7 February 2023

Erista: Church Management Software made in Indonesia

The impact of the 2023 recession on churches and church applications can be the solution - Unrealized, time flies so quickly. Now, 2023 has entered. Rumors about an economic recession in 2023 have been heard since 2022. The threat of a global economic recession appears to be in sight. That is what makes 2023 not an easy year for Indonesia and the world.

This is the same as the warnings and information that President Joko Widodo often gives in his speeches. The President said about the food and energy crises that threaten all countries in the world, including news that predicts that "the world will get darker" in 2023. The president's words are also supported by existing data and facts.

What is an Economic Recession?

An economic recession is a condition when a country experiences a downturn or economic crisis. This crisis condition affected the overall economic condition and gave effect to other sectors.

The understanding of experts says that a recession can occur when a country's economy experiences an increase in unemployment, a decline in retail, employment, negative gross domestic product (GDP), and negative real economic growth for two consecutive quarters.

What Causes an Economic Recession?

Inflation

The impact of the Covid 19 pandemic that occurred yesterday was economic inflation. Inflation is a condition where the price of goods rises continuously. This increase in prices had an impact on weakening people's purchasing power which would later be followed by a decrease in the production of goods and services. If left unchecked for a long time, this will result in high unemployment due to mass layoffs (PHK), poverty, and a recession.

Excessive Deflation

Apart from inflation, the impact of the Covid 19 pandemic is deflation. Deflation is a condition in which the prices of goods and services fall from time to time which ultimately results in a decrease in the wages paid. If allowed to continue, this could lead to an economic recession.

Technological development

Technological progress is one of the factors causing an economic recession. This can happen because of a decline in jobs that have been replaced by leading technologies such as Artificial Intelligence (AI) and robots. As a result, employment will decrease dramatically and make the unemployment rate increase. An increase in unemployment resulted in a decrease in GDP and resulted in economic inflation.

What does the economic recession have to do with the church?

The church is a place of worship, communion between humans and God as well as between human beings. All human struggles, complaints and complaints, the church is a place or house of intermediaries to convey all human problems to God. Therefore, the economic recession is closely related to the church.

How Does the Economic Recession Impact the Church?

The recession had a big impact on all fields including the church. The following are some of the impacts felt by the church during the economic recession:

The economic recession has caused many members of the church to lose their jobs

An economic recession can make companies lose money and go bankrupt. This makes a company must cut operational costs and close unprofitable business areas. One of the impacts of these cuts is to increase employee efficiency (PHK). Many church congregations may be affected by this layoff. This has an impact on the activities of the congregation to the church. In this case the church's function is to strengthen, strengthen, and pray for the congregation affected by this layoff.

The economic recession created a lack of funds for the church's income

The many layoffs that may be experienced by church congregations also create a lack of offering funds that they want to give to the church. This results in a lack of church income. The lack of church income has an impact on hindering the construction and development of churches. The church must have a solution to deal with this problem.

The economic recession hampered ministry in the church

The impact of the recession is that it has hampered some services in the church. This is because many congregations have been laid off so they have become stressed and locked themselves in, not wanting to serve in the church. In this case the church has a role to support and raise the spirits of congregations affected by the economic recession.

How the church can prepare for an economic recession?

Before it happens, this economic recession can still be prevented. Here are some ways that the church might be able to apply in dealing with an economic recession:

Minimizing church expenses

In facing the economic crisis, the church must minimize existing expenses. This can help the church avoid crises and church activities can continue to run well.

Set aside anticipation funds

By setting aside funds for anticipation can help the church to prevent inflation. The church has a reserve fund if it is true that an economic crisis will occur, the church does not need to worry anymore because it already has a reserve fund.

Get closer to the congregation through the church application

With the small group feature in the church, churches and congregations can connect more closely, can share, share information and discuss anything, one of which is the issue of the impact of the 2023 recession and other issues that can hamper activities, church growth and mental shocks that experienced by the congregation as a result of a problem. With this media they can help and strengthen each other, exchange ideas to create solutions to problems.

The role of church management software for the church in the coming hardship

One of the benefits of using a church management software is to reduce burden. When church is facing hardship or struggling in everyday activities, that is the most important moment the church need to realize the need of a church management software. Erista is a church management software that the church can make use of in times of hardship, because Erista can be used for free forever.

Interested to try Erista? Try Erista now free today!

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