Almost all countries in the world are being hit by the Covid-19 pandemic, including Indonesia. The Indonesian government is trying to take steps to improve the welfare of its people in the midst of this pandemic situation. This paper aims to analyze how the state responds to the impact of Covid-19 and how community development is being carried out in the face of Covid-19. This paper uses descriptive qualitative research with literature study methods related to government policies for the welfare of the community in the Covid-19 pandemic which is associated with the state response and the community development process in Indonesia. The results of this study show that the state's response is through issuing health protocol regulations, providing assistance to reduce electricity rates, distributing basic foodstuffs, and cash. The state also improves emergency response mechanisms, conducts outreach, involves the community, conducts tracing intensively. The state also faces obstacles, however input from the public and global organizations is used as evaluation material which makes further response increases. Meanwhile, community development in dealing with Covid-19 is carried out through active and sustainable community strengthening based on the principles of social justice, cooperation and participation from the community in making it happen.

Keywords: State Response; Community Development; Covid-19