The government is committed to complete the goals and
achievement of RPJMN (Medium-Term National Development Plan) 2010-2014 before
the end of the term of office of the president.
So far,
there has been a lot of development achievements completed, even though there
are some shortcomings that need to be continually improved. But, the government
is optimistic that its effort will be successful. For example, the Human
Development index that has successfully been improved. Enrollment rate to
Elementary, Secondary, and High Education showed a satisfactory realization.
Life Expectancy Rate continues to increase, even the Government is optimistic
that it will be able to reach the target in 2014.
Infant
mortality and maternal mortality rates continue to decline, even Indonesia is
an example of success of a country who is able to significantly reduce
tuberculosis patients, either through early detection on treatment.
The
ability to increase national productivity has shown real results. This is
reflected in the increase in per capita income as well as the growing number of
middle class in this country. In 2004, our GDP per capita amounted to USD 1,177.
In 2009, it was successfully increased to USD 3,592 last year. With hard work,
it is expected that by the end of 2014, the GDP per capita will be close to USD
5,000.
In
Southeast Asia, Indonesia is committed to ensure the readiness toward the
establishment of ASEAN Community by 2015 through three pillars, namely
political and security pillar, economic, and socio-cultural pillars. Indonesia
is also actively engaged the community can provide benefit and welfare for all.
2013 is
a very important and special year for Indonesia. After nearly 20 years,
Indonesia will become the chairman and host of the Asia-Pacific Economic
Cooperation (APEC) summit meeting in Bali in October. The theme of the APEC
meeting under the chairmanship of Indonesia is “Resilient Asia-Pacific, Engine
of Global Growth”.
At the
end of this year, Indonesia will host two other important meetings, i.e. the
World Cultural Forum and the World Trade Organization (WTO) ministerial
meeting. In this regard, the President invites all elements of the nation to
participate in the success of this important event. Indonesia’s international
contribution is also reflected through its role in world peacekeeping missions.
Indonesia has become one of the major contributors to a number of UN peacekeeping
missions.
Indonesia’s
strategic role is also reflected in the appointment of Indonesia by the UN
Secretary General to lead the panel in charge of preparing the agenda of the
post-MDGs development. Together with the Liberian President, Ellen Johnson Sir
leaf and British Prime Minister, David Cameron, the Indonesian President has carried
out the mandate, and the final report of the Panel has been submitted to the UN
Secretary General at the end of May 2013 in New York.
Indonesia
actively fought for the establishment of a global partnership so that the world
can come together to eradicate poverty in the framework of sustainable growth
with equity.
Furthermore,
the President stated that there are four important things that need to be
observed at this time. First, the importance of the ability to manage the
economy in the midst of uncertainty and the global economic slowdown. Second,
the importance of maintaining harmony and tolerance. Third, the importance to
succeed the 2014 general election and leadership succession in a democratic and
peaceful way. Fourth, the importance of constantly maintaining sovereignty and
integrity of the Republic of Indonesia territory.
Concerning
Indonesia’s ability to maintain and manage the national economy, when we look
back at the national economy after the 1998 crisis, the President is grateful
that the national economy continues to grow sustainably. People’s purchasing
power continues to increase, the middle class is growing significantly, fiscal and
monetary stability in maintained, and national economic fundamentals are
getting stronger.
A
number of external shocks, ranging from the world’s crude oil price hike and
the financial and global economic crisis, can be successfully overcome. The
economy grows in the range of 5%-6%, the business sector in developing,
unemployment decreases, and poverty rate can continuously be reduced. All these
achievements happened simply because the government has successfully unite
commitments to find solutions to any problems encountered in international
forums, both regional such as ASEAN and APEC, as well as multilateral forums
such as the G20.
The
president is often asked by many parties about the recipe that we have so that
we can with-stand the global economic crisis of 2008-2009, and even our economy
grew impressively. “I replied that Indonesia’s economic management always
prioritizes the principle of prudence, by maintaining a measured expansion
space. In many countries hit by the financial and economic crisis, these two
things are often contested, or become a trade-off. Besides that, I also convey
that Indonesia’s economic development is also supported by improving business
climate, political stability and security, as well as the massive movement of
entrepreneurship.
The
principle of prudence in managing the economy is also reflected in our
commitment and ability to maintain fiscal health. State revenue is continuously
improved, spending is controlled, and fiscal deficit to Gross Domestic Product
is kept below 3%. The government also continues to encourage the strengthening of
the domestic market and purchasing power through what is called “Keep Buying
Strategy”. The strategy is to maintain and improve “affordability of
consumption” both in terms of price and income of the people. The policy that
has been pursued since 2004 has proven capable of strengthening the capacity of
the domestic market as the key driver of economic growth.
Since
2011, through the Master plan for the Acceleration and Improvement of Indonesia’s
Economy (MP3EI), the government has committed to accelerate infrastructure and
connectivity. The results are beginning to be visible. A number of large-scale
infrastructure projects are being done in various regions of the country. This
was achieved through good collaboration between the central government and
local government, state enterprises, business, and society.
The
goal of it all was the establishment of a national connectivity which in turn
will encourage industrialization and down sterilization. Our economy will also
be more efficient, more competitive, and more evenly distributed throughout
Indonesia. All of these recipes have been proven capable of making Indonesia as
one of world’s major investment destinations, with an investment–grade
predicate. Investment flow outsider Java continues to increase. This will
ensure the availability of job opportunities which are more evenly distributed,
and a broader welfare improvement.
Business News - August 21, 2013
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