Contributing Industry 16.1 Percent Of The National GDP In 2022, The Ministry Of Industry Is Optimistic That The Economy Will Continue To Grow In 2023

Secretary General of the Ministry of Industry Dody Widodo. (Photo: Doc. Kemenperin)

JAKARTA - Industry performance grew positively in the third quarter of 2022. In this period, growth reached 4.83 percent or higher than the same period the previous year, which was 4.12 percent.

Secretary General of the Ministry of Industry, Dody Widodo, said the industrial sector is the main support for the Indonesian economy to date.

This is reflected in the manufacturing sector which contributed up to 16.1 percent of Indonesia's Gross Domestic Product (GDP) in the third quarter of 2022.

"In the third quarter of 2022, the industry's contribution to GDP reached 16.1 percent. National exports amounted to 70.8 percent," said Dody in his opening remarks at the 2023 Industry Outlook and Seminar at the Ministry of Industry Building, Jakarta, Tuesday, December 27.

In addition, the industrial sector has contributed an investment value of up to 41 percent until September 2022. The contribution of the industrial sector tax is quite large, reaching 29.4 percent.

"We hope that with the increase in income, the absorption of labor will increase, incentives will increase in supporting industrial development," he said.

Nevertheless, Dody said that there are a number of challenges that must be faced by Indonesia in 2023, namely the projected slowdown in global economic growth, rising interest rates, and the impact of the unfinished Russian-Ukraine war.

On the other hand, he also realized, Indonesia has enormous potential, especially regarding the size of the domestic market. This is reflected in the population of Indonesia which reaches 270 million people.

The Ministry of Industry has also made various efforts to maximize existing market potential, one of which is by launching an import substitution program and increasing the use of domestic products.

"In addition, the minister supports the President's direction, namely downstreaming. The direction is also for import substitution, increasing TKDN products, which of course is Pak Jokowi's program to be proud of using Indonesian products. These big things are the benchmarks for all of us. This outlook seminar will discuss the economic sector in the future. Today's inputs are to take good policies," he concluded.