Airlangga Affirms The Government Has Prepared Strategy Steps In Maintaining Economic Growth

Coordinating Minister for Economic Affairs (Menko) Airlangga Hartarto. (Photo: Doc. ANTARA)

JAKARTA - The Indonesian economy is still able to record good growth in the midst of various global conditions that are full of challenges.

This growth was supported by strong household consumption, which in the third quarter of 2023 grew 5.06 percent (yoy) and investment rose 5.77 percent (yoy).

In addition, there are also two sectors that managed to grow double digits in the third quarter of 2023, namely the transportation sector by 14.7 percent (yoy) and the sector related to tourism 10.9 percent (yoy).

Coordinating Minister for Economic Affairs Airlangga Hartarto said Indonesia's inflation rate was well controlled thanks to strong coordination between related institutions. Where each week always track and check commodity prices in each region, including how they maintain logistics costs in their respective regions.

"We learn from the previous Covid pandemic, how to make each district/city compete in dealing with the pandemic so that it becomes the best, as is the case in handling this inflation," said Airlangga in his official statement, Wednesday, December 13.

Airlangga said that while trying to increase domestic demand, the government has realized and was aware of global economic challenges that could hamper the performance of the national economy.

"So, to maintain the prospect of growth and mitigate all challenges in the future, we have prepared a series of strategies," explained Airlangga.

In the short and medium term, the Government's main strategy is to increase household consumption, encourage investment, accelerate exports, which are carried out through strong coordination between fiscal, monetary and real sectors.

Airlangga said, among the things that had been done, namely the Central Inflation Control Team (TPIP) and the Regional Central Inflation Control Team (TPID) which implemented a strong policy and coordination mix so that they managed to control inflation.

"We have also followed up on Presidential Decree Number 24 of 2023 concerning the National Export Increase Task Force through strengthening export supply, diversifying export markets, strengthening financing and international cooperation, and developing MSME exports," said Airlangga.

From a long-term perspective, 2024 will be an important foundation year before the implementation of the 2025-2045 National Long-Term Development Plan (RPJPN).

A transformative development approach will be carried out to achieve the vision of Indonesia Gold 2045.

The government will continue a series of policy strategies in increasing sustainability through accelerating energy transitions, developing an electric car ecosystem, and building carbon storage.

Then increase productivity through digital innovation and continue reform and structural transformation which includes accelerating infrastructure projects in connectivity, improving institutional quality, implementing the Job Creation Act, and industrializing.

Airlangga is also optimistic about the positive step in accessing Indonesia's membership in OECD, that Indonesia will become the first ASEAN country to become an OECD member.

"This membership will bring several benefits, including improving reputation and transparency, high policy standards, and increasing investor confidence in Indonesia, so that our target is to be able to get out of the middle income trap," concluded Coordinating Minister Airlangga.