Bappenas Says RI Enters Middle-Income Countries To Be Announced In June 2024

Rupiah illustration (Photo: dock. Antara)

JAKARTA - The Ministry of National Development Planning/National Development Planning Agency (PPN/Bappenas) stated that Indonesia's official announcement may fall into the category of upper middle-income countries in June 2024.

Acting (Plt) Deputy for Regional Development of the Ministry of National Development/Bappenas Dewi Virgiyanti stated that a country that is included in the lower middle income category will find it difficult to move up to the developed country category because of the middle income trap (middle income trap).

The World Bank has set a threshold for upper-middle-income countries of 4,466 US Gross National Income (GNI). Meanwhile, Indonesia has reached 4,580 US dollars by 2022.

"We are now an upper-middle-income country, which will only enter June, maybe declare around June will become an upper-middle country. Yesterday it was middle-up, then it fell because COVID-19 was back in the lower middle," he said, quoting Antara.

According to him, in order for Indonesia to become a developed country, it is necessary to immediately identify various potential sources of growth. This needs to be done because to become a developed country, it is necessary, among others, economic growth of 6-7 percent per year as targeted by Indonesia Emas 2045.

"We have to grow 6-7 percent per year, we can no longer get used to it like now, around 5.1-5.4 percent. So this must grow faster to be exponential in the future," he said.

Since 1993, Indonesia is said to have entered into a country with the category of lower middle income countries. This means that the country has been included in this category for 30 years.

"So, it's been a long time to start moving into a developed country. So for that, in the context of Indonesia as a whole, we want to do a lot of transformation, especially in the 2025-2045 RPJPN (National Long-Term Development Plan) in our development for the next 20 years, namely towards Indonesia Gold 2045," said Dewi.