JAKARTA - Member of Commission XI DPR RI Marwan Cik Asan reminded that the middle class is the main pillar of the national economy and the foundation for realizing Indonesia Gold 2045.
"The middle class is not just a group of people who enjoy a better standard of living, but the main pillar of the national economy," Marwan said in his statement in Jakarta, quoted by Antara, Wednesday, September 3.
Marwan also referred to the middle class as the driving force for consumption, the largest contributor to tax revenues, as well as driving economic stability in Indonesia.
According to him, the role of the middle class cannot be underestimated because household consumption contributes more than 50 percent of Gross Domestic Product (GDP).
In fact, said Marwan, based on data from the Central Statistics Agency (BPS) of the middle and almost middle class, they both contributed more than 80 percent of the total national household consumption.
"This means that any strengthening or weakening of the purchasing power of the middle class will have a direct impact on economic growth," he said.
However, middle class group revenues do not grow as fast as living needs such as education, health and housing costs which have continued to increase in the last two years.
According to him, the number of Indonesian middle classes has decreased, while the middle vulnerable groups continue to grow at this time.
Based on World Bank data, social mobility and above is starting to slow down. According to Marwan, this can keep the hopes of realizing Indonesia Gold 2045.
"If this trend is allowed, the target of Indonesia Gold 2045 will be further away from expectations," he said.
Therefore, according to him, maintaining the purchasing power of the middle class is not only an effort to maintain short-term consumption, but also a strategic step for the future.
He said every money spent by the middle class had a large multiplier effect because it created demand in the real sector, strengthened the domestic industry, and opened up jobs.
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"In other words, the purchasing power of the middle class is energy that keeps the economy alive and powerful," he said.
Marwan emphasized that Indonesia needs a middle class that is not just surviving, but growing, moving up, and becoming an inclusive economic driving force.
"That is the commitment that we must guard together, for the future of a stronger, fairer and prosperous nation," said Marwan.
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