Apindo These Are 4 Conditions So That Economic Growth Continues

Illustration: Photo: Doc. ANTARA

JAKARTA - The Central Statistics Agency (BPS) announced Indonesia's economic growth of 5.12 percent on an annual basis or year on year (yoy) in the second quarter of 2025.

Apindo Economic Policy Analyst Ajib Hamdani said there were 4 inputs so that economic growth could be sustainable by the end of the year for the short term, and until 2029 for the medium term, namely first, strengthening people's purchasing power.

He conveyed that the government must encourage job creation as well as all policies of institutions and ministries, must have an orientation in employment.

Ajib added, the second is that the Government must encourage fiscal and monetary incentives that are right on target, and encourage low cost economy.

"Acceleration of restitution, Government-Borrowed Value Added Tax (PPN DTP), tax relaxation for MSMEs, is part of a pro fiscal policy with growth. Then the low lending rate needs to be encouraged, especially for labor-intensive sectors," he explained to VOI, Wednesday, August 6.

Next, the third is to continue to encourage streaming regulation, or deregulation such as accelerating services, ease of coordination, obtaining permits, is part of deregulation.

He conveyed that Apindo supports the establishment of a Deregulation Working Group (Pokja) from the Coordinating Ministry for the Economy, part of the collaboration between the business world and the government in supporting a better economy.

Ajib added that the fourth strategy is to encourage more investment to enter because the PMA investment ratio is still low, and there is potential to be improved, with a note, the government must focus on efforts to encourage ease to do business or ease of doing business.

"Indonesia is still ranked 73 out of 190 countries. Ideally, Indonesia can be ranked 40th. The momentum of the IEU-CEPA ratification is also a breath of fresh air towards free trade agreement and opens the door of investment from the European Union to Indonesia," he said.

He said that economic growth in the second quarter of 2025 was a paradox of declining purchasing power.

Menurutnya, dengan segala diskursus yang ada, dunia usaha optimis secara agregat tahun 2025, pertumbuhan ekonomi bisa mencapai sesuai Kerangka Ekonomi Makro dan Pokok-Pokok Kebijakan Fiskal (PEM-PPKF) yang ditetapkan oleh pemerintah.

"Pemerintah harus selalu menggandeng dunia usaha agar mendorong pertumbuhan ekonomi yang lebih sustain dan eskalatif ke depannya. Kolaborasi inilah yang terus didorong melalui Indonesia Incorporated," pungkasnya.

According to him, with all existing discourse, the business world is optimistic that in aggregated 2025, economic growth can achieve according to the Macro Economic Framework and Fiscal Policy Principles (PEM-PPKF) set by the government.

"The government must always cooperate with the business world in order to encourage more sustainable and escalative economic growth in the future. This collaboration continues to be encouraged through Indonesia Incorporated," he concluded.