Mahfud MD: Employment Creation Perppu Is Indonesia's Strategic Step To Save The Economy From Reduction

Coordinating Minister for Political, Legal and Security Affairs Mahfud MD. (Photo: VOI/M. Jehan)

Coordinating Minister for Political, Legal and Security Affairs (Menkopolhukam) Mahfud MD assessed that the Government Regulation in Lieu of Law Number 2 of 2022 concerning Job Creation (Perppu Cipta Kerja) is to save the economy so that investments from abroad enter Indonesia.

"You have to make strategic policies from now on to save the community's economy. The way is to invest in, which is from abroad," Mahfud told reporters at his office, Sunday, January 8.

Meanwhile, investment from within the country has accelerated the licensing process. "Like in forestry, agriculture, everything. The strategy was first made, the strategic steps were in 2023, yes," Mahfud added.

Mahfud also said that the potential recession for Indonesia had been predicted by four world financial institutions. They assess that Indonesia's economic growth is only a maximum of 5 percent.

Meanwhile, he said, the government's projection or target to maintain economic stability is at least 5.3 percent.

The four world financial institutions that predict World Bank, International Monetary Fund (IMF), Islamic Development Bank (IDB), and Organization for Economic Cooperation and Development (OECD).

"So the government must anticipate based on the calculations of the world's economic institutions, what is the anticipation? Must make strategic policies from now on to save the people. To save the Indonesian economy," he said.

For information, the Job Creation Perppu has been issued by President Joko Widodo. This Perppu has sparked polemics in a number of circles.