Accompanying President Jokowi To The US, The Trade Minister Calls The War To Toughen The Economy

JAKARTA - Trade Minister Muhammad Lutfi said President Joko Widodo views the war in Ukraine as creating a humanitarian tragedy and worsening the economy.

This was conveyed by Lutfi when accompanying the president to attend the ASEAN-United States (US) Special Summit (Summit) on 11-13 May 2022 in the US.

"The increase in food, energy, and inflation prices has occurred, severely burdening the economy and slowing the achievement of the sustainable development goals or SDGs in developing and least developed countries," said the Minister of Trade in a statement quoted by Antara, Saturday, May 14.

According to the Minister of Trade, President Joko Widodo stated that the world is currently experiencing a new problem that is not easy.

After being attacked by the COVID-19 pandemic, which is now gradually improving, the world was shocked by the problem of the Russia–Ukraine war. Trade Minister Lutfi emphasized that President Joko Widodo was against this war.

“President Joko Widodo emphasized that the world should recover from the COVID-19 pandemic soon, but the world is facing a new problem, the war in Ukraine. When the world needs cooperation and collaboration, the rivalry and confrontation are getting sharper. When the world needs multilateralism that is getting stronger, unilateralism is getting more and more prominent," said Trade Minister Lutfi, delivering the President's statement.

The Trade Minister continued, the emphasis is on the magnitude of the influence of the US and Europe in stopping the war in Ukraine.

"Once again stopping the war, not winning the war in Ukraine," stressed the Trade Minister.

Lutfi said President Jokowi emphasized that war would not benefit anyone.

"The President emphasized that every country, every leader has a responsibility to create an enabling environment so that war can be stopped and peace can be realized," he said.

Currently, the condition of world economic growth is quite alarming. The International Monetary Fund or IMF has lowered its prediction for economic growth in emerging and developing Asia by 0.5 percent in 2022 and 0.2 percent in 2023. The World Bank also predicts that the economic growth of several ASEAN countries will only reach 1.2 percent.

"President Joko Widodo said that a 10 percent increase in world oil prices will have an impact on decreasing the national income of several ASEAN countries by 0.7 percent and an increase in wheat prices will also lead to a 1 percent increase in poverty in some ASEAN countries," said the Minister of Trade.

So far, ASEAN has built an inclusive security architecture, puts forward a collaboration paradigm, encourages a habit of dialogue and rules based orders.

This spirit is also encouraged to be implemented in Indo-Pacific countries through the ASEAN Outlook on the Indo-Pacific. Minister of Trade Lutfi emphasized that President Jokowi welcomed America's initiative through the Indo-Pacific Economic Framework (IPEF).

"The president hopes for the synergy between IPEF and the implementation of priority cooperation in the AOIP (ASEAN Outlook on the Indo-Pacific)," he said.

The Trade Minister said President Joko Widodo plans to hold the Indo-Pacific Infrastructure Forum when Indonesia becomes the Chair of ASAN next year.

"Mr. President hopes for the participation of the United States in the forum," said the Trade Minister.

As a follow-up to President Joko Widodo's direction, the Minister of Trade will hold the ASEAN Economic Ministers (AEM) Special Meeting in Bali on 17-18 May 2022.