Minister of Finance (Menkeu) Sri Mulyani Indrawati stated that acts of corruption are one of the factors a country is in a middle-income trap condition so it is hampered from becoming a developed country.
"One of the most important elements of the middle income trap is that the state is unable to manage the threat of corruption in the country," said Minister of Finance Sri Mulyani at the peak of the 2022 Hakordia Commemoration of the Ministry of Finance in Jakarta, quoted from Antara, Tuesday, November 13.
Sri Mulyani said that one element is no less important for a country that is trapped in the middle-income trap status because it is unable to manage the threat of corruption in the country.
Corruption is exacerbating a country that is trapped in a middle income trap because it burdens more, he said, in addition to issues related to the quality of Human Resources (HR) and policies.
He explained that acts of corruption will always undermine every progress effort that has been achieved by a country so that it is very difficult for the country to progress and be better.
In addition, he continued, corruption also creates a gap, namely the existence of a group of super rich people who control politics and the economy, to determine policies from a social perspective, even though the majority of the people around them face poverty.
Sri Mulyani said that after she visited more than 100 countries in the world in her capacity as Managing Director of the World Bank, she also got a perspective on governance, corruption and institutional arrangement which really determined the progress of a country.
According to him, if a country fails to build an institution with a good governance basis and has a check and balance, it has the potential for fraud and corruption.
Therefore, Sri Mulyani emphasized that the anti-corruption movement must continue to be echoed, both at home and at the international level, so that fair community welfare can be realized.
"We are actually in the fight to maintain the momentum of economic improvement to be separated from the middle income trap," said Sri Mulyani.
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