10/31/2009, 00.00
INDONESIA
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The Indonesian economy battles to reduce unemployment and poverty

by Rosalia Royani
National growth of 7% by 2014 is the target set by Yudhoyono. A panel of experts created called upon to monitor the situation and "remove" obstacles to development. Experts express doubts about the figures, but agree on the country’s potential.

Jakarta (AsiaNews) - Economic growth of 7% per year, lower the threshold of poverty to 8%, reduce the unemployment rate to 5%; these are the objectives of the five-year development plan Pelita, sponsored by Indonesian President Susilo Bambang Yudhoyono, to be achieved by 2014. An ambitious project that, according to many experts, will be difficult to achieve. Maybe the growth will be lower, but all agree that the index will be higher than the global rate, which is settling at around 3%.  

 On October 29 and 30, a summit with the theme " Making a Prosperous, Judicious and Democratic Indonesia " was held in Jakarta, for two days organized by the Chamber of Commerce and Industry, attended by over 1000 people . It brought together financial experts, businessmen, government officials and officers leading the country. During the opening ceremony, Yudhoyono emphasized that " any hurdles to boost economic performance should be seriously tackled."  

Economics, finance, unemployment, corruption are at the centre of the Indonesian Head of States policies. Inspired by the campaigns launched by General Suharto in 32 years in power, he wants to promote a development plan for "achieving economic growth of 7% and reduce unemployment and poverty rates to 5 and 8%" by 2014 .

To reach this goal he has envisaged the creation of a panel of experts - in close contact with the government - called to "monitor" the situation day and night in order to "remove" all obstacles. Yudhoyono has entrusted the leadership of the working group to Kuntoro Mangkusubroto, former Minister for Energy and Head of the Civil Protection of Aceh. He will have to " get rid of the bottlenecking” that hinders development, identifying and tackling the complicated bureaucratic and regulatory environment. Even the personalities included in government team want to work on the economy. The Finance Ministry is headed by "Iron Lady" Sri Mulyani, maker of growth, far from compromising with the "bad guys" of the country and with clear ideas on taxation. The Ministry for Trade is entrusted to Marie Elka Pangestu the Economy to Hatta Radjasa - former Minister for Transport - the only one who has been criticized because, defined "incompetent" and the appointment is the result of "a political favour." In the past, he had to resign from office due to the increase in rail, air and road accidents, which caused hundreds of casualties.

However, the group enjoys the confidence of the majority of citizens. It has led the country towards a strong growth and a progressive development in the international landscape, so that today Indonesia is the third Asian economy after China and India. And the choice to entrust the vice-presidency to Boediono, Former Indonesian central bank governor, is a further sign of the journey undertaken by Yudhoyono for the nation.

Growth targets set by the executive, however, are scaled back by various economic experts who agree that in determining a development above 3% in the global economy. "There will be major steps forward in the coming years," says economist Hartono to AsiaNews. The economic analyst originally from western Borneo, believes the rate of growth will remain on the current "4 or 5%, which is still a good".  Muclis Supendi, former bank manager, confirms "trust" in the targets set by the government and welcomes the move of Sri Mulyani to Finance and to Elka Pangestu Trade. A. Sentot Suciarto, a professor at the Catholic University of Soegijapranata, in Central Java, states that economic growth is the result of a "politics of anti-corruption" and "subsidies" launched by Yudhoyono, although the annual rate not to exceed 4 / 5% " .

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