- Antara/ Herka Yanis Pangaribowo
VIVAnews – The World Bank stated that Indonesia has the potential to become a major country within 10 years. The potential did not occur out of nothing, but rather through conquering some challenges.
World Bank senior economist Shubham Chaudhuri said there are three short-term challenges, within six month to one year, that Indonesia will face. These challenges are related to local food prices, Euro zone and world economic crisis.
“Although rice price goes down, poor households are still weak in dealing with the possibility of domestic production wave. The Euro zone uncertainty caused by the Greek crisis will also affect short-term capital flow,” he explained during a discussion at Capital Market Coordination Agency office in Jakarta today.
World Bank also deemed that the high oil price due to the 2011 global crisis has increased the government’s expenditure for energy subsidy. The high subsidy expenditure could have actually been used for other development needs such as education, health, social security and infrastructure.
“The saving could also be used for direct cash aid program which can cushion the impacts on poor households,” said Chaudhuri.
On the same occasion, RI Trade Minister Mari Elka Pangestu stated that Indonesia already has a masterplan to accelerate and expand economic development. The masterplan puts emphasize on infrastructure development to enhance connectivity. “Sometimes we forget about the integration with the local which can promote economic growth,” she said.
A similar statement was made by World Bank Country Director for Indonesia, Stefan Koeberie, who said that connectivity enhancement is the main point in the support of Indonesia’s growth potentials in the future.
The government must be able to facilitate the large private investment in Indonesia by strengthening partnership between the two. “The poor infrastructure quality is one of the biggest impediments for companies operating in Indonesia,” he said.
Translated by Indah Lestari
Nasib 2 Debt Collector Ambil Paksa Mobil Polisi, Kemenhub Pangkas Jumlah Bandara Internasional
Berita tentang nasib dua debt collector yang hendak mengambil paksa mobil Aiptu Fandri di parkiran salah satu pusat perbelanjaan di Kota Palembang jadi yang terpopuler.
