Jakarta, The Indonesia Post – Minister of State-Owned Enterprises (BUMN) Erick Thohir mentioned national economic growth of above five percent (5.17 percent) in the second quarter of 2023 as a challenge to spur better performance.
Because, according to Erick, President Joko Widodo is more than happy to schedule a cabinet meeting the next day, when he knows that Indonesia’s economic growth is improving today.
“Usually the President is so good, not slack. Tomorrow there will be another cabinet meeting,” Erick said in his remarks at the PIK 2 area, Kosambi, Tangerang Regency, Tuesday.
Erick said the President definitely wants to ensure that the ministries/agencies maintain the trend of economic growth so that it can continue.
The President has already talked about downstream natural resources, then talked about food industrialization. Later, according to Erick, it’s time for the president to ask ministries/agencies to push back on the revival of the creative industry or, more broadly, tourism.
Because if you look at the data more deeply, the tourism sector has not maximized its existing potential. Regarding tourist arrivals, according to Erick, Indonesia is still far behind its neighboring countries.
“But the economic potential is extraordinary, the culinary itself totals IDR 471 trillion, that’s just culinary. Then fashion is IDR 184 trillion. But we haven’t maximized the potential in the tourism sector,” said Erick.
Because of this, cooperation between the central government, regional governments and the private sector is needed to jointly carry out various strategies to boost Indonesia’s tourism potential.
Based on data from the Central Statistics Agency (BPS) Indonesia’s economic growth in the second quarter of 2023 managed to reach 5.17 percent. From the production side, the transportation and warehousing business field experienced the highest growth of 15.28 percent. Meanwhile, from the expenditure side, the Government Consumption Expenditure (PK-P) component experienced the highest growth of 10.62 percent.
Meanwhile, Indonesia’s economic growth in the first semester of 2023 compared to the first semester of 2022 was 5.11 percent. From the production side, the transportation and warehousing business field experienced the highest growth of 15.59 percent. Meanwhile, from the expenditure side, the PK-P component experienced the highest growth of 7.53 percent.
Spatially, the Indonesian economy in the second quarter of 2023 shows strengthening in several regions. The province group on Java Island is the main contributor to the national economy with a role of 57.27 percent, and recorded a growth rate of 5.18 percent year on year (yoy) compared to the second quarter of 2022.
This economic growth is inseparable from the government’s role in controlling inflation. Based on BPS data, the YoY inflation rate for July 2023 was 3.08 percent. This figure decreased when compared to YoY inflation in June 2023, which was 3.52 percent.
The government continues to invite all stakeholders to pursue a reduction in national inflation to 3 percent. This figure is considered relatively stable because it will benefit both producers and consumers. From the producer’s point of view, production costs can be paid off from sales, and even profit. Meanwhile, consumers also feel the same way, because food prices, including other goods and services, are affordable.
The achievement of controlling inflation nationally depends on the accumulated performance of the central government, regional governments and the private sector.
Erick appreciates that the private sector now has the courage to invest to advance tourism more aggressively by presenting a Hawaiian-style sensation in the Aloha area, Pantai Indah Kapuk 2.
“Maybe it’s because I’m confused, is this in Hawaii, is this in Pantai Indah Kapuk (PIK), I’m confused. At first I was confused, frankly. Because I think there’s never been five kilometers of sand in Indonesia,” he said. Erick.
When welcomed by native Indonesian dances, such as dances from Bali, Sumatra and Kalimantan, Erick realized that the tourist sites were actually in Indonesia.
Erick assesses that the PIK area developer has set an extraordinary example for other private sectors so that when developing tourism, it is not only built as a property area.
But what is extraordinary is how the private sector can build an area that is satisfying in terms of customer experience.
“Sometimes we forget. Don’t just wake up, wake up, wake up. But let’s go to New York, to Tokyo, what are we looking for? It’s not just the city, but the customer experience. How can visitors enjoy the city,” said Erick.
“This is one of the efforts to make Indonesia’s economic growth reach 5.17 percent,” said Erick.
In the future, Erick hopes that the private sector can invite the central government and regional governments to collaborate in developing areas that will become Jakarta’s Waste Solutions.
Because it is impossible for a city to have a high number of tourists, when the environmental management aspect is not good. (mhn/bbs)
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