Weaknesses of Indonesian Economic
Chamber
of Indonesia Commerce and Industry (Kadin) declared Indonesian economy that is
actually very promising for both domestic and foreign investors. However, there
are still weaknesses seeing by Kadin of the economy that need to be addressed.
Vice Chairman of Kadin Indonesia, Novian Anindya Bakrie said, promising
Indonesian economy is evidenced by incoming investment, private consumption,
and vibrant business world.
“But
there are still some weaknesses that Indonesia’s economic structure needs to be
addressed now,” said Anindya at Menara Kadin Jakarta, Wednesday (06/03/2013).
Anindya
see Indonesia’s economic weakness is in the trade deficit. Currently due to
larger imports than exports then it makes more Indonesian trade balance to be
deficit. Moreover, the largest import of oil and gas.
On
the other hand, Anindya also highlights subsidy of oil (BBM) to the people who
actually are not even on target. Current budget fuel subsidy enjoyed by the
rich instead.
“As
the impact, the deficit and the high pressure gas imports that led to the
weakening of the rupiah,” he added.
Again,
the actual budget for infrastructure even neglected. He rated in the last few
months that there is no improvement of government policy so that a problem
cannot be resolved. Though foreign investors intending to invest in Indonesia
as it will look up the bureaucratic infrastructure. If not good, then foreign
investors will pull out of Indonesia.
Ø 5 W +
1H
- Who
connoisseurs subsidy? the rich
- when
did this problem occur ? Wednesday, 03/06/2013
- what
problem the Indonesian economy? trade deficit. Currently due to greater
imports than exports then it makes more Indonesian trade balance into
deficit.
- why
is it happening? because imports greater than exports. As a result, the
deficit and imports of high pressure gas which causes weakening of the
rupiah, "
- how
his solution? that is by reducing imports, and improve domestic trade
first.
Ø Response
: Indonesia should prioritize domestic trade first, then start the export of
domestic merchandise abroad. and overseeing the economic actors -actors
involved in export-import to not only the rich who enjoy the results.
