President Jokowi Calls on Ministers to Anticipate Worsening Global Economy
Date 30 Oktober 2019
President Joko “Jokowi” Widodo has instructed his cabinet ministers to take anticipative measures against next year’s global economy which, according to estimation of some international institutions, will face a more difficult situation, even showing a tendency for recession.
“What does it mean? Exports and investment. The key is to boost exports and investment,” the President said during the first Limited Meeting with the Ministers of Indonesia Onward Cabinet on Economic Affairs, at the President’s Office, Wednesday (30/10).
President Jokowi went on to say that he has instructed Minister and Deputy Minister of Trade as well as Minister and Deputy Minister of Foreign Affairs to make Trade Agreements a priority.
“We have finalized the Indonesia-Australia Comprehensive Economic Partnership Agreement (IA-CEPA). We have to extend (this effort to finalize other agreements) with other countries,” the President said, adding that those agreements must be finalized by the end of 2020.
“Arrange a team with permanent members. The finalization and field execution with the European Union must be continued,” President Jokowi stated.
The President also ordered his ministers to finalize trade agreement with the Regional Comprehensive Economic Partnership (RCEP) members by the end of 2020, including with 10 ASEAN countries, India, China, South Korea, Japan, Australia, and New Zealand, , in order to boost exports. He also reminded the ministers that a retreat agreement with African countries is just as important.
President Jokowi also asked the ministers to follow up on omnibus law to simplify the existing regulations which can hamper investment and exports. “We have started since 2 months ago. There are 74 laws that we will work on. I believe Coordinating Minister for the Economy has understand this. Please coordinate with other coordinating ministers on this matter. We need to identify then cut down (the unnecessary steps) immediately,” the President stated.
President Jokowi also pointed out to the ministers on the economic transformation towards an industrialization and downstreaming. According to him, there should be a change from exporting raw materials, such as nickel, bauxite, alumina, and coal, to exporting semi-finished or even finished goods.
“This added value will later improve our competitiveness. I ask that the steps to acceleration be carried out immediately, including incentives for industries, micro businesses, small businesses, medium businesses, and industries in rural areas,” the President said, adding that these steps will bring a huge impact on the country’s economy. (MAY/RAH/ES)
Translated by : Fairuzzamani Inayatillah
Edited by : Muhardi, Yuyu Mulyani