President Jokowi: Infrastructure Key to Attract Investment, Lower Logistic Costs
President Jokowi attends “Reflection and Notes on 10 Years of Administration in Construction, Infrastructure, and Investment”, at the Auditorium of Bank Mega Tower, Jakarta, Wednesday (07/31).
Since the beginning of President Joko “Jokowi” Widodo administration, the Government has focused on infrastructure development, the President has said.
He made the statement during the event “Reflection and Notes on 10 Years of Administration in Construction, Infrastructure, and Investment,” held at the Auditorium of Bank Mega Tower, Jakarta, on Wednesday (07/31).
“From the beginning of my administration ten years ago, the Government has focused on infrastructure development, be it connectivity infrastructure, basic service infrastructure, food infrastructure, energy infrastructure, or industrial infrastructure,” he said.
He stated that the infrastructure development over the two periods has boosted Indonesia’s World Competitiveness Ranking from 34th to 27th.
“Competitiveness. That is the target that we want to achieve from the existing developments, aside from, of course, infrastructure for the people. Since we are now competing with other countries, if connectivity is not good, if infrastructure is not good, which investor would want to come to Indonesia? There won’t be any,” he added.
In addition to attracting investment, the President mentioned that infrastructure development will also reduce logistics costs, which will help curb inflation.
“Previously, our logistics costs were approximately at 24 percent; now, they have decreased to 14 percent. This reduction allows prices to be more affordable, which can be seen from the inflation rates. In the past, our inflation rates were 8, 9, even 11 percent; now, it can be suppressed below 3 percent. And recently, last month, it was at 2.58 percent. So, this development has widespread impacts. It doesn’t just benefit one area but affects many areas,” said the President.
President Jokowi also highlighted the importance of aesthetics and quality in construction projects. He reminded national constructor association Gapensi not to focus only on low bid prices to win projects but also to ensure aesthetic quality and environment.
“When I visit a construction site to inaugurate or observe the progress of a project, I always address issues related to landscape, aesthetics, and the environment because these will become very important in the future,” the President added.
Therefore, the President also advised Gapensi as one of the largest construction associations in Indonesia, to produce higher quality construction works.
“Once again, aesthetics, landscape, and the environment will be priorities at the future administrations,” he said.
On this occasion, Chairperson of the Gapensi Andi Rukman Nurdin presented the Father of Indonesian Construction award to President Jokowi as a token of appreciation for the successful construction, infrastructure, and investment development in the country over the past decade.
Additionally, the Construction Excellence Award was also given to the Minister of Public Works and Public Housing Basuki Hadimuljono, Minister of Transportation Budi Karya Sumadi, Minister of Agriculture Andi Amran Sulaiman, and Minister of Investment Bahlil Lahadalia. This award was given as Gapensi’s appreciation for their contribution and dedication in advancing infrastructure development and investment in the country under President Jokowi’s leadership. (FID/DNS) (EST/LW)
