Remarks of President of the Republic of Indonesia at Bank Indonesia Annual Meeting, Bank Indonesia Office Compound, Jakarta Province, November 29, 2024
Bismillahirrahmanirrahim.
Assalamu’alaikum warahmatullahi wabarakatuh.
Good Evening,
Syalom,
Om Swastiastu,
Namo Buddhaya,
Rahayu, rahayu.
Distinguished guests,
Chairperson of the People’s Consultative Assembly of the Republic of Indonesia (MPR RI), Mr. Ahmad Muzani;
Chairperson of the Regional House of Representatives of the Republic of Indonesia (DPD RI), Mr. Sultan Najamudin;
Chairperson of the Supreme Court of the Republic of Indonesia, Prof. Dr. Sunarto;
Coordinating Ministers, Ministers, Chairperson of the National Economic Council, Vice Ministers of the Red and White Cabinet;
Governor of Bank Indonesia, Mr. Perry Warjiyo, and the entire Bank Indonesia team;
Governors and officials of provincial governments;
Financial industry players, stakeholders in economic sector, and distinguished guests;
Your Excellency Ambassadors from friendly countries. I see our good brother from the United Arab Emirates. I just came from Abu Dhabi. Thank you very much.
Ladies and gentlemen,
Thank you for the invitation. I was invited at short notice, but we must always be ready for such moments. It is a great honor for me to speak at this Annual Meeting of Bank Indonesia. I am very pleased, and very happy, with the theme: “Synergy to Strengthen National Stability and Transformation.” I think the theme is very timely.
For the Commander of the Indonesian National Defense Forces (TNI), I apologize for my informal attire. I look like a banker. Is the National Police Chief present? When the TNI Commander and the Chief of Police are present, I feel safe.
Ladies and gentlemen,
I am truly delighted with the theme. It is indeed the key to the rise of a nation: synergy, collaboration, cooperation, unity, and harmony. This is the formula for the success of a nation; this is what we learn from history. Only countries where the elites can live in harmony and unity, and cooperate, will rise. So I think, with such a theme, there is no need for me to give much further guidance, because you are on the right track.
If the Governor of Bank Indonesia and those who manage Indonesia’s banking sector have this spirit, it means they have a deep love for the country. When there is an awareness of synergy, and an understanding that stability will enable the transformation of a nation, it means we are in a strong position. Why? Because our nation, Indonesia, has been granted a great blessing, continuous and extraordinary blessings.
I have just returned from a long and intensive trip, a 16-day trip. I attended the APEC Summit and met with economic leaders from the Asia-Pacific region, as well as many other invited guests from different regions. I also attended the G20 Summit. Many other countries were also present aside from the G20 nations. I met with World Bank leaders and leaders from other economic blocs.
Almost everyone points out that Indonesia is in a highly advantageous position. In terms of resources, we possess nearly all the elements needed for a developed nation: minerals, crops, marine resources, everything necessary for Indonesia to become a developed country. It is almost a consensus among economists and geopolitical experts worldwide that by 2045, Indonesia will become a developed nation. In fact, we are projected to become the world’s 4th, 5th, or 7th largest economy.
We understand our wealth, we are aware of it, but many of us do not realize the impact and significance of our ownership of critical resources and minerals required for high-tech industries.
To that end, the banking industry players, especially those responsible for public policy and regulation, have a very important role. And for this, I thank the Governor of Bank Indonesia, the Bank Indonesia team, the financial authorities, and all decision-makers responsible for formulating and managing Indonesia’s economy, including my ministers, coordinating ministers, and leaders from the past. We are in this position today because of the successes of those who came before us.
Ladies and gentlemen,
Wherever I travel, Indonesia is well respected. I truly enjoy this recognition, which is the result of the efforts of previous governments. Even though I have been in office for less than a month when I attended the summits, I have earned respect—not because of Prabowo, but because of Indonesia. In the economic forums, why was Indonesia well respected? Because Indonesia’s economy is considered to be performing excellently.
So, ladies and gentlemen, this is serious. I feel that now, countries from Latin America, Africa, and others are all requesting to come to Indonesia. In January, the President of Angola will visit us. In February, the President of the Democratic Republic of Congo, Felix Tshisekedi, Mr. Luhut’s friend, will visit us. The leaders of Tanzania and others whom I met in Brazil are also eager to visit. What’s my point? My point is, we must be grateful that our economic management is recognized as prudent, wise, orderly, and safe.
Ladies and gentlemen,
We should be proud of our country, a developing nation that has come a long way. With the fourth-largest population in the world, a vast territory with diverse ethnicities, religions, and a lot of issues, we have managed to bring our nation to this point. We have a low inflation rate, and we record growth above the world average. I am proud because, wherever I travel, since I served as Minister of Defense, we are well respected. Why? Because, despite being a large and developing country, we are known for never defaulting. Many countries like us have defaulted multiple times, sometimes up to 10 or 13 times. Even countries with advanced industries and technology have inflation rates above 60%.
Economic instability in many countries has made us aware of our situation. This is not a moment for euphoria or complacency; rather, we must be more cautious. Indonesia is in a good position when the global geopolitical situation is quite delicate and full of uncertainty. If we look at recent developments, we see rising tensions in Ukraine, although many observers believe that with the new US President-elect, there could be good breakthroughs. In the Middle East, the ceasefire in Lebanon is a step in a more favorable situation. We hope there will also be breakthroughs in Gaza.
This uncertain situation requires us to remain vigilant and cautious. I am grateful that the overall atmosphere in Indonesia is calm and conducive. We have just completed regional elections in provinces and cities across Indonesia—thankfully, they went smoothly and peacefully. I thank all those who have worked hard to ensure this. It shows a maturity, a process of growing up in our society, nation, and politics. Political changes, changes in local leadership, have become a normal part of life. We can change leaders peacefully through the ballot box.
Although we may not be fully satisfied and some areas still need to be improved, I believe this is a process of maturing. The winner should act with humility, and the loser should support the winner for the sake of all Indonesians.
Let me convey this message to the financial community: you play an important role, managing the people’s money. We must protect the people’s money, be wise and responsible, because it represents the blood and sweat of millions of hardworking Indonesians.
And here, in the capital, in this place, we are the recipients of a mandate. We in the political sphere hold a political mandate, while you in the financial institutions hold the economic mandate. You manage the wealth of the Indonesian people, and you have been entrusted with that. This responsibility is on your shoulders. Your task is not easy.
Ladies and gentlemen,
Finance is a very vital part of a nation’s sovereignty and independence. I recall a political leader once saying, “If you want to destroy a nation, destroy its currency.” Thus, Governor of Bank Indonesia, Minister of Finance, Head of the Financial Services Authority (OJK), all of you in the financial sector, your task and responsibility are pivotal. In military terms, you might be the four-star generals in this arena. The sovereignty and independence of Indonesia are in your hands. I remember this, and it is something we must always be vigilant about.
Ladies and gentlemen,
Our fundamentals are strong. Our resources are abundant, our wealth is vast. However, the problem for resource-rich nations is that their elites sometimes become complacent, which is referred to as “the curse of a resource-rich nation.” When a nation’s elites become complacent, resources can be mismanaged and lost. With complacency and unawareness, unnecessary leaks may occur.
Ladies and gentlemen,
That is my general remarks that I conveyed. The Governor of Bank Indonesia, all the Bank Indonesia officials, the ministers in the economic sector, the financial authorities—they carry heavy responsibilities. The fate of hundreds of millions of people lies in your policies and decisions.
So, once again, thank you for your efforts. We should be grateful, even with all our disappointments, shortcomings, and unmet hopes. We are in this position today, and we must be more disciplined, more vigilant. We will address the shortcomings, and we must strive to create a clean government because everywhere in the world, a clean government guarantees prosperity. A clean government, an efficient government, will ensure that we continue to manage the nation’s wealth responsibly.
You are the front-liners. On behalf of the Government of Indonesia, I thank all financial sector stakeholders. You should maintain the trust of the people, do your utmost, and think for the advancement of Indonesia in the future.
I intentionally avoided going into too much detail in my remarks, even though I was provided with many specific notes. I believe you are more familiar with those issues. What I am sharing with you today are the broader points, the major milestones, and the aspirations of the people. I am sharing the general situation we face.
I believe that you will uphold that trust. I believe, in your hearts, all of you—the economic commanders—you carry the spirit of the Red and White. I trust that spirit of patriotism is in your hearts. Let us work together in synergy, synergy across all sectors with all your expertise. We must work as one, and we must work together, and we will succeed. I believe that we will achieve our goals and our dreams. We can do it, and we will do it.
I also believe that, after just one month of leading this cabinet, we are working as an incredible team. It’s going very well. We are like a football team, everyone is playing their part. In fact, it has been said that in our current cabinet, there is no such thing as a day off, we always do our work.
That concludes my remarks. Keep up the good work for the nation and the people of Indonesia. Believe in yourself. Do your best.
Let’s move forward!
Merdeka!
I thank you,
Wassalamu’alaikum warahmatullahi wabarakatuh,
Syalom,
Om Shanti Shanti Om,
Namo Buddhaya.
(RI/MUR)