Widodo-Amin Emphasizes Equitable Economic Development
The incumbent candidates Joko Widodo-Maruf Amin was on the stage of the debate. Photo by TheInsiderStories.

JAKARTA (TheInsiderStories) – Indonesian presidential candidate, Joko Widodo – Maruf Amin emphasized the importance of equitable development to prosper the people. The construction of the model is what has been and will continue to be done if re-elected, they said.

“For 4.5 years, we have tried hard to restore the original character of development in our country, which is not based on economic growth but also on equity,” Widodo said in the final presidential debate on economic and social welfare, financial and investment, and industrial trade, in Jakarta, on Saturday (04/13).

He said the economic growth without equity would lead to inequality. Infrastructure development carried out not only in Java so that the development process was Indonesian centric. Thus, new economic growth points will emerge, in the form of special and tourism economic zones.

“Special and tourism economic zones will have an impact on handicrafts produced by the village and also we want to continue to fight for Indonesia’s economic independence,” added by the incumbent.

During his reign, Widodo had indeed overhauled the State budget structure by further encouraging investment, building infrastructure, and making efficiency more competitive. However, the commodity prices such as oil palm, rubber, and other plantation’ product have not yet recovered.

He added, the global economic downturn has charted Indonesia’ economic growth during its reign continued to be below growth in the previous era.¬†Widodo in 2014 promised Indonesia’s economic growth to reach 7 percent but the realization only around 5 percent.

Based on statistical data, in 2014 the economic growth was 5.02 percent, from the target of 5.5 percent. Then 2015 dropped to 4.79 percent from the target 5.7 percent. In 2016 5.02 percent, the target was 5.1 percent. In 2017 which was only 5.07 percent of the target 5.2 percent. In 2018 was only 5.17 percent from the target 5.2 percent.

However, the pair said there was no reason not to increase the growth rate despite the global economic downturn. One way is to accelerate infrastructure development and structural reform. The implementation of this infrastructure development includes building interconnections between regions, with the construction of toll roads, ports, airports, and border areas in order to reduce logistics costs.

In addition to infrastructure, the pair will also expand housing and surgical access to five million low-income communities, laborers, state workers, soldiers, and police. The incumbent is also committed to increasing the use of domestic components to strengthen national industries and open wider employment opportunities in the country.

New economic sectors such as accelerating the development of the tourism sector that provides added value and focuses on continuing the development of new tourist destinations and developing a Sharia-based financial services industry are also the focus of incumbents if elected.

In the social welfare sector, the incumbent promoted its three cards, the Indonesia Smart Card, intended for high school graduates to study. Pre-Work Cards, recipients receive training to improve skills to be ready for work.

Cheap Food Packages to complement other social assistance programs such as the family hope program and prosperous rice. With these cards, people can buy basic commodities at low prices.

To maintain the stability of agriculture and fisheries prices, incumbents affirm the importance of industrialization. Because the exported domestic products are in raw form.

“So that the future strategy is industrialization, as much as possible to be built, the fishing industry,” Widodo said while acknowledging that Indonesian commodities have relied too long on international markets.

In the future, he added, the exported products must have been in a ready-made form so that the value rose. In addition, integrating online and offline systems, especially agriculture, to market their products.

“Agriculture products will make it easier for farmers to directly connect with buyers through digital economy,” he said, adding that down streaming is needed so that domestic commodities can compete in the global market.

Regarding the tax ratio, the incumbent said he agreed if the tax ratio was raised. But he stressed that it could not be done in a short time. The tax ratio is increased gradually by building a tax base as much as possible, such as tax amnesty.

Meanwhile, Amin emphasized the intensification of money waqf to increase the receipt of zakat and waqf. “Not usually land waqf, graves, madrassas, mosques, money waqf has now been developed.”

This statement was disclosed by Amin to answer panelists’ questions regarding the concrete strategies to encourage an increase in the tax ratio while receiving zakat and waqf.

Widodo also said that Indonesia would have a super-holding state-owned enterprise. The existence of a super holding will make state companies get access to funding from world financial institutions.

“I think in the future we will build a holding company, both construction and work, then oil and gas, which is related to agriculture and plantations, and trade. Later there will be a super holding,” he stated.

He adding that state companies must venture out, expand outside. This needs to be done to open the market, open networking so that it can enter and take part in the global market.

“Our work companies do a lot of big projects in the Middle East. The railroad industry exports trains. If we do it, the private sector will participate, this is called Indonesia incorporation, the small ones will come behind again, our economy will become big,” he concluded.

Incumbent closed the debate by saying that economic progress and people’s welfare would be realized through concrete efforts in development both in the infrastructure and human resources fields.

“Structural reforms since 1998, but substantive reforms that we have felt since 2014. Because the government is intensely building infrastructure, developing policies in the investment sector so that it gets the investment grid title. In the social sector developing social assistance guarantees,” Amin said. Therefore he promised to continue the unfinished work for the progress of Indonesia.

Written by Lexy Nantu, Email: lexy@theinsiderstories.com.