Dull employment prospects<\/p>\n
The Economic Social Commission for Asia and the Pacific
\n(Escap) predicts that it will take 10 years for Indonesia to
\nreach 7 percent annual economic growth.<\/p>\n
That means the unemployment rate will remain high over the
\nnext 10 years and the roadsides will remained crowded with
\nvendors. Security disturbances will also remain a danger in these
\ncircumstances.<\/p>\n
According to Escap, Indonesia's economic growth in 2005 and
\n2006 will be between 5 percent and 6 percent. This year's growth
\nis expected to reach 4.8 percent.<\/p>\n
The only formula for dealing with the country's problems is to
\nencourage investment, which has been sluggish for years. Most of
\nthe investment coming in flows into property (80 percent), with
\nless than 20 percent going to labor-intensive industry.<\/p>\n
The government has been taking steps to boost investment. The
\nlatest move was the issuance of Presidential Decree No. 29\/2004
\non the centralization of the authority to license foreign and
\ndomestic investment with the Investment Coordinating Board
\n(BKPM).<\/p>\n
This decree is significant, but will the BKPM be able to
\nhandle this authority?<\/p>\n
What investors really need is a guarantee of political and
\nsecurity stability.<\/p>\n
The peaceful April 5 legislative election should provide the
\nimpetus for a peaceful presidential election. If the election
\ntakes place without any problems, more investment will flow into
\nthe country, boosting economic growth. The result of this would
\nbe that unemployment could be reduced.<\/p>\n
-- Bisnis Indonesia, Jakarta<\/p>", "url": "https:\/\/jawawa.id\/newsitem\/dull-employment-prospects-1447893297", "image": "" }, "sponsor": "Okusi Associates", "sponsor_url": "https:\/\/okusiassociates.com" }