Indonesia expects to become the world\u2019s 12th-largest economy by 2025 through stimulating domestic growth with its planned economic corridor scheme and programs to improve regional connectivity.<\/p>\n
A document from the Coordinating Ministry for the Economy obtained by the Berita Satu Media Group on Monday showed that the government has targeted boosting gross domestic product to between $3.8 trillion and $4.5 trillion in 2025 from $700 billion in 2010, when the country was the 17th-largest economy.<\/p>\n
Per capita income will also be raised to between $13,000 and 16,100 in 2025 from last year\u2019s $3,005, the document said.<\/p>\n
The \u201cMaster Plan for the Acceleration and Expansion of Indonesia\u2019s Economic Development [MP3EI] through 2025\u201d designates six regions as main economic corridors. Total investment of Rp 3,348 trillion is needed for infrastructure development as well as economic activities, it says.<\/p>\n
The government expects state-owned enterprises to pour money in the promoted regions, but it also called on the private sector to participate.<\/p>\n
Vice President Boediono told reporters on the sidelines of a two-day meeting of government and business representatives at the Bogor State Palace that the government would offer incentives for mining as well as manufacturing activities in the six priority regions.<\/p>\n
\u201cWe will ease requirements for the flow of goods so we can link domestic economic activity to global trade\u201d he said.<\/p>\n
Sumatra will be developed as an agricultural and energy center, while Kalimantan will see a focus on mining and energy and Sulawesi and North Maluku on agriculture and fisheries. Bali and East and West Nusa Tenggara will focus on tourism and supporting national food self-sufficiency, Papua and Maluku will focus on natural and human resources and Java on industry and services.<\/p>\n
Java island will get the bulk of investment at Rp 1,079 trillion, followed by Kalimantan with Rp 703.9 trillion, Papua-Maluku with Rp 602.2 trillion and Sumatra with Rp 545.7 trillion.<\/p>\n
The government vowed to tackle the infrastructure bottlenecks that hamper economic growth, including by speeding up the revision of building-related laws and curbing conflicting regulations at the central and regional levels. It said it would also provide more fiscal incentives and ease business licensing.<\/p>\n
The document says the government expects to \u201cconnect remote areas with better infrastructure in order to share the benefits of development with more people.\u201d<\/p>\n
Regarding infrastructural constraints, the document said none of the 25 key seaports across the nation could serve as a global hub while the main international airport, Soekarno-Hatta in Cengkareng, Tangerang, was already overcrowded.<\/p>\n
The government plans at least two global marine hubs and two air hubs to provide better gateways to the eastern and western parts of Indonesia.<\/p>", "url": "https:\/\/jawawa.id\/newsitem\/govt-aims-high-with-economic-development-plan-1303188296", "image": "" }, "sponsor": "Okusi Associates", "sponsor_url": "https:\/\/okusiassociates.com" }