Kadin not too happy with economics team<\/p>\n
The Jakarta Post, Jakarta<\/p>\n
Confidence among the business community toward the economics team
\nof President Susilo Bambang Yudhoyono is gradually declining, due
\nto its failure to reduce the high-cost economy as well as provide
\nclear-cut economic policies for the long run.<\/p>\n
Even a stout supporter of the economics team, the country's
\npowerful business lobby group the Indonesian Chamber of Commerce
\nand Industry (Kadin), has found the courage to openly criticize
\nthe team.<\/p>\n
\"Frankly speaking, the business community is now skeptical
\nabout the team, particularly about its efforts to address the
\nclassic problems of high-cost economy and smuggling, which have
\nscared away investors,\" Kadin chairman Mohamad S. Hidayat told
\nThe Jakarta Post on Sunday.<\/p>\n
The corrupt bureaucracy -- the root of the high-cost economy
\n-- remains untouched by the reform drives promoted by the
\neconomics team.<\/p>\n
Hidayat was commenting on the performance of the current
\neconomics team in the Cabinet -- almost a year since it took
\noffice. The comments came only days after Vice President Jusuf
\nKalla defended the team's performance amid criticism that it had
\nfailed to successfully tackle the country's economic ills.<\/p>\n
Kalla said the economy had in fact seen progress under the new
\nadministration and that issues such as the weakening rupiah and
\nthe fuel price increases were attributable more to external
\ninstead of internal factors.<\/p>\n
Hidayat was apparently not convinced.<\/p>\n
\"The economics ministers have come up with their own
\nblueprint. However, it is not fully applicable since there are no
\nconcrete steps, time frames or parameters on how to implement it.
\nWithout that, the blueprint remains rhetoric,\" he said.<\/p>\n
It is due to the lack of concrete and comprehensive planning
\nthat the economics team failed to anticipate the impact of higher
\nglobal oil prices, which has in turn dealt a heavy blow to the
\ncountry's hard-gained monetary and fiscal stability.<\/p>\n
Due to the fuel price increases alone, the economic growth
\nforecast for this year had to be slashed from 6.0 percent to 5.7
\npercent.<\/p>\n
\"The performance of the economics team is far from what many
\nhad expected, as it cannot anticipate changes in the economy. All
\nof their economic assumptions have missed the mark,\" said
\neconomist-turned-legislator Dradjat Wibowo.<\/p>\n
Dradjat said several of the economics ministers always
\ndownplayed future economic threats in order to cover up their
\nincompetency and to please the public.<\/p>\n
\"When the rupiah was plunging uncontrollably, Minister of
\nFinance Jusuf Anwar simply said 'don't worry, be happy' despite
\nthe fact that President Susilo took the problem seriously. This
\nis a sign that Jusuf did not have a good understanding of the
\nproblem.\"<\/p>\n
Economist Faisal Basri insisted that the government had to
\nintroduce impressive policies to improve the economy, such as by
\nreforming the tax and customs regime, and eliminating the high-
\ncost economy in order to regain business confidence.<\/p>\n
\"I actually feel sorry for President Susilo as he is bearing
\nthe brunt of the curses from the public as a result of the
\nincompetency of his economics ministers. Susilo should realize
\nthat it is time to change the economics team,\" said Faisal.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/kadin-not-too-happy-with-economics-team-1447893297",
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