City recorded an annual growth of 3.6% in 2000

JAKARTA (JP): Despite the prolonged nationwide recession, the Jakarta's economy showed a significant rebound with 3.67 percent growth last year, an official said on Wednesday.

Head of the city's Central Bureau of Statistics (BPS) office Masni Rani told reporters the recuperation exceeded the target of 1.66 percent. The capital's economic growth was a mere 1.29 percent in 1999.

"All economic sectors recorded an increase, except the agricultural sector which dropped to 4.54 percent," Masni said at the City Hall.

The achievement, however, was below national economic growth which increased by 4.7 percent last year.

She predicted a slow-down this year, setting the growth at only 2.9 percent. But she was upbeat about brighter prospects in the years to follow, with economic growth expected to jump to 4.26 percent in 2002, 6.1 percent in 2003 and 7.7 percent in 2004.

"The projection is based on our data, but the realization will depend much on, among other factors, political stability," Masni remarked.

She said the trading, hotel and restaurant sector recorded the highest increase of 5.49 percent, thanks in part to a government policy to allow completely-built-up car imports.

The finance and banking sector in the city grew by 2.36 percent and the construction sector rose by 2.89 percent last year, after suffering a negative growth in 1999.

After enjoying an 11.74 percent growth in 1999, the agricultural sector took a plunge last year. Masni said the drastic decline was caused by the economic crisis, which had caused people to leave the sector.

Services, transportation and communications; electricity and gas; clean water and the processing industry increased by 3.52 percent, 3.20 percent, 2.42 percent and 3,91 percent respectively last year.

The four sectors also recorded a growth of 07.6 percent, 6.89 percent, 7.50 percent and 0.88 percent, respectively in 1999.

Confirming the increase in economic growth, Masni said unemployment in the capital decreased from 668,000 in 1999 to 470,000 last year.

She said some 196,000 unemployed people were absorbed by small and medium industries here, including food and beverages and garment home industries.

Masni said that as a result of the economic growth, the city also recorded a 7.78 percent increase in income per capita, which was Rp 17.02 million (US$2,108) with a conversion rate of Rp 8,100 a dollar, last year.

"It means that Jakartans earned Rp 17.08 million in annual income on average last year," she said. The figure was based on the capital's population which reached 8.3 million last year.

The income per capita of Jakartans had gradually increased from Rp 9.07 million as the economic crisis began to plague the country in 1997, to Rp 12.17 million in 1998 and Rp 14.503 million in 1999. (jun)