Susilo-Kalla say creating jobs No.1 priority

Zakki P. Hakim, Jakarta

Apparently concerned about the country's high unemployment rate, presidential candidate Susilo Bambang Yudhoyono and running mate Yusuf Kalla have stated "creating more jobs" is top priority for their future administration.

"The unemployment rate has been worsening over the past several years.

"Economic achievements, such as economic growth, low inflation, a stable currency will only matter if people who deserve work can get work that meets humanity standards," says the campaign book published by the pair.

Aside from creating more jobs, the pair, supported by the Democratic Party, vow to boost macroeconomomic performance and stability, reduce poverty, provide easier access to health services and education, balance the wealth gap and improve natural resources management and environmental conservation.

Susilo and Kalla are considered by many analysts a good combination as Kalla's background as a businessman complements Susilo's long experience in the military and the bureaucracy and will be advantageous in solving the country's problems, including the lingering economic crisis.

They note, however, that given the government's big debt burdens, there are limited options in making policies. Therefore, it is imperative to make realistic policies.

The pair vows to reach economic growth of 7.6 percent when their term would end in 2009 from 4.1 percent in 2003 and to cut open unemployment by half to 5.1 percent in 2009 from 10.1 percent last year.

"Our focus on improving the economy is on the empowerment of local economic players in a bid to replace dependency on difficult-to-find foreign investment," Kalla said at a seminar last month.

Kalla, a former minister of industry and trade during the Abdurrahman Wahid administration, said that one of the ways to encourage domestic private investment was by boosting government spending on infrastructure.

He also proposed several other steps, including issuing bonds to finance the development of toll roads, ports and telecommunications networks.

"A boom in domestic investment is expected to reduce the country's high unemployment rate," said Kalla at the seminar.

With regards poverty reduction, they pledge to reduce the nation's poverty rate from 17.4 percent in 2003 to around 8.2 percent in 2009, and increase income per capita to US$1,731 in 2009 from $968 last year.

Plans to reduce poverty includes efforts to improve infrastructure in rural and remote areas, thus providing the poor with more access to economic resources, better health services and education.

Susilo and Kalla pledge to narrow the economic gap between urban and rural residents, between residents of Java and other islands, and between west and east Indonesia. Kalla was born in South Sulawesi, which is the main economic hub of eastern Indonesia.

Two steps designed to reduce wealth disparity are to give small and medium enterprises (SMEs) more access to capital sources, and empower regional governments and facilitate decentralization.

Susilo was the minister of mining and energy during the Abdurrahman Wahid administration. However, he so far has only one plan related to the sector, that is to reform oil and gas policies regarding the sector's contribution to the state budget.

Even though the Golkar Party has officially nominated Wiranto as presidential candidate, Kalla, who is also a Golkar member, expects to garner a substantial number of the party's votes, particularly in the eastern region.