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Coordinating Minister AHY: Infrastructure essential for growth and welfare

Front Row (The Jakarta Post)
Jakarta
Wed, November 6, 2024

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Coordinating Minister AHY: Infrastructure essential for growth and welfare

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oordinating Minister for Infrastructure and Regional Development Agus Harimurti Yudhoyono (AHY), officially inaugurated the Konstruksi Indonesia 2024 event on Nov. 6 at ICE BSD in Serpong, Tangerang, Banten. In his opening remarks, AHY emphasized the construction sector's vital role in national development, noting that it has become a key driver of Indonesia’s growth and economic advancement.

“Infrastructure is crucial for driving economic growth, enhancing public welfare and boosting our nation's competitiveness,” AHY stated. “Even in challenging times, infrastructure development must continue to thrive, sustaining economic stability despite limited resources,” he added.

The administration of President Joko “Jokowi” Widodo has made substantial investments in infrastructure, making it one of the government’s five top priorities. According to the 2024 International Institute for Management Development (IMD) World Competitiveness report, Indonesia ranks as the third-best country in Southeast Asia for infrastructure and has climbed to 27th globally, an improvement of 15 places since 2015.

AHY also highlighted the importance of ensuring that infrastructure benefits all levels of society. "Infrastructure that is neither effective nor functional is simply a waste of state funds," he emphasized, calling for efficient and beneficial infrastructure planning.

Aligned with the President and Vice President’s eight-point mission (Asta Cita), the government is committed to promoting economic equity and eradicating poverty through a bottom-up development approach, starting from villages. The initiative aims to achieve an 8 percent economic growth rate and zero percent poverty rate.

Indonesia has extensive resources to support this vision, including abundant natural resources and a skilled construction workforce. AHY stressed the importance of prioritizing domestic resources to reduce reliance on foreign suppliers, and noted the government’s focus on policies that promote the use of domestic products (PDN) and the increased level of domestic components (TKDN) in infrastructure materials, equipment and labor.

AHY also called on academics, contractors and consultants to continue enhancing their skills and competitiveness, pushing for more efficient project management and quality service delivery. “As the 15th largest country in the world, collaboration and support from all sectors will be invaluable,” he added.

Themed "Agility and Adaptability of the Competitive Construction Sector," Konstruksi Indonesia 2024 offers industry professionals a platform to share ideas, exchange knowledge and explore innovations that will help the construction sector adapt to global developments.

Also in attendance were Public Works Minister Dody Hanggodo, Deputy Public Works Minister Diana Kusumastuti, and Director General of Construction Development Abdul Muis.

Konstruksi Indonesia 2024 series, which began in June, will run until Nov. 8 at ICE BSD. Highlights include conferences, workshops, an exhibition, a national workforce competition and the Bangga Buatan Indonesia (BBI) and Bangga Berwisata di Indonesia (BBWI) initiatives. More information is available at konstruksiindonesia.pu.go.id.

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