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View all search resultsTo unlock its economic potential on the road to 2045, Indonesia must move beyond simply chasing finance to closing its core development capital formation gap. Building an accountable, state-led architecture, not just a larger bureaucracy, is the true master key to turning strategic priorities into productive national wealth.
Behind Indonesia’s improving statistics lies a harsh reality of over one million children hidden in an unregulated, informal economy. To save them, the government must democratize local data and force its siloed ministries to cooperate.
The recently launched Bali Climate Financing Platform introduces a new model for translating road maps into implementation and if successful, it could be emulated in other provinces to safeguard regional economies toward building climate resilience.
The government has launched a drive to increase productivity as Indonesia’s labor productivity remains among the lowest in Southeast Asia, threatening long-term growth. Experts warn that red tape, weak incentives and regional disparities undermine the competitiveness of local companies.
Raden Siliwanti, an expert staffer at the National Development Planning Ministry/National Development Planning Agency (Bappenas), has said the total investment needed for the next five years of 2025-2029 amounts to Rp 47,587.3 trillion (US$2.9 trillion).
Bappenas has drawn up two possible scenarios for the country to achieve incoming president Prabowo's plan to reach GDP growth of 8 percent, an entire percentage point higher than Jokowi's unattained target of 7 percent.
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