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Jokowi says political stability essential before Indonesian government transfer

Jokowi says political stability essential before Indonesian government transfer
Jokowi says political stability essential before Indonesian government transfer

 


TEMPO.CO, JakartaPresident Joko Widodo or Jokowi paid particular attention to the need for political stability before the transfer of the Indonesian government.

“We must take note of political stability. It is important to avoid political turbulence to ensure the smooth running of the government transition,” he said on Monday, asserting that political stability must be maintained so that competitiveness of Indonesia globally is not affected.

Jokowi's government will end on October 20. He will be replaced by Prabowo Subianto, whose son Jokowi is vice president, Gibran Rakabuming Raka.

Prabowo Subianto did not form a special transition team for the current government transfer process. The president-elect instead chose a synchronization team made up of members of the Gerindra party. Gerindra party daily chairman Sufmi Dasco Ahmad heads the task force with Gerindra general secretary Ahmad Muzani as deputy leader. Team members include Thomas Djiwandono, Budisatrio Djiwandono and Prasetyo Hadi.

During his presentation at the cabinet meeting yesterday, Jokowi spoke about Indonesia's growing competitiveness in 2024. Referring to data from the IMD or the Global Competitiveness Ranking, the former Solo mayor said that Indonesia is currently in 27th position, beating Malaysia, Japan and the Philippines. .

He said countries like Malaysia and Japan were tending to lose competitiveness due to weakening currencies and falling productivity. President Jokowi says Indonesia's high-level competitiveness is due to governance, business and the economy.

“Political stability, monetary stability and increasing productivity are important,” Jokowi said.

State budget commitment from the Prabowo team

The new government's synchronization team discussed the 2025 State Budget with Minister of Finance Sri Mulyani and Coordinating Minister for Economic Affairs Airlangga Hartarto at the Directorate General of Taxes on Monday, June 24, 2024.

“They have assured that they are committed to a deficit of less than 3 percent,” Sri Mulyani said at a press conference yesterday.

On this occasion, Sri Mulyani assured that the current government strives to discuss and communicate the state budget planning with the elected government.

Based on a temporary agreement between the government and Working Committee A of the DPR Budget Agency on the macro-fiscal posture for 2025, economic growth is targeted around 5.1 to 5.5 percent in 2025, with an inflation target of 1.5 to 3.5 percent. rupiah exchange rate from Rp 15,300 to 15,900 per US dollar, 10-year SBN (government securities) interest rate from 6.9 to 7.2 percent, oil price between 75 and $85 per barrel, with oil increasing by 580 to 605,000 barrels per day, and natural gas producing between 1,003 and 1,047 million barrels per day.

The government also agreed that in 2025, the poverty rate would be reduced to 7-8 percent, the extreme poverty rate to 0 percent, the Gini ratio between 0.379 and 0.382, the open unemployment rate (TPT ) at 4.5-5 percent, human capital. index 0.56, farmers exchange rate (NTP) 115-120 and fishermen exchange rate (NTN) 105-106.

DANIEL A. FAJRI | ILONE ESTHERINA

Editors Choice: Jokowi pleased with Indonesia's competitiveness ranking surpassing Japan, Malaysia

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