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President Prabowo Subianto inaugurated ministers, vice ministers, and heads of agencies of his cabinet on October 21, 2024. There were 48 ministers and five equivalent officials sworn in. The number caused pros and cons because it was deemed too large and ineffective.
Despite global economic uncertainty that leads to investment instability, President Prabowo explicitly targets economic growth at 8 percent during his term of office. Several economists share the same optimism about the target.
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Arsjad Rasjid, a famous economist, said that the 8-percent economic growth in 5 years is the essential prerequisite for Golden Indonesia 2045.
He believes Indonesia has competitive advantages that could be optimized to hit the target. They include:
Manpower
Treasure trove of biodiversity
Green resources, and
Stable economic growth over the last two decades
In addition, he said, President Prabowo does not work on his own. Businesspersons are ready to help and collaborate with the government to achieve the ambition.
“We understand that achieving economic growth at 8 percent requires collaboration and cooperation with stakeholders. Besides, the young generation are facing a major challenge. For this reason, transformation and adaptability are important,” said Arsjad during Gen8 Talk: 8 Persen Bisa di Ganara Art Space, FX Sudirman, on Thursday (17/10/2024).
When it comes to the lineup and number of cabinet members, the Chief Economist of Mirae Asset Sekuritas Indonesia, Rully Arya Wisnubroto, as quoted from Infobanknews, said that ministers responsible for the economy in Prabowo’s Red and White Cabinet had been ministers under Jokowi’s administration.
“Most of them were ministers in the previous cabinet, and they are closely related to continuity,” said Rully.
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Therefore, he added, the ministers and vice ministers in the Red and White Cabinet could satisfy market expectations. He is optimistic that they can stimulate national economic growth in the medium and long term.
However, the Managing Director of Energy Shift Institute, Putra Adhiguna, reminded President Prabowo about accelerating and strengthening the transition to renewable energy to attract quality investments.
“Energy transition will stimulate quality investments in years to come. For many world-class companies, green energy is the prerequisite for investment in any country,” he concluded in the discussion “Meneropong Arah Transisi Energi era Prabowo-Gibran” in Jakarta, on Friday (25/10).
The government should also focus on improving people’s purchasing power to support demands in the consumption sector, one of the largest contributors to economic growth.
Continuous economic activities create more jobs. Besides, inflation can be controlled more effectively and accurately.
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All stakeholders believe that all of those can positively impact the financial market, banking, and retail sectors. Considering the national economy, each businessperson should prepare to make business plans carefully and effectively.
As a considerable company in the transportation and logistics industries in Indonesia, PT Serasi Autoraya, or SERA, is ready to face any challenge next year with comprehensive services, such as car rental (TRAC), auction (IBID), and logistics (SELOG).