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Less Economic Growth Impact on Labor, Why?

Written by Cabbare on September 7, 2009.

So far, Indonesia’s economic growth is significantly less impact on the welfare and employment. This is caused by inadequate investment growth. Therefore, the government needs to take some steps to improve the investment growth in Indonesia. “First, improvements in the institutional side. There must be an integrated system of one door or at least one roof to service the settlement agreement and walked quickly and effectively,” said Chairman of the House of Representatives Commission IV Didik J Rachbini in discussion “Architecture Indonesian Investment Law” at Paramadina University, Jakarta , Monday (7 / 9).

He said the change in the system can not be negotiable. Improvement of service systems to be effective and efficient is an absolute prerequisite for achieving the investment growth rate is good.

Second, to develop a more advanced investment, there must be efforts to strengthen the institutional and local discretion in accordance with the principle of regional autonomy and decentralization. “Thus, the investment services from the central area to area. There is also the harmonization of coordination between central and local government,” he said.

Third, governments need to create instruments that provide interesting and attractive facilities. Ground facilities should be provided in a fairly long period and berkepastian, especially for long-term investment and capital intensive.

In addition, he added, required the provision of facilities that can be given to investors that are interested in coming to Indonesia. “For example, with the ease of immigration facilities to investors and the mobility of labor went well,” he said.

The last thing that also needs to be done is to provide fiscal facilities. Fiscal facilities is necessary for investment rolling. Bids explicit fiscal facilities are usually done by other countries so that the actual state level there is intense competition in the granting of fiscal facilities. “Fiscal facility can be run as part of the political and investment strategies,” he said.

User's Comment

  1. Vertie Krofta | July 25th, 2010

    @Matt I completely agree with you

  2. Miesha Martorana | July 27th, 2010

    @Jim Thats good stuff

  3. Monte Wampler | July 29th, 2010

    Do you think that is going to work?

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