Penajam/Jakarta, 17 August 2024 - The Indonesian Chamber of Commerce and Industry (Kadin) invites all stakeholders and elements of the nation to make the 79th Anniversary of the Republic of Indonesia a momentum to strengthen synergies. Strong synergy between civil society, the private sector and the government, including local governments, is an asset to face increasingly tough challenges.

Chairman of Kadin Indonesia, Arsjad Rasjid, reminded that big challenges still lie ahead, ranging from the weakening rupiah exchange rate, continuing geopolitical conflicts, to the risk of a global economic slowdown. This is exacerbated by prolonged supply chain disruptions and the era of high interest rates that burden the business world. These conditions demand strategic measures and strong synergy between the government and the business world.

"We must answer this challenge by strengthening economic fundamentals, maintaining macro stability, and encouraging innovation in various sectors. Thus, we can continue to maintain the momentum of growth and realise the vision of a Golden Indonesia 2045," said Arsjad.

Recognising the importance of a well-thought-out strategy, Kadin Indonesia is preparing a White Paper on Development Directions and Policies in the Economic Sector for 2024-2029 as a contribution in facing the challenges of the national economy, particularly related to optimising strategic sectors, strengthening MSMEs, and improving the welfare of the middle class. This white paper is designed with input from various stakeholders, including industry associations, investors, academics, and research institutions, which will later become a reference in preparing the 2024-2029 government programme and the 2025-2029 National Medium-Term Development Plan (RPJMN).

To that end, Arsjad emphasised the importance of organisational unity in strengthening the role of Regional Kadin and Extraordinary Members (ALB), which consist of various business associations, in contributing to the national economy. "Kadin will continue to focus on policy advocacy in favour of business and regional development. This white paper is expected to be a strategic foundation in encouraging economic policies that are more relevant and in accordance with regional needs," Arsjad explained.

Arsjad also emphasised that the business world needs to synergise with the government to encourage innovation and strengthen the strategic sector, including the policy of reskilling and upskilling the workforce to suit industrial needs. "The 79th Indonesian Independence Day celebration must symbolise the spirit of stronger collaboration between the business world and the government in facing global and local challenges. With the spirit of independence, let us make this momentum to strengthen cooperation for a more advanced and prosperous Indonesia," said Arsjad.

In line with the views of the business community, Indef Economist, Ariyo DP Irhamna, sees the business community collaborating with the government towards a Golden Indonesia 2045. "In order to achieve the target towards the vision of a Golden Indonesia 2045 as a developed country, a solid collaboration between the business world and the government is needed. The business world needs to be encouraged to be the locomotive of economic growth. Meanwhile, the government, through the state budget, is limited as a stimulator and through regulations plays a role in encouraging business actors to be more innovative and productive. With a solid collaboration between the government and businesses, quality jobs will be more available for the community, people's purchasing power can increase, and the tax ratio can be increased," concluded Ariyo.