Jakarta,
Sept 12, 2014 (Antara) - President Susilo Bambang Yudhoyono, as the leader of
a growing economic nation, has frequently promoted the need to achieve
economic growth in equity.
"It
is clear from our deliberations that our ultimate goal of the post-2015
Development Agenda is to end world poverty and to improve the
well-being of our citizens," the president said in New York, September
2012.
He believed that an optimal balance should exist among economic growth,
social equality, and environmental sustainability.
In May 2011, the Indonesian government had launched an ambitious
program called the Master Plan for Acceleration and Expansion of
Indonesia's Economic Development (MP3EI), which was designed as part of
the "development for all" agenda.
The program is considered a strategic breakthrough in narrowing the
development gap in the regions, reducing unemployment, and boosting the
nation's economic growth through innovation.
Coordinating Minister for Economic Affairs Chairul Tanjung recently
stated that the realization of infrastructure projects under MP3EI can
boost equitable, sustainable, and balanced economic growth across the
country.
"By
intensifying economic growth in every province, district, and city
without exception, competitiveness in facing the global economy will
increase," Tanjung stated while addressing a conference on "Reflection
of Three Years of MP3EI Implementation" in Jakarta.
He
said the MP3EI is expected to promote the development of new economic
growth centers in provinces, districts, and cities.
The new economic growth centers will be provided with facilities, such
as infrastructure and connectivity, to support and synergize the
economic activities in the regions.
The infrastructure projects will facilitate land and air connectivity to promote equitable growth in every region.
By implementing transformative development, Indonesia is expected to
become an advanced nation and a new world economic power, with a per
capita income of over US$15 thousand.
"Indonesia
should become one of the seven strong economic nations by 2045 or
coinciding with the centennial celebrations of our Independence," he
stressed.
The
MP3EI projects are geographically divided into six economic corridors,
including the corridors of Sumatra, Kalimantan, Java, Sulawesi,
Bali-Nusa Tenggara, and Papua-Maluku.
Sumatra has been designated as the center for agriculture and energy;
Java for industries and services; Kalimantan for mining and energy;
Sulawesi and North Maluku for agriculture and fisheries; Bali and East
and West Nusa Tenggara for tourism and supporting national food
self-sufficiency; and Papua and Maluku for natural and human resources.
Minister
Tanjung informed that during the period May 27, 2011, to June 2014, 383
MP3EI projects worth Rp863.3 trillion had been realized in the six
economic corridors.
Of
the total projects, 174 were in the real-estate sector, with a total
investment of Rp441 trillion, and 209 infrastructure projects, with an
investment amounting to Rp422 trillion.
Sources
of funding for the MP3EI projects included the state enterprises
accounting for 26.2 percent of the total funds, the private sector 37.9
percent, the government 15.6 percent, and the government and the private
sector 20.1 percent.
In the Sumatra corridor alone, the MP3EI project implementation had
reached 61 percent of the target from May 2011 until 2014, according to
North Sumatra Governor Gatot Pujo Nugroho.
The governor told President Susilo Bambang Yudhoyono during a
videoconference recently that groundbreaking ceremonies had taken place
for 65 projects worth Rp134 trillion over the last three years or since
the MP3EI was launched.
He
pointed out that one of the MP3EI projects is the construction of
railway double track linking North Sumatra capital Medan and the new
Kualanamu International Airport built with an investment of Rp878
billion.
On September 15, President Susilo Bambang Yudhoyono is scheduled to
inaugurate several MP3EI projects in East Kalimantan Province.
"There are 17 MP3EI projects to be inaugurated by the president. Some
of the projects could be called MP3EI Plus because they are handled by
private companies," East Kalimantan Governor Awang Faroek Ishak noted in
Samarinda recently.
The new projects include the construction of three airports in border
areas, including Yuvai Semaring Airport in Nunukan District, Long Apung
Airport in Malinau District, and Datah Dawai Airport in Mahakam Ulu
District.
A terminal for Sultan Aji Muhammad Sulaiman Sepinggan Airport in
Balikpapan is being constructed by state-owned airport operator PT
Angkasa Pura at a cost of Rp1.6 trillion.
Yudhoyono
will also inaugurate three power plants in Kutai Kartanegara District,
including a steam power plant PLTU Embalut (Unit 3, 110 megawatt), a
geothermal power plant PLTG Senipah (2x40 megawatt), and PLTG Peaking
(2x60 megawatt).
Among the MP3EI Plus projects are offshore oil and gas rigs Sisinubi 2B
and Peciko constructed by PT Total E&P Indonesie, and Ruby natural
gas field by PT Mubadala.
The governor stated that the participation of the private sector is
crucial to help realize the MP3EI program, as the government does not
have sufficient funds to execute all the projects on its own.
East
Nusa Tenggara (NTT) Governor Frans Lebu Raya expressed belief that the
MP3EI was an extraordinary program for ensuring balanced economic
development in every region across Indonesia.
The
central government has set a target that through the implementation of
the MP3EI program, economically backward regions will cease to exist in
Indonesia by 2025.
"Some
4.9 million people living in this island-based region still long for
the MP3EI program because they want to free themselves from poverty. NTT
is ranking 32nd out of the total 33 poverty-ridden provinces in this
country," he said in Kupang on September 11, 2014.
The
public has benefited from the MP3EI projects, such as the constructions
of roads, bridges, airports, and seaports in NTT, which is included in
the Bali-Nusa Tenggara corridor, over the last two years, he pointed
out.
He hoped that the next president will carry forward the MP3EI program as the locals still need it.
Chief
of staff of Jokowi-JK Team of Transition Rini Soemarno had been quoted
as saying that president elect Joko "Jokowi" Widodo will consider
implementing MP3EI.
President Yudhoyono had asked Jokowi to continue the program, which was designed to be fully implemented by 2025.
"Building
infrastructures will drive economic development, provide jobs, and
reduce poverty. All these have been included in the large concept of
Mp3EI," he added. ***2***
(F001/INE/a014)
(F001/INE/a014)
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