Ari Kuncoro Explains Strategies and Challenges in Advancing Indonesia’s Development
Nino Eka Putra ~ Humas FEB UI
JAKARTA – President Jokowi stressed the importance of the synergy of the central and regional governments delivered before 3000 regional leaders at the National Coordination Meeting of the Regional Leaders Communication Forum (Forkopimda). He also asked all to play an active role in encouraging investment and exports. This is all done for the ideals and dreams that never die out in realizing Indonesia as a developed country.
The government is optimistic that it can realize these expectations. Then what should be prioritized by the government in order to realize an advanced Indonesia and what the challenges are. There are 2 priorities that must be addressed by the government, namely the large number of regulations, they must be simplified immediately and the regulations are not consistent. In this case, it is most difficult for us to try to map which are not consistent, because we have regulations at the central and regional levels. Both have their own thoughts. Thus, causing Indonesian investment to fall from 5.01 to 4.21 leval. Then, our ranking in terms of licensing becomes 103 out of 140 countries surveyed.
“Since the last 5 years, the government has been trying to tidy up what’s in the center and just tidy up the ones in the regions. Like it or not, we have to use the help of a technology called hyperformance computing that cannot be seen anymore by the human eye. In addition, we can use analytic data to map which conflicts. From there, then we can make a kind of umbrella and incentives especially for local governments that are not consistent with the central government. For that, we need to build credibility,” said Ari Kuncoro as the Dean of the FEB UI as well as the Chosen UI Chancellor 2019 – 2024 who was a guest speaker at the Hot Economy News One TV program ‘Realizing the Dream of Advanced Indonesia’, Thursday (11/14/2019).
On the other hand, trimming 4 echelons into 2 echelons can make them functionalists who are able to analyze data and appreciate expertise and competence. When we look at the regions, each echelon holds a veto right for the licensing process.
In addition, strategies in Java such as Central Java create zone parameters. There we can control that the local government which is the friendliest with investment will be chosen. Most importantly, there are guarantees of protection, especially there are 2 licenses and land.
The positive effect of decentralization is that they are jealous of other developed regions and are called the demonstration effect. The advancing effects of the Java region were eventually imitated by regions outside Java. The concept that industry or economic activity must be centralized to minimize logistics costs and this has already happened to regional bureaucrats.
Of course, this gets a response from the public that every election, they will choose candidates who can promise good governance and improve people’s welfare with real work. “So, the government can strengthen it by providing incentives that come from special allocation funds, especially for high achieving regions,” concluded Ari Kuncoro. (Des)
