Ever-changing Story of Indonesia

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Ever-changing Story of Indonesia

Mr Gita Wirjawan

23 January 2013

SMU Mochtar Riady Auditorium

Singapore

Indonesia is undeniably on an upward trajectory. With strong domestic consumption and GDP growth, and a rise in foreign direct investment during the last quarter of 2012, Indonesia is a rising star. Its GDP has surpassed $1 trillion, and it is ready to compete on a global scale.

With many young people in its workforce, Indonesia is poised to follow a growth model centred on low-cost labour and a growing middle class, akin to the developmental paths of China and India. However, given the recent slowdown in the economies of these two countries, attracting overseas investors to Indonesia is proving challenging. Are global opportunities overlooked? Can firms still benefit from Indonesia's economic potential? How is Indonesia retaining foreign investor appeal for its promising economy? Pak Gita Wirjawan, Indonesia's Trade Minister (2011-2014) shared his views on these pressing questions.

The GDP per capita of Indonesia has significantly increased over the years, from $400 to potentially $5,000 within a ten-year period.
The challenge for Indonesia is to improve its competitiveness by addressing its outdated infrastructure, such as the notorious traffic jams.
Indonesia has the potential to accumulate a GDP of US$60 trillion over the next 20 years if sufficient investments in education are made.

Speaker

Mr Gita Wirjawan

Minister of Trade
Republic of Indonesia

On the importance of youth in economic development

If you want to (consume more), you need to make sure that there is youth, and that there is reproduction. Demographically, Indonesia has been blessed, but demographically, Indonesia could be cursed too, if we don't do anything good to the young people (who) enter the world.

If you want to (consume more), you need to make sure that there is youth, and that there is reproduction. Demographically, Indonesia has been blessed, but demographically, Indonesia could be cursed too, if we don't do anything good to the young people (who) enter the world.

Gita Wirjawan
Minister of Trade
Republic of Indonesia

I always say that whatever happens to Indonesia happens to Singapore in many ways. Whatever we have to export and import has to go through Singapore. If Indonesia grows, Singapore will inevitably grow.