Processing Industry to Drive Indonesian Economy in 2023: Bappenas

Antara - 21 April 2022 23:41 WIB
Processing Industry to Drive Indonesian Economy in 2023: Bappenas
Investment is also expected to develop positively. (photo:
Jakarta: The processing industry sector is expected to emerge as the driving force of the economy in 2023, when economic growth is targeted to reach 5.3–5.9 percent.

The statement was made by the National Development Planning (PPN) Minister and head of the National Development Planning Board (Bappenas), Suharso Monoarfa, at the 2022 Central Development Coordination Meeting here on Thursday.
"This will be supported by the development sustainability of priority sectors, such as F&B (food and beverage), textiles, chemistry, pharmaceuticals, medical devices, and green industry programs, as well as the expansion of Industry 4.0," Monoarfa said.

Meanwhile, the agricultural sector is expected to grow positively thanks to the food estate development policy, he added.

The construction sector is also forecast to thrive, supported by infrastructure development in the National Capital (IKN) in 2023 and other priority projects.

Meanwhile, the economic growth target for 2023 can be achieved by boosting public consumption, which is expected to grow 5.2–5.4 percent on account of increasing public activities and the pandemic-to-endemic transition.

Investment is also expected to develop positively through priority infrastructure projects, industrialization, and enhanced investment in environment-friendly industries, Monoarfa added.

"Exports are also bolstered to grow 6.0 percent to 7.3 percent. This growth will come from an increase in global demand along with improving global conditions and increased productivity," he said.

According to Monoarfa, the indicators of development in 2023 will be economic growth of 5.3–5.9 percent, poverty rate of 7.5–8.5 percent, and open unemployment rate of 5.3–6.0 percent.

Furthermore, the Gini coefficient will be maintained at the level of 0.375, the human development index is targeted to reach 73.31 to 73.49, greenhouse gas emissions will be reduced to 27.02 percent, fishers' terms of trade will be at 106 to 107, and farmers' terms of trade at 103 to 105.  


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