Jakarta - Menteri Koordinator bidang Perekonomian Hatta Rajasa memberikan pidato pada acara 3rd ASEAN-CHINA YOUNG ENTREPRENEURS ASSOCIATION FORUM pada tanggal 21 April 2011 bertempat di Hotel Mercure.
SPEECH
AT ASEAN-CHINA
YOUNG ENTREPRENEURS DIALOG 2011
Jakarta, 21 April 2011
Bismillahirahmannirrahim,
Assalaamu’alaikum Warahmatullahi Wabarakatuh,
H. E. Ambassador to the People’s Republic of China,
H.E. Ambassadors of ASEAN member countries,
H.E. Secretariat General of ASEAN,
Ministers of Kabinet Indonesia Bersatu II,
Chairmen and members of ASEAN and China young entrepreneurs delegates,
Members of Himpunan Pengusaha Muda Indonesia,
Distinguished Ladies and Gentlemen,
It is truly an honour to be among you, distinguished guests, in this ASEAN-China Young Entrepreneur Dialog. And welcome to Jakarta.
II. REMARKS ON THE COMMENCEMNT OF THE DIALOG
1. First of all, allow me to give my views on the commencement of today’s event. I feel this dialog is an activity that is constructive, relevant, and visionary.
2. I say that this dialog is constructive because it can facilitate the transaction of knowledge among participants, mainly knowledge related to business development and investment that brings about mutual benefits for the parties involved.
3. I also deem today’s dialog as relevant in light of the recent economic development in East Asia. This is especially true given that economic cooperation among the People’s Republic of China and ASEAN member countries has increased in its intensity, especially in trade. In this forum, young entrepreneurs from China and ASEAN can discuss in detail proper strategies to make the trade cooperation become more productive, which, in turn, would bring about strong and sustainable economic growth in the region.
4. Furthermore, I also see the dialog as visionary. Interaction among participants would trigger improvements in synergy, coordination, and synchronization among China and ASEAN young entrepreneurs. This bodes well for China and ASEAN economies given that it would help support the creation of sustainable economic growth in the regions. Looking forward, I expect economic cooperation between China and ASEAN to be more intensive, more productive, and, in addition to that, provide more benefits for the two parties.
III. GLOBAL ECONOMIC RECOVERY AND INDONESIA’S ECONOMIC PROSPECTS
1. We deserve to be grateful, after falling into a deep recession in 2009, that our economy has entered a recovery phase. This recovery is marked by the improvement in the United States economy with positive growth of 2.8 percent in 2010. What is more important is that the US economic recovery has contributed to the reduction of unemployment in the United States to 8.8 percent. We should remember that at the height of the crisis, unemployment in the US reached more than 10 percent. The reduced unemployment level is evidence that the economic recovery process taking place there has created many employment opportunities. This development further convinces us that there is less likelihood of a double-dip recession in the US.
2. The positive development in the US economy has also been followed by many countries in the world. The European economy has now started to grow again. And the ASEAN region is also experiencing healthy economic growth again.
3. The global economy is projected to continue to grow throughout 2011 and in 2012. The IMF projects the global economy as a whole to grow at around 4.4 percent in 2011, and to grow by 4.5 percent in 2012.
4. There is a development that should receive our attention. Currently the global economy is growing at two different speeds: relatively slower growth in developed countries, and a far faster growth pace in developing countries (including the Asian region). What is more important is that the engine of economic growth has shifted to the East Asia region. East Asia has been considered as the main engine of global economic growth today, and for the future. Therefore, we are in a high growth region. This is why, young entrepreneurs from China and ASEAN must utilize this brisk economic growth as much as possible, and I believe this dialogue forum is one of the appropriate means to realize this.
5. Indonesia is among the few countries in the world that can still grow in the midst of the recent global crisis. In 2009, the Indonesian economy grew by 4.5% and the situation continues to improve. Economic growth in 2010 increased to 6.1 percent, while the reserves increased significantly from US$66.1 billion in 2009 to US$95 billion in 2010, and in the first quarter of 2011, they surpassed US$100 billion.
6. The improved global economy also supports Indonesia’s export performance. Indonesia’s exports have continued to be at a high level, reaching US$29 billion in the first two months of 2011, or growing 27.4 percent compared to the same period in the previous year. The balance of trade for Indonesia has been positive for the past 7 months; and in the first two months of 2011, there was a surplus in trade of US$4.4 billion.
7. One thing that needs to be stated here is that Indonesia always puts forward the principle of development that is accompanied with distribution for equality. Through various pro-people programs, economic growth reduced unemployment from 7.9 percent in 2009 to 7.14 percent in 2010; as well as reducing poverty from 14.2 percent in 2009 to 13.3 percent in 2010. The welfare of the Indonesian people has improved, as seen from the per capita income that rose beyond US$3,000 in 2010, far higher than US$2,590 back in 2009, and US$1,937 three years ago.
8. I believe Indonesia’s economy will continue to improve. In 2011, economic growth will reach 6.4 percent, or even higher. Total exports are targeted to grow by 12-14 percent with the value of US$169-185 billion. Therefore, poverty will drop further to 12 percent, while unemployment will fall to 7 percent by the end of 2011.
9. However, the government of Indonesia considers that the growth which has been taking place is not yet sufficient. Indonesia needs to grow even faster, so that there will be more Indonesian people who can escape poverty. To create more rapid economic growth, the government of Indonesia has completed a masterplan for the acceleration and expansion of Indonesia’s economic development that is better known as the MP3EI. Until now MP3EI has been finalized and is soon ready for implementation.
10. Through MP3EI, the government facilitates investment that mostly originates from the business and commercial world, in order to support the economic development in 6 corridors, which are the Eastern part of the Sumatra Corridor and Banten with the focus on rubber, coal, palm oil, the Sunda Straits bridge, and iron/steel; The Java Corridor with the focus sectors comprising of food products, textiles and transportation; the Kalimantan Corridor with the focus sectors comprising of oil and gas, palm oil, coal; the Sulawesi Corridor with the focus on food crops, plantations, fisheries and nickel mining; the Bali and Nusa Tenggara Corridor with the focus on tourism, agriculture and farming; and the Papua-Maluku Corridor, with the focus sectors comprising of mining, agriculture and plantations.
IV. STRATEGIC VALUE OF ASEAN ECONOMIC COOPERATION WITH PRC
1. The Indonesian government places great attention on the economic cooperation between ASEAN and the PRC. Indonesia believes that economic cooperation undertaken openly, which is competitive and mutual, between ASEAN and the PRC, can support the acceleration of ASEAN economic growth, particularly Indonesia, in the future.
2. Synergy for ASEAN and the PRC economies is the fusion of two giant economies in the Asian region. The ASEAN community has a population of 591 million with 80 percent of them in their productive age. The per capita GDP of ASEAN continued to grow from US$960 in 1998 to US$2,521 in 2009. The total GDP of ASEAN reached US$1.5 trillion in 2010. ASEAN, particularly Indonesia as its largest economy, is a very prospective economic partner for the PRC today or even in the future.
3. By comparison, the PRC has a population of 1.3 billion. The performance of the PRC is very impressive, with GDP of US$7.8 trillion and per capita income of US$6,000. It is also the second largest exporter in the world and is the world’s third largest importer.
4. The development of economic cooperation that is based on a constructive partnership between the PRC and ASEAN is significant capital to create more rapid economic growth both in ASEAN and in the PRC.
5. As part of the strengthening of the economic cooperation, we have an ASEAN China Free Trade Agreement. In the implementation of ACFTA, we remain committed to gradually balancing the volume of trade and investment between the PRC and ASEAN. Therefore, ACFTA can push economic growth in the PRC and in ASEAN countries.
6. I would like to convey that as the Chairman of ASEAN in this year of 2011, Indonesia is committed to strengthening ASEAN cooperation with the PRC as part of the strengthening of the 4 pillars of the ASEAN Economic Community, which are first, a single market and single production base, second, a highly competitive region, third, a region with well distributed economic growth, and fourth, integration with the global economy. I am enthusiastic about the creation of a “Region with well distributed economic growth”, which needs to be emphasized in the ASEAN-China economic cooperation.
V. MESSAGES AND HOPES FROM THE COORDINATING MINISTER
1. From what I have conveyed, I urge all participants to utilize this meeting as an interactive forum that can trigger business development and other productive economic activities. Please endeavor to make sure that this dialogue can produce a follow up program and an action plan that is structured and measurable, in order that it can realize beneficial business cooperation.
2. I also hope that through this dialogue, we can build professional business relations among the young entrepreneurs in ASEAN and the PRC, which can be developed in collective economic activities management that is mutually beneficial; as well as development of joint product marketing activities in ASEAN countries, the PRC and in other parts of the world.
3. I also urge all participants to pay careful attention to the explanations from the Ministers on the policy and cooperation in trade, culture and tourism, and sports in Indonesia. Please utilize these explanations to obtain enrichment of knowledge in your respective business management, particularly those which puts forward the possession of science and technology with environmental awareness.
4. At the end of the dialogue, I recommend participants to visit the INACRAFT handcraft product exhibition, as well as some business activities in Indonesia, such as the ceramic industry, architecture and property services, SMEs and cooperatives. Please utilize trips to these places to discover business opportunities and economic cooperation that is mutually beneficial.
5. To all those of HIPMI who have facilitated the organization of this event, I express my thanks.
6. To the ASEAN Secretariat and related ministers, I express my thanks and appreciation. I told the relevant ministers to continue providing support and facilitation in expanding the opportunities, roles and initiatives of Indonesia’s young entrepreneurs in all economic development sectors. Let us all make the necessary efforts so that national entrepreneurs can play a bigger role as the engine of economic development, which is competitive and brings welfare to our people.
These are some of my messages and hopes that I would like to convey on this good occasion.
Thank you very much.
Wassalamu’alaikum warahmatullahi wabarakatuh.
Jakarta, 21 April 2011
MENTERI KOORDINATOR BIDANG PEREKONOMIAN,
M. HATTA RAJASA
