"This year we are focusing on infrastructure and food production," the President said here on Monday.
As the government completes its first year on 20 October, President Joko Widodo said the national sectors foundations will be fully strengthened to support policies that Indonesia plans to adopt in the future.
One of the fundamental policy shifts that the government has decided on is to reduce the subsidy on fuel oil, and instead divert it towards infrastructure projects that support the food sector. This way, the funds would be utilized more productively.
"Nearly 65-70 percent of the fuel subsidy is being diverted. These funds are being diverted to finance infrastructure projects related to inter-island, inter-city and inter-provincial connectivity with the aim to facilitate food distribution," he said.
Another government policy related to strengthening the national food development sector is to build reservoirs and irrigation facilities nationwide.
"In order to ensure food development, construction of 49 reservoirs is being undertaken. This year we are building 13 dams plus irrigation facilities, and boosting food self-sufficiency program," the President noted.
He hoped that the infrastructure projects, especially those related to the food sector, would lower the prices of primary goods as the cost of transportation would be cheaper.
"We hope that the infrastructure development will bring down logistical transportation costs and thus lower the basic goods prices," the President said.(*)
Editor: Heru Purwanto
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