Indonesia should develop creative economy to face AEC: Businessman

Indonesia should develop creative economy to face AEC: Businessman

Illustration of ASEAN Ecomonic Community (AEC). (linkedin.com)

The AEC is before our eyes, and Indonesia should continue to develop its creative economic sector."
Jakarta (ANTARA News) - Indonesia needs to develop its creative economic sector as one of the key economic aspects in the face of the ASEAN Economic Community (AEC).

"The AEC is before our eyes, and Indonesia should continue to develop its creative economic sector," Anggawira, the chairman of the Indonesian Young Businessman Association (HIPMI) in charge of Organizational Affairs, stated here, Friday.

Indonesias creative economy has strong potential and offers unending renewable resources, unlike natural resources, according to Anggawira.

The creative economic sector could also strengthen the identity of Indonesia, which has rich local wisdom.

Earlier, Trade Minister Thomas Lembong had expressed optimism that the countrys small- and medium-scale enterprises (SMEs) would be ready to face the AEC to be implemented starting January 1, 2016.

"I have traveled to regions and visited several SME exhibitions. I am confident since several SMEs have recorded success stories and view the AEC as an opportunity rather than fearing it, coming under pressure, or opposing the ASEAN integration," the minister affirmed in Jakarta on December 7, 2015.

To support the SMEs, the government has issued policies on business deregulation and debureaucratization to simplify licensing processes and to address overlapping regulations, according to Lembong.

State Enterprises Minister Rini Soemarno also recently remarked that state-owned companies are ready for the implementation of the AEC as of early 2016 by establishing synergy between state enterprises (BUMNs).

"I say that we should not be afraid of facing the AEC. Synergy among BUMNs could strengthen domestic companies, so that foreign firms from other ASEAN member countries keen to enter (Indonesia) would not be able to succeed as our BUMNs are stronger," Minister Rini stated on December 10, 2015.

Strengthening synergy between BUMNs could help to maintain Indonesias position in the AEC, according to the minister.

In the meantime, Indonesia should be able to take full advantage of the AEC and not merely be a spectator, Deputy Chairman of the Peoples Consultative Assembly (MPR) Hidayat Nur Wahid noted.

"I am afraid that Indonesia would be more of a spectator in the implementation of the AEC in 2016," Wahid remarked on Dec. 9.

He pointed out that several foreign products, more competitive in price and quality, would flood the domestic market following the implementation of the AEC.

It is feared that foreign workers, who are more competitive in terms of their skills, would seek jobs in Indonesia, and the country would only serve as a good market for other ASEAN countries, he added.

Several Thai citizens are already studying Indonesian language ahead of the implementation of the AEC, he revealed.

Meanwhile, the Creative Economy Board called on the Indonesian youth from across the country to capitalize on the opportunities arising from the implementation of the AEC.

"The youth should be quick to grab any opportunity when the AEC is implemented by the end of the year," Hari Santosa Sungkari, a deputy for infrastructure at the Creative Economy Body, said recently.

Sungkari noted that the free market at the regional level will automatically expand the market base for creative products.
(Uu.F001/INE/KR-BSR)

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