Kadin chairman reads out IORA joint declaration

Jakarta (ANTARA News) - Chairman of the Indonesian Chamber of Commerce and Industry (Kadin) Rosan Perkasa Roeslani read out the joint declaration that concluded the Business Summit, which is part of the Indian Ocean Rim Association Summit (IORA).

Rosan was accompanied by a number of business representatives from IORA member countries when he read out the joint declaration in Jakarta on Monday.

The declaration stated that business makers must be aware of the changes in the information and technology sector that not only creates challenges but also greater opportunities to increase peoples welfare.

It also stressed the importance of recognizing the sustainable model of economic growth and preserving the environment for future generations by implementing the blue economic concept.

It also emphasized the roles of small and medium-sized enterprises that are deemed vital to sustainable economic growth models, as they create jobs and increase the countrys revenue.

President Joko Widodo had previously said during the event that smaller businesses can take part in globalization to reach higher levels.

With regard to the ever-growing information technology sector and Internet, the president also reminded that it does not just bear technical obstacles but challenges businesses to implement the right model.

Meanwhile, South African President Jacob Zuma also noted that he believed in the empowerment of small and medium-sized enterprises.

"We thoroughly believe that small businesses are just like the big ones. They are keys to economic growth and establishment of job fields," he stated.

The 2017 IORA Summit is held under the theme "Strengthening Maritime Cooperation for Peaceful, stable and Prosperous Indian Ocean."

IORA itself is a regional organization that houses 21 country members, all of which borders the Indian Ocean. It is based on the open regional principles aimed to strengthen economic cooperation, especially in facilitating investment, promotion, and development in the area.

The inter-regional trade within IORA member countries in 2015 reached US$777 billion, which is a 30 percent increase compared to $233 billion in 1994.

Furthermore, the Indian Ocean constitutes 70 percent of the worlds trade route, including oil and gas distribution routes, with over half of the worlds container ship and two-thirds of the worlds oil tanker ships sailing through the path.

The region is also home to 2.7 billion citizens, which is 35 percent of the entire world population.

However, its role only contributes to 12 percent of the worlds market, 10 percent of global Gross Domestic Product, and 13 percent of foreign investment.

It is recorded that 96 percent of the inter-regional trade within the Indian Ocean Rim is mainly dominated by Singapore, Malaysia, India, Indonesia, Australia, and South Africa.

Indonesia is also paying close attention to Bangladesh, Kenya, Mozambique, South Africa, United Arab Emirates, and Iran for further economic partnership.(*)