Maluku's economy still depends on primary sector: Minister

Maluku's economy still depends on primary sector: Minister

Ambon (ANTARA) - Minister of National Development Planning / Head of the National Development Planning Agency (Bappenas) Bambang Brodjonegoro attributed the slow development in Maluku to the economy still being dependent on the primary sector and government administration.

"The significant contribution of the government indicates that the economy is not yet independent," Bambang said during his keynote speech at the Development Planning Deliberation (Musrenbang) 2020 of the Maluku provincial city of Ambon on Tuesday.

The magnitude of the government's contribution in Maluku proves that the role of the private sector is still lacking in terms of regional development and basic infrastructure, while connectivity and poverty rates are twice as high as they are nationally.

He suggested several alternatives that the Provincial Government and 11 districts/cities in Maluku could opt for to overcome poverty and inequality in development in Maluku, including the development of inter-regional connectivity infrastructure.

Inter-regional connectivity infrastructure that is adequate will facilitate the mobilization of people and goods and the service sector.

In addition, it will provide incentives to private investors who want to invest in Maluku.

Whereas to overcome poverty and inequality, Maluku must focus on programs that have a direct impact on reducing poverty, developing local competitiveness, and improving the quality of human resources, he said.

According to the Minister, the Regional 2019 Development Planning Technical Coordination Meeting (Rakortekrenbang) in Balikpapan, regional apparatus organization (OPD) in Maluku, submitted 1,926 proposals.

"Some 144 of the proposals have been verified and discussed at the Development Planning Technical Coordination Meeting (Rakortekrenbang), and 20.4 percent of them have been approved by ministries/institutions," he said.

Whereas OPD 11 District / City in Maluku submitted 1,972 proposals, of which 109 were verified and discussed at Rakortekrenbang, and 10.1 percent of them were approved by ministries/agencies.

A number of proposed regional projects approved by the ministry/institution include the procurement of 314 two-wheeled tractors, 500 hectares of Rice Farming Business Insurance (AUTP), community market revitalization managed by cooperatives in disadvantaged, border and post-disaster areas.

In addition, new entrepreneurs are supported by the provision of initial capital, and the construction of the Drinking Water Supply System (SPAM) in the Outer Islands on Nura Island, Pulau Masela District, Southwest Maluku District (MBD).

"They are also aided by the Namlea City Wastewater Treatment System, as well as 3,889 beneficiary families (KPM), who get conditional cash assistance through family hope programs (PKH)," Bambang added.