The ranking is based on four criteria, namely economic performance, government efficiency, business efficiency, and infrastructure.
Yogyakarta (ANTARA) - Indonesia's competitiveness ranking improved from 44 to 34 in the 2023 Global Competitiveness Index report issued by the International Institute for Management Development (IMD), an official from the Industry Ministry informed on Thursday.

"The ranking is based on four criteria, namely economic performance, government efficiency, business efficiency, and infrastructure," head of the ministry's Standardization and Industrial Services Policy Agency (BSKJI), Andi Rizaldi, said at a press conference.

According to him, improvements in Indonesia's economic performance cannot be separated from increasing competitiveness, especially in the industrial sector, as mandated by Law Number 3 of 2014 concerning Industry.

To further improve the performance of the national manufacturing industry, his agency is committed to the continued development of technical services needed by the industry sector.

For example, by performing problem-solving for the industrial sector, expanding the implementation of Industry 4.0 and green industry, as well as making efforts to support decarbonization through greenhouse gas verification and validation, Rizaldi informed.

"This support has been realized in the establishment of the Personnel Certification Institute (LSP), Greenhouse Gas Validation and Verification Institute (LVV), and Inspection Institute (LI) in 2023," he said.

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He also reminded that industrial development must pay attention to the value chain, where industrial companies must be able to produce output with added value.

"The government is responsible for advancing industrial technology, one of which is by mastering Industry 4.0, including green industry and increasing the competency of industrial human resources," he added.

According to him, the government's support for Industry 4.0 has been reflected in several regulations, such as the Minister of Industry's regulation regarding the measurement of the Indonesia Industry 4.0 Readiness Index (INDI 4.0) and the Manpower Minister's Decree, which serves as a reference for determining the workforce competencies needed for managers, engineers, and maintainers for industrial transformation 4.0.

"Recognition of competency for professions, especially industrial transformation 4.0 managers as agents of change in companies, is very important to be carried out through competency tests from LSPs licensed by BNSP (National Board for Professional Certification)," Rizaldi said.

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Translator: Hery Sidik, Resinta Sulistiyandari
Editor: Yuni Arisandy Sinaga
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