Jakarta (ANTARA) - Indonesia needs strong microelectronics education to compete in the global semiconductor market, Coordinating Minister for Economic Affairs, Airlangga Hartarto, said on Saturday.

"Semiconductors are about chip design; that's microelectronics. We need strong microelectronics education to compete in the global semiconductor market," he stated after an economic seminar in Jakarta.

"In the future, it is important for us to direct human resources toward the Golden Indonesia vision," he added.

Hartarto said that, in the short term, vocational education in the country needs to be improved to produce human resources (HR) who are competent in the field of semiconductors.

According to him, vocational schools are well-positioned to produce a highly technical workforce for chip production.

The government has also sought to improve vocational education by issuing regulations in the form of super tax deductions, he added.

According to Government Regulation (PP) Number 45 of 2019, the super deduction tax is a tax incentive provided by the government to industries involved in vocational education programs, including research and development activities to produce innovations.

"It has been made easier because there were concerns from corporations regarding audits and others. The Minister of Finance also made the process easier, and it is hoped that it will start to be utilized," Hartarto said.

He also said that to achieve the Golden Indonesia 2045 vision, Indonesia must continue structural transformation, increase human resources, and develop new engines of growth.

"Especially, the additional engine of growth is in the digitalization sector because Indonesia already has a digital economy framework agreement in ASEAN," he added.

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Translator: Muhammad Heriyanto, Cindy Frishanti Octavia
Editor: Anton Santoso
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