"Building infrastructures will drive economic development, provide jobs, and reduce poverty. All these have been included in the large concept of Mp3EI," President Yudhoyono said.
Jakarta (Antara News ) - President Susilo Bambang Yudhoyono, as the leader of a growing economic nation, has frequently promoted the need to achieve economic growth in equity.

"It is clear from our deliberations that our ultimate goal of the post-2015 Development Agenda is to end world poverty and to improve the well-being of our citizens," the president said in New York, September 2012.

He believed that an optimal balance should exist among economic growth, social equality, and environmental sustainability.

In May 2011, the Indonesian government had launched an ambitious program called the Master Plan for Acceleration and Expansion of Indonesias Economic Development (MP3EI), which was designed as part of the "development for all" agenda.

The program is considered a strategic breakthrough in narrowing the development gap in the regions, reducing unemployment, and boosting the nations economic growth through innovation.

Coordinating Minister for Economic Affairs Chairul Tanjung recently stated that the realization of infrastructure projects under MP3EI can boost equitable, sustainable, and balanced economic growth across the country.

"By intensifying economic growth in every province, district, and city without exception, competitiveness in facing the global economy will increase," Tanjung stated while addressing a conference on "Reflection of Three Years of MP3EI Implementation" in Jakarta.

He said the MP3EI is expected to promote the development of new economic growth centers in provinces, districts, and cities.

The new economic growth centers will be provided with facilities, such as infrastructure and connectivity, to support and synergize the economic activities in the regions.

The infrastructure projects will facilitate land and air connectivity to promote equitable growth in every region.

By implementing transformative development, Indonesia is expected to become an advanced nation and a new world economic power, with a per capita income of over US$15 thousand.

"Indonesia should become one of the seven strong economic nations by 2045 or coinciding with the centennial celebrations of our Independence," he stressed.

The MP3EI projects are geographically divided into six economic corridors, including the corridors of Sumatra, Kalimantan, Java, Sulawesi, Bali-Nusa Tenggara, and Papua-Maluku.

Sumatra has been designated as the center for agriculture and energy; Java for industries and services; Kalimantan for mining and energy; Sulawesi and North Maluku for agriculture and fisheries; Bali and East and West Nusa Tenggara for tourism and supporting national food self-sufficiency; and Papua and Maluku for natural and human resources.

Minister Tanjung informed that during the period May 27, 2011, to June 2014, 383 MP3EI projects worth Rp863.3 trillion had been realized in the six economic corridors.

Of the total projects, 174 were in the real-estate sector, with a total investment of Rp441 trillion, and 209 infrastructure projects, with an investment amounting to Rp422 trillion.

Sources of funding for the MP3EI projects included the state enterprises accounting for 26.2 percent of the total funds, the private sector 37.9 percent, the government 15.6 percent, and the government and the private sector 20.1 percent.

In the Sumatra corridor alone, the MP3EI project implementation had reached 61 percent of the target from May 2011 until 2014, according to North Sumatra Governor Gatot Pujo Nugroho.

The governor told President Susilo Bambang Yudhoyono during a videoconference recently that groundbreaking ceremonies had taken place for 65 projects worth Rp134 trillion over the last three years or since the MP3EI was launched.

He pointed out that one of the MP3EI projects is the construction of railway double track linking North Sumatra capital Medan and the new Kualanamu International Airport built with an investment of Rp878 billion.

On September 15, President Susilo Bambang Yudhoyono is scheduled to inaugurate several MP3EI projects in East Kalimantan Province.

"There are 17 MP3EI projects to be inaugurated by the president. Some of the projects could be called MP3EI Plus because they are handled by private companies," East Kalimantan Governor Awang Faroek Ishak noted in Samarinda recently.

The new projects include the construction of three airports in border areas, including Yuvai Semaring Airport in Nunukan District, Long Apung Airport in Malinau District, and Datah Dawai Airport in Mahakam Ulu District.

A terminal for Sultan Aji Muhammad Sulaiman Sepinggan Airport in Balikpapan is being constructed by state-owned airport operator PT Angkasa Pura at a cost of Rp1.6 trillion.

Yudhoyono will also inaugurate three power plants in Kutai Kartanegara District, including a steam power plant PLTU Embalut (Unit 3, 110 megawatt), a geothermal power plant PLTG Senipah (2x40 megawatt), and PLTG Peaking (2x60 megawatt).

Among the MP3EI Plus projects are offshore oil and gas rigs Sisinubi 2B and Peciko constructed by PT Total E&P Indonesie, and Ruby natural gas field by PT Mubadala.

The governor stated that the participation of the private sector is crucial to help realize the MP3EI program, as the government does not have sufficient funds to execute all the projects on its own.

East Nusa Tenggara (NTT) Governor Frans Lebu Raya expressed belief that the MP3EI was an extraordinary program for ensuring balanced economic development in every region across Indonesia.

The central government has set a target that through the implementation of the MP3EI program, economically backward regions will cease to exist in Indonesia by 2025.

"Some 4.9 million people living in this island-based region still long for the MP3EI program because they want to free themselves from poverty. NTT is ranking 32nd out of the total 33 poverty-ridden provinces in this country," he said in Kupang on September 11, 2014.

The public has benefited from the MP3EI projects, such as the constructions of roads, bridges, airports, and seaports in NTT, which is included in the Bali-Nusa Tenggara corridor, over the last two years, he pointed out.

He hoped that the next president will carry forward the MP3EI program as the locals still need it.

Chief of staff of Jokowi-JK Team of Transition Rini Soemarno had been quoted as saying that president elect Joko "Jokowi" Widodo will consider implementing MP3EI.

President Yudhoyono had asked Jokowi to continue the program, which was designed to be fully implemented by 2025.

"Building infrastructures will drive economic development, provide jobs, and reduce poverty. All these have been included in the large concept of Mp3EI," he added.(*)
(T.F001/A/KR-BSR/A014)

Reporter: Fardah
Editor: Fardah Assegaf
Copyright © ANTARA 2014