"The Indefs forecast is based on pressuring factors, including exports that cannot be boosted. This is not only because of the global condition but also due to the fragile structure of our industry," Executive Director of Indef Ahmad Erani Yustika said in his address at a meeting on the Indonesian Economic Projection in 2015 on Thursday.
The government may be optimistic about achieving the economic growth target of 5.8 percent as there has been fiscal room to develop the economy by building infrastructure and providing social protection to the poor.
However, the impact of the governments programs will not be felt in 2015.
"There is still a time lag in the economic field. For instance, infrastructure that will see its construction begin in January 2015 will be completed only at the end of the year and can be enjoyed only by early 2016. So hindrances to economic growth will remain unsolved next year," he explained.
Yustika emphasized that the government should improve the state of the bureaucracy to make them efficient so that they can contribute 0.2 percent to the national economic growth.
"What the government can do is improve bureaucracy to make them efficient so that they can contribute to the economic growth, albeit by not more than 0.2 percent," he stated.(*)
Editor: Heru Purwanto
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