We have experienced two elections as Indonesian, the first in 2004 and the most recent in 2009. The former was the portrayed as a big momentum after reformation movement in 1999 and the later was considered as the nation’s drive to a mature state. Despite the presence of misconducts and offenses during the process, the election ensures that the best leaders and parties earn the responsibilities to lead Indonesia in the next five years.
In this opportunity, I would like to pass on good wishes to Mr. SBY and Mr. Boediono as leaders and also main figures in Indonesia. Thouh deemed conservative by many, I believe the pair reflect the hope of many realistic and optimistic views that our nation can go strength to strength in years to come.
They will be supported by a cabinet of Indonesia’s crème de la crème in different background each capable of establishing team and policy to solve problems. Thus SBY and Boediono do not want this talents to go away and not make any impact. Thus SBY and Boediono shall set up priorities for the cabinet to execute. If I were SBY and Boediono, here are the list of top priorities.
My first priority would be strenghtening macroeconomic foundation through optimization of microeconomics activities. The goals of this priority are increase in domestic production, price stabilization, job creation, regional development and eventually better wealth distribution.
The basic idea of this priority is to enhance the supply-side activities which has been the setback in the past. The ever increasing demand is not balanced by the supply thus excess-demand is present. The consequences are persistent inflation and growing imports hence increase in domestic productions is essential to compensate the rising demand. It will then promote price stabilization.
Increase in domestic production as well as price stabilization is an incentive for firms to expand their production thus job creation is achievable. We shall be wise with the priority that is not to concentrate in developed region such as Java and Bali but expanding the prospects to other regions as well in order for them to develop. The regional development endorse better wealth distribution among regions in Indonesia.
The above is somewhat the perfect scenario but we shall note that there are “X” factors lurking outside the window. We can recall force majeure such as natural disasters, energy crisis, and global crisis which are unavoidable. In order to limit the effects of such event to our economy we need regulations concerning economic safety-net. These regulations will help us in the bad times such as recessions or even the avoided depression. Establishment of these regulations require the executive and legislative to collaborate even better in the future.
My second priority will be improving infrastructures especially those that will keep the wheels of economy spinning. Those infrastructures are roads, railroads, seaports, natural power plant, and communication with special attention to railroads.
Imagine that our production is growing but there are obstacle in its distribution because lacking of infrastructure. The goals of prize stabilization is far from the horizon and bottle-neck is there to be witnessed. Better infrastructure leads to optimal production and distribution. Let’s visualize when productions are hindered with electricity blackouts and distributions are held up because the roads are stuffed. Hence, infrastructure plays an essential role in supporting production activities.
I would pay more attention in railroads because it is vital in people mobility in everyday life. In reality, many argue that wider road and more highways are good enough to support mobility. But can you imagine what will happen if the number of cars is increasing all the time and the consumption of fuel is costly to the state budget and environment. More railroads means efficiency and effectiveness of public transportation that can be benefit more people.
The condition for this priority is the provision of continuous fund because infrastructure projecs are carried out in years thus fiscal management will be central.
The third priority is to again promote education especially in underdeveloped regions in Indonesia. Education is essential in the building of the nation’s character and mindset. Malaysia investment in education after their independence, rather than in infrastructure, has better pay-offs today than Indonesia’s investment decision in infrastructure at the same time. I have faith that education assures the continuity of development in years to come.
Education is not about the physical state such as buildings but it is about forming the right attitude of the offspring. I would insist not to trade this priority with the other.
The fourth priority is institutional reform in law and its enforcement. The root of all problems in Indonesia is its institutions where clear objectives are lacking, disclosed rewards are present, and the absence of punishment for any wrongdoing. The execution agenda and priorities without adequate institution is inefficient and ineffective hence optimal results will not be realized.
Reform in law and its enforcement assure people behave optimally toward the set of objectives because deviation from it would be costly. This reform, in fact, cannot be done by SBY and his team solely but with collaboration with the legislatives. The executives and legislatives need to be productive to generate policies and laws (UU) in years to come.
I believe that there are many other issues that will have to be prioritized soon and, as time goes on, there will be shift of priorities in Indonesia but I believe that the four stated above is the foremost. Overall, those priorities above are bound to concept thus details and practical issues are not mentioned.
It is not up to SBY, Boediono, and the cabinet to change the destiny and the fortune of our country but it is up to the entire nation. If we want to change the course of our nation, we will have to change our ethics and mindsets.
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