Indonesia ‘not ready’ for ASEAN Economic Community
The Indonesian government should direct its policy with the aim of improving the competitiveness of the nation’s manufacturing sector ahead of the ASEAN economic integration due to take place in 2015, experts said according to the Jakarta Globe.
Simon Tay, chairman of the Singapore Institute of International Affairs, the oldest think tank in Singapore, said Indonesia’s economy will no longer be able to rely heavily on exports of natural resources. He said Indonesia’s neighboring rivals Singapore and Malaysia have been preparing their economies to serve as hubs for production of manufactured goods, including electronics.
Furthermore he said it was an irony that Indonesia, the biggest economy in Southeast Asia, received less than half of the foreign direct investment Singapore attracted.
“If Indonesia wants to have more income from trade in goods with higher added value, then within this three years, the policy must be aligned with the aim to boost investment in the manufacturing industry,” Simon said.
He was speaking at a seminar on “ASEAN Integration, and the Risks and Opportunities for Indonesian and Foreign Companies” held by an Indonesian law firm on November 15.
One of the most dramatic changes expected to accompany the ASEAN Economic Community is the enabling of “freedom of movement of professionals” — something the Indonesian Ministry of Manpower and Transmigration currently does its best to inhibit.
The Indonesian government should direct its policy with the aim of improving the competitiveness of the nation’s manufacturing sector ahead of the ASEAN economic integration due to take place in 2015, experts said according to the Jakarta Globe. Simon Tay, chairman of the Singapore Institute of International Affairs, the oldest think tank in Singapore, said Indonesia’s economy will no longer be able to rely heavily on exports of natural resources. He said Indonesia’s neighboring rivals Singapore and Malaysia have been preparing their economies to serve as hubs for production of manufactured goods, including electronics. Furthermore he said it was an...
The Indonesian government should direct its policy with the aim of improving the competitiveness of the nation’s manufacturing sector ahead of the ASEAN economic integration due to take place in 2015, experts said according to the Jakarta Globe.
Simon Tay, chairman of the Singapore Institute of International Affairs, the oldest think tank in Singapore, said Indonesia’s economy will no longer be able to rely heavily on exports of natural resources. He said Indonesia’s neighboring rivals Singapore and Malaysia have been preparing their economies to serve as hubs for production of manufactured goods, including electronics.
Furthermore he said it was an irony that Indonesia, the biggest economy in Southeast Asia, received less than half of the foreign direct investment Singapore attracted.
“If Indonesia wants to have more income from trade in goods with higher added value, then within this three years, the policy must be aligned with the aim to boost investment in the manufacturing industry,” Simon said.
He was speaking at a seminar on “ASEAN Integration, and the Risks and Opportunities for Indonesian and Foreign Companies” held by an Indonesian law firm on November 15.
One of the most dramatic changes expected to accompany the ASEAN Economic Community is the enabling of “freedom of movement of professionals” — something the Indonesian Ministry of Manpower and Transmigration currently does its best to inhibit.
