REPUBLIKA.CO.ID, JAKARTA -- The issued economic policy package had yet to substantially improve the economy and the people's purchasing power, according to Agus Hermanto, the deputy speaker of the House of Representatives.
"The economic policy package has yet to boost the economy substantially amid the unstable economic conditions," Hermanto noted here on Tuesday.
Hermanto hoped the current government would provide direct cash assistance (BLT), a financial assistance program specially adjusted to cater to the needy.
The program had been implemented by former president Susilo Bambang Yudhoyono.
"There should be medium- and long-term policies in place. The government should strengthen the purchasing power of the poor people," he pointed out.
The government can increase the people's purchasing power by promoting subsidies, school operational assistance, microcredit loan program, and scholarships, among others.
"If the purchasing power increases, the people will buy products and services offered by domestic companies. Thus, national industries will not lay off their employees," he stated.
He urged the government to offer adequate financial support to increase the purchasing power of the people.
It was earlier reported that the Indonesian government will roll out a third package of economic policies this week in anticipation of the impact of the economic slowdown and to make businesses more investor-friendly.
This was announced by Cabinet Secretary Pramono Anung.
At a press conference following a limited cabinet meeting presided over by President Joko Widodo here on Monday, Pramono affirmed that the government is discussing a package of policies as an anticipatory measure to overcome the impact of the global economic slowdown.
"The government is also seeking ways to make the business world friendlier for investors and to also protect domestic businesses. Issues, such as smallholders' credit, were also discussed," he revealed.
He said the president had urged his ministers to promote efficiency in their respective sectors.
"On Thursday, we will announce licensing facilities in the land and agrarian sector," he remarked.
He noted that the licensing process in the sector was so far complicated, and therefore, it would be simplified and made easier.
He hoped the licensing process relating to the land and agrarian sector would be significantly simplified.
In the near future, Pramono affirmed that the president would also take steps to bring together regional leaders, including governors, district heads, and city mayors, to send a positive signal regarding a fundamental change in the licensing procedures.
The cabinet meeting also discussed changes in the macro assumptions in the national budget, which will be discussed with the House of Representatives on October 16.
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