REPUBLIKA.CO.ID, JAKARTA -- Indonesian Survey Circle (LSI) founder Denny JA hopes President Prabowo Subianto can boost Indonesia's economy. According to Denny JA, during Prabowo's reign, Indonesia's economic ranking could rise at least three places from 16th to 13th in the world.
“This is the best scenario Prabowo can create for Indonesia. At the end of his post, Indonesia's economic ranking jumped three levels, from 16th to 13th in the world,” Denny JA said in a written statement as quoted on Monday (21/10/2024).
Denny bases his expectations on the predictions of credible Institutions such as the World Bank and McKinsey. The two agencies report Indonesia will become the world's 4th largest economy by 2045-2050. Among the countries with large economies, in that year Indonesia will join China, India, and the United States at the top of the global economy.
Currently, Indonesia is ranked 16th in the world economy. The journey to move up 12 ranks in the next 20 years is a huge achievement, but not impossible if handled with the right strategy.
“If in 20 years Indonesia can jump up from 16th in the world (2024) to 4th in the world (2045), then on average every five years, Indonesia's ranking goes up 3 levels,” said Denny JA.
However, Denny JA also underscored two obstacles that Prabowo now faces. Both challenges were on the dangers of corruption and the red report of democracy. Corruption is not simply a moral or ethical problem, it is a systemic disease that undermines the economic order.
According to Denny JA, Prabowo is already aware of that. “Long ago he had been telling his political party supporters: Don't assign ministers to seek money from the state budget.”
Corruption is like rust that eats away at the machinery of the state. When public funds are misused or leaked, infrastructure development is hampered, investment does not come, and communities do not benefit from promised economic growth.
Based on Transparency International's index, Indonesia's corruption perception score in 2014 was 34 with a rating of 107. In 2023, the score remained at 34, but the ranking dropped to 115. Although the scores were unchanged, the ratings downgrade suggests that efforts to eradicate corruption need to be strengthened.
The declining quality of democracy also needs to get attention. The Economist Intelligence Unit makes up the democracy index.
In 2014, Indonesia's democracy score was 6.95, ranking it 49th. But in 2023, Indonesia's score dropped to 6.53 with a ranking of 56. Thus, the Indonesian democracy index declined.
Denny JA emphasized that a healthy democracy is an essential foundation for achieving sustainable economic progress. Without strong democracy, economic policies are often taken without sufficient public consultation, so legitimacy and support for policies are weakened.
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