Indonesia's OECD membership could boosts investment: Minister

id Airlangga Hartarto,OECD,investment,accession

Indonesia's OECD membership could boosts investment: Minister

Indonesia's Coordinating Minister for Economic Affairs, Airlangga Hartarto, (left) and OECD Secretary-General Mathias Cormann speaks to reporters in Jakarta on May 29, 2024. (ANTARA/Bayu Saputra)

Jakarta (ANTARA) - Indonesia's membership in the Organization for Economic Cooperation and Development (OECD) could boost investment flow from other member countries, according to Coordinating Minister for Economic Affairs, Airlangga Hartarto.

"The internal survey showed that Indonesia's membership in the OECD could increase investment from members by 0.37 percent and support an increase in GDP (gross domestic product) by 0.94 percent," he told the OECD National Team Workshop in Jakarta on Wednesday.

He said that the increase in investment would benefit businesses, including micro, small, and medium enterprises (MSMEs), and create more jobs.

"By opening new opportunities in trade, investment, and collaboration, Indonesia's OECD accession process will provide mutually reinforcing benefits for the OECD and the Indo-Pacific region," he added.

Hartarto said that OECD accession would play an important role in helping Indonesia escape the middle-income trap. To achieve the target, joint efforts that include the aspirations of all stakeholders are crucial.

Indonesia's OECD membership would also help push economic transformation to achieve the 2045 Golden Indonesia vision, he added.

This is related to the OECD principles of good governance, transparency, and inclusive growth, which are in line with Indonesia's vision to achieve progress and prosperity.

Indonesia aims to achieve the Golden Indonesia vision by 2045, which envisages a gross national income (GNP) of US$30,300 per capita, a GDP of US$9.8 trillion, and 70 percent of the population belonging to the middle-class group.

"In that time, Indonesia can emerge as the fifth-biggest economy in the world, and of course, political stability is key to achieving that goal," Hartarto said.

Baca juga: Keberlanjutan bisnis keagenan krusial perluas akses keuangan
Baca juga: Menko sebut Indonesia berpengalaman atasi inflasi saat konflik Rusia-Ukraina

As an Asian country with growing global power, Indonesia has been recognized as an important player, he added. By becoming the first OECD member in Southeast Asia and the third in Asia, Indonesia will help the organization shape global policy and ensure a more representative and inclusive OECD.

On the same occasion, OECD Secretary General Mathias Cormann welcomed Indonesia's OECD accession process, saying that Indonesia is an important and respected global player that will have an important voice in the OECD Council.