Regions
From The Report: Indonesia 2013
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As a nation of 245m people, spread over three time zones and about 17,500 islands, Indonesia has always been a country of great diversity – economically, politically, culturally and ethnically. Since the return to democracy, this diversity has been increasingly recognised, with a policy of decentralisation handing more power to the regions. Redressing old imbalances between the centre and the outlying areas has taken on greater importance in recent times as well, with the government’s latest development plan based on six geographically defined economic corridors. Thus, Indonesia is very much a country of regions, with major implications for investors, foreign and local, given this decentralised approach. Now that the political agenda has given rise to an economic one, efforts to spread wealth around the nation are driven by the regions and by the central government.
This chapter contains an interview with Oesman Sapta, Founder, OSO Group.

Articles from this Chapter

Overview

Connecting the dots: Improving integration among the country’s diverse regions
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As a nation of 245m people, spread over three time zones and around 17,000 islands, Indonesia has always been a country of great diversity — economically, politically, culturally and ethnically. Since the return to democracy, this diversity has been increasingly recognised, with a policy of decentralisation handing more power to the regions. Redressing old imbalances between the centre and the outlying areas has taken on greater importance in recent times as well, with the government’s…

Analysis

Star performer: New investment is anticipated for West Kalimantan
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Under the Indonesian Investment Coordinating Board’s (BKPM’s) regional development competition, the province of West Kalimantan was declared the best performing region in 2011. This was after the Bornean contender achieved some impressive GDP growth figures, while also making an important impact on its citizens’ earnings and employment prospects. TOP OF THE LEAGUE: The Regional Champions (RC) programme seeks to funnel investment to seven provinces around the country, only one of which…

Interview

Oesman Sapta, Founder, OSO Group: Interview
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Interview: Oesman Sapta In addition to natural resources, what other investment opportunities does Kalimantan have to offer? OESMAN SAPTA: Under the Master Plan for the Acceleration and Expansion of Economic Development (MP3EI), the government has defined 22 categories of economic activity in six designated development zones in which investors can open or extend business ventures. Kalimantan currently looms large as one of these zones. To improve the investment climate, the central and regional…

Analysis

In the corridor: The regions are poised to experience unprecedented development
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In May 2011 the Indonesian government announced its new master plan for the country’s economic development, from an emerging to an advanced economy. This has profound implications for the country’s regional policy and its regional economies, as a major thrust of the new strategy is the creation of six, geographically focused development corridors. Each of these is based on the economic comparative advantages of the particular region the corridor encompasses, with the whole project set…