Friday, February 23, 2024

Airlangga: Downstreaming boosts N. Maluku economy, national growth

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Audina Nur




Coordinating Minister for the Economy, Airlangga Hartarto, highlights the positive impact of the downstreaming program initiated by President Joko “Jokowi” Widodo to the economy of North Maluku.

“The Statistics Indonesia (BPS) records North Maluku’s economic growth as the highest nationally in 2023, reaching 20.49 percent,” Airlangga told a media conference on the Indonesian Economic Growth 2023 on Monday.

He said that the economic surge in the region correlated with increased production from downstreaming factories. Referring to the latest BPS data, North Maluku Province recorded the highest growth at 20.49 percent, followed by Central Sulawesi at 11.91 percent.

Acting Head of BPS, Amalia Adininggar Widyasanti, explained that the significant industries in both provinces stem from processed mining goods, especially the ferronickel industry. This aligns with the primary contributors to national economic growth in 2023, including the manufacturing sector (4.64 percent), trade (4.85 percent), agriculture (1.3 percent), mining (6.12 percent), and construction (4.91 percent).

Throughout 2023, the manufacturing industry remained the highest source of growth, contributing 0.95 percent to the total economic growth.

The success of North Maluku’s economy underpins the broader economic strategy advocated by President Jokowi, emphasizing the importance of value-added downstream industries in driving economic growth and regional development. As the nation strives to achieve sustainable economic growth, initiatives like downstreaming play a crucial role in diversifying economic activities, creating employment opportunities, and boosting local and national revenues.

Moreover, the success of North Maluku serves as a model for other regions seeking to emulate its economic trajectory. By leveraging the region’s natural resources through downstreaming and value addition, North Maluku has positioned itself as a leader in economic growth, setting an example for sustainable and inclusive development.

Looking ahead, sustaining and expanding upon the momentum generated by downstreaming will be crucial for North Maluku and other regions aiming to replicate its success. This requires continued investment in infrastructure, technology, and human capital, as well as policies that support innovation and entrepreneurship in value-added industries.

Audina Nur






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