Why the Manufacturing Sector Still Matters for Growth and Development in Indonesia

Rahardja, Sjamsu ; Winkler, Deborah ; Varela, G. ; Ing, Lili Yan

World Bank, Jakarta

关键词: ACCOUNTING;    AGGLOMERATION;    AGRICULTURE;    BUSINESS CLIMATE;    BUYERS;   

RP-ID  :  73122

学科分类：社会科学、人文和艺术（综合）

来源: World Bank Open Knowledge Repository

【 摘 要 】

Is Indonesia's manufacturing sectorstill relevant for growth and development? As a result ofthe last boom in global commodity prices between 2003 and2008, resources in Indonesia shifted towards commodities andresource-based manufacturing as these sectors seemed topromise higher returns on investment. In recent quarters,however, the manufacturing sector has exhibited strongeroutput growth rates and attracted more investment. This noteargues that building on the current momentum ofmanufacturing growth is critical for Indonesia'sdevelopment (i) to support the creation ofhigher-productivity jobs, (ii) to sustain higher economicgrowth and progress in structural change, and (iii) toachieve long-term prosperity. Finally, this note also showshow the Master Plan for the acceleration and expansion ofIndonesia's economic development (MP3EI) acknowledgesthe importance of the manufacturing sector for economic growth.