WNAM REPORT: Indonesia’s Ministry of National Development Planning (Bappenas) has reaffirmed its commitment to overcoming the middle-income trap through comprehensive economic transformation, with the aim of boosting the nation’s global competitiveness.
This effort is being pursued through the formulation of the National Productivity Master Plan (MPPN).
“This master plan is expected to serve as a collective instrument to make productivity the main driver of national development, paving the way toward Indonesia Emas (Golden Indonesia) 2045,” said Deputy for Macro Development Planning at Bappenas, Eka Chandra Buana, during the dissemination event for the MPPN Final Report Draft, according to an official release here on Monday.
Bappenas presented the draft plan to gather feedback from key stakeholders before its formal adoption.
Developed in collaboration with the Asian Productivity Organization (APO), the MPPN outlines an initial framework to guide Indonesia’s transition toward productivity-led growth.
Pungkas Bahjuri Ali, Special Advisor to the Minister on Social Affairs and Poverty Reduction, emphasized that productivity growth is not only about enhancing economic performance but also about improving societal well-being.
“Productivity-driven growth can reduce poverty, create decent jobs, and strengthen Indonesia’s socio-economic resilience,” he said.
Arsyoni Buana, Head of the In-Country Programs Division at APO, also highlighted the critical role of Total Factor Productivity (TFP) in accelerating development.
“As a key determinant of national productivity, TFP must be supported by innovation, technology, and education. With sufficient capital and labor, countries can optimize long-term and sustainable growth targets,” Arsyoni noted.
