The Province of South Sulawesi ranked 15th in Indonesia's Inclusive Economic Development Index
The Province of South Sulawesi ranked 15th of all the provinces in Indonesia in the Inclusive Economic Development Index (IEDI). The achievement was possible through the high growth of real gross regional domestic product (GRDP) per capita, low poverty rates, and expansion of access and opportunities. Some homework for the provincial government includes low share of manufacturing to GRDP, low percentage of workers working >35 hours per week, and high rates of inequality.
This was presented by Athia Yumna, M.Sc. (Deputy Director of The SMERU Research Institute for Research and Outreach) at the IEDI dissemination event held in Makassar on 11 February 2020. The event was organized by The SMERU Research Institute in collaboration with the Ministry of Development Planning/Bappenas, and supported by the Knowledge Sector Initiative.
Sustainable inclusive economic development has been the main agenda of Indonesia's economic development, officially stated in the 2020–2024 National Medium-Term Development Plan. The IEDI, which was created by Bappenas and SMERU in 2017 was successfully disaggregated to the district/city level in 2019.
Dr. Asep Suryahadi (SMERU’s Senior Research Fellow) explained that the IEDI is expected to be used as a measurement of development inclusiveness in Indonesia in assisting the formulation of economic policies that are in line with each region's development priorities. The index consists of three pillars: economic growth and development, income distribution and poverty reduction, and expansion of access and opportunities. Each pillar is supported by a number of sub-pillars.
In the future, IEDI can be used as a basis for higher quality economic development policies as well as a tool to monitor the quality of economic growth and its aspects. Collaboration between all parties and local governments’ commitment to quality economic growth and inclusive development are needed.
To learn about the rankings of kabupaten/kota in Indonesia and to see the inclusiveness of economic development in those areas, visit inklusif.bappenas.go.id.
The materials of the IEDI dissemination can be downloaded from http://bit.ly/ipei-makassar.
To view photo documentation of the event, visit SMERU’s Facebook page.