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| Contributor | Ali Said, BPS-Statistics Indonesia |
| Title of paper | The Implementation of Decentralization and the New Economy: A Challenge for Indonesian Development |
| Abstract | Decentralization program that has been commencing in Indonesia in the year 2001 has been a major concern of many scholars. The success of this new government agenda has become a puzzle in the coming years with respect to the new coming era of economic globalization. The new economy, which is characterized by global free trade agreement and its effects on other socio-economic conditions, may have both positive and negative impact on the new Indonesian development agenda. On the one hand, economic globalization may create a big opportunity for the local governments to accelerate regional development through promoting their region to the potential international investors and inviting them to come directly and creating other possible direct business arrangement between the region and foreign business institution. On the other hand, globalization can hamper the success of decentralization due to some problems faced by the local governments causing the districts unable to compete in the economic globalization era. In addition to this, the economic globalization may have the impact on the increasing inequalities between the districts. This is due to the fact that while the problem at the district level was severe, socio-economic conditions at the national level was also worse as compared with that of neighboring countries. Based on the competitiveness index, transparency index and level of convenience in doing business, the position of Indonesia was left behind other ASEAN countries (Singapore, Malaysia, Thailand and the Philippines). With respect to the implementation of decentralization, the role of official statistics has become more important to support the success of the decentralization program especially in availing information and some indicators that are needed in the globalization era. |
| Full document | The Implementation of Decentralization and the New Economy: A Challenge for Indonesian Development |
This page last revised: Friday, 17 May 2002
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