Economists and financial experts have started encouraging New Zealand and other countries to pay attention to Indonesia's potentials in economic dominance following predictions that the Southeast Asian nation may become the world's fourth-largest economy in 2050.
A new report on The Spinoff by Asia New Zealand Foundation Leadership Network member, Jordan King noted that New Zealand needs to develop more ties with Asian countries, especially those that show great potential for economic authority in the near future.
Indonesia is currently the world's third largest democracy and is also the fourth most populated country. It continues to build on technological and service-based developments that could compete globally in the next couple of years.
King, who is also a University of Auckland Ph.D. candidate, suggested that New Zealand should invest in immersing experts in political and linguistic advancements to help build stronger ties with the Indonesian economy. At the moment, there are no universities in the country that offer Bahasa Indonesia as a major at undergraduate levels.
It was also recommended that more programs be created for the purpose of visiting Indonesia to learn more about the country's culture and economic history. State-owned journalistic institutions are also being encouraged to produce content that serves to educate and inform New Zealand and other countries about how Indonesia and other Asian countries are growing economically.
Finally, King stressed the importance of building ties that capitalize on shared experiences between New Zealand and Indonesia. To boost this cause, creating programs that entice Indonesian public administrators and civil society leaders were recommended.
On Monday, The Jakarta Post reported that infrastructure projects spearheaded by state-owned entities (SOEs) helped bolster Indonesia's logistical performance over the last few years. The trans-Java toll road, which covers the Banten Merak Port area to East Java's Surabaya region, has reduced travel time and logistics costs since its completion.
The government is also looking to complete the trans-Sumatra toll road this year. Hutama Karya President Director Bintang Perbowo said, "The trans-Sumatra toll road, which is part of the Bakauheni-Palembang route, will be completed hopefully before the Idul Fitri holiday. The toll road can reduce travel time from 12 hours to six hours."
Since the 2015-2017, the government constructed 27 new commercial ports that helped improve sea connectivity and trade relations with other countries. These new facilities also pushed propelled further growth in the country's overall logistics activities.
From being on the 63rd place in 2016 on the Logistics Performance Index recorded by the World Bank, the country has jumped to 46th last year. Analysts believe that Indonesia's promising economic developments are a starting point for other nations to consider improving ties with the Asian country.
