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Indef: Jokowi Can Reasonably Oust Airlangga, Evaluate Sri Mulyani

30 June 2020 15:28 WIB

Coordinating Minister for Economic Affairs Airlangga Hartarto. ANTARA/Nova Wahyudi

TEMPO.CO, JakartaAn economist at the Institute for Development of Economics and Finance (Indef) Bhima Yudhistira assessed that President Joko 'Jokowi' Widodo has rightful reasons to replace Coordinating Minister for Economy Airlangga Hartarto. Bhima considered Airlangga is not qualified to mitigate the Covid-19 impact on the economic sector.

“Coordinating Minister for Economy is deemed to have failed in accelerating the stimulus for businesses and MSMEs (micro, small, medium-scale enterprises). This (the ministry’s work) is already underperformance,” said Bhima via a text message to Tempo on Tuesday, June 30. Cabinet reshuffle was said to be necessary in order to improve the economic performance amid the pandemic.

Bhima elaborated that the ministry under the leadership of Airlangga has only executed stimulus for businesses at 6.8 percent and MSMEs at 1 percent. The work of the responsible minister towards the incentive realization has now become public limelight.

Additionally, Bhima suggested the President evaluate Manpower Minister Ida Fauziyah as the latter failed to handle the surge in layoffs. Industry Minister and Trade Minister are also worthy to be rotated, as well as Finance Minister Sri Mulyani.

Bhima asked Jokowi to evaluate Minister Sri who could not maintain debt financing more wisely. “The debt ratio continues to increase, while at the same time, the burden of debt interest harms the spending,” he said.

Sri Mulyani, Bhima continued, should have sought alternative sources such as the dismissal of unproductive institutions or ministries, rather than issuing new debts.

Read: State Minister: 340 Million COVID-19 Vaccines Would be Needed 

FRANCISCA CHRISTY ROSANA



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