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Kadin on Job Creation Law: Investment Needs to Be Increased to 7%

15 October 2020 20:38 WIB

TEMPO.CO, JakartaBusinesses considered Job Creation Law as a strategic policy that is necessary to support the growth through economic recovery programs, especially during and after the COVID-19 pandemic.

The Indonesian Chamber of Commerce and Industry (Kadin) chairman, Rosan Roeslani, said global economic dynamics need a quick and precise response, and so the new law serves as a strong signal that Indonesia is safe and open to business and investment.

“Creating jobs is a must, such as by pushing the increase in investment to 6.6-7 percent to build new businesses or develop existing ones,” said Rosan in a written statement on Thursday, October 15.

The efforts, he went on, will eventually boost the consumption rate to 5.4-5.6 percent. After the Omnibus Law is enacted, it is expected to change the economic structure that will encourage economic growth to 5.6-6.0 percent.

Besides, the Job Creation Law is claimed to empower the micro, small, and medium enterprises or MSMEs and cooperatives that will lead to a surge in its contribution to Gross Domestic Product or GDP to 5.5 percent, he explained.

Rosan said the Omnibus Law will certainly create quality jobs and stimulate the opening of new businesses considering there are around 2.92 million people of new working-age per year.

Read: Students to Stage Yet Another Protest Against Omnibus Law

CAESAR AKBAR



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