RI`s Economic Growth Not Inclusive: World Bank

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  • World Bank Group Managing Director, Sri Mulyani Indrawati, berpidato saat acara pembukaan konferensi Indonesia Green Infrastructur Summit 2015 di Jakarta, 9 Juni 2015. TEMPO/Wisnu Agung Prasetyo

    World Bank Group Managing Director, Sri Mulyani Indrawati, berpidato saat acara pembukaan konferensi Indonesia Green Infrastructur Summit 2015 di Jakarta, 9 Juni 2015. TEMPO/Wisnu Agung Prasetyo

    TEMPO.CO, Jakarta - World Bank Managing Director Sri Mulyani Indrawati said that economic growth in Indonesia has not been inclusive (evenly). According to Sri, it takes an ambitious target to ensure people in the lowest group of society to enjoy the benefits of economic progress.

    "Success will depend on the extent to which countries are growing, not matter how much the growth is," the minister said in her speech in the forum Indonesia Green Infrastructure Summit 2015 in Jakarta, yesterday.

    The former Finance Minister said that during the last 20 years, growth in the world economy has helped 1 billion people to be free of poverty. However, until now, there are still 1 billion people who survive on less than US$1.25 per day. In addition, more than 1.1 billion people have no access to electricity, and more than 2.5 billion people do not have access to sanitation facilities.

    Meanwhile, in Indonesia, the Gross Domestic Product (GDP) was already more than doubled over the past decade. Economic growth has reduced the number of poor people by half, down to 11.3 percent in 2014. However, she added, not all enjoy the benefits of this economic growth. Moreover, the high costs of economic growth by damaging the environment.

    According to Sri, if Indonesia tries to survive with the old way, the benefits of economic growth will be reduced because natural resources will be depleted quickly. "We will be more vulnerable to climate change or health risks," she said.

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