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Indonesia Sees Unemployment Drops by 0.28 Percent

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6 May 2017 14:18 WIB

An Indonesian youth fills up job application forms on laptops provided by organizers at Indonesia Techno Career in Jakarta, June 11, 2015. Government data might suggest no cause for alarm - unemployment was 5.81 percent in February, up only slightly from 5.70 percent a year earlier - but the official numbers are notoriously unreliable and don't adequately cover the informal sector, which is two-thirds of Southeast Asia's biggest economy. REUTERS/Beawiharta

TEMPO.CO, Jakarta - Institute for Development of Economics and Finance (Indef) Economist Dzulfian Syafrian positively welcomed the decline of the open unemployment rate (TPT) in February 2017 as much as 0.28 percent.

This figure is lower compared to that of February 2016 with 0.17 percent. He also claimed that the drop indicates the increase of labor absorption.

"However, the increase of workforce as much as 6.11 million people compared to August 2016 or 3,88 million compared to February 2016 has to be given a special attention from the government since it is a double-edged sword," he said on Friday, May 5.

 Dzulfian explained that the high number of productive citizens is a good capital for development.

"Nevertheless, if the government cannot manage it well, it can be a burden instead of an advantage," he added.

He further said that when this high number of citizens are unemployed, the government have to bear the consequences of a higher number of crimes, radicalism, and others.

Therefore, Dzulfian urges the government to focus on creating employment opportunities and enhancing the quality of employment. He added that one of the policies that the government can implement to improve employment issues is the investment-oriented economy.

"Economic and political stability and infrastructure support are two big agendas that the government needs to prepare in order to secure investment and improve the quality of employment for the people."

ANGELINA ANJAR SAWITRI



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