Indonesia is a resource-rich nation, yet it has failed to achieve 7%-8% economic growth needed to alleviate poverty and unemployment. Without addressing its economic ailments, President Prabowo Subianto’s administration cannot lead Indonesia out of the middle-income trap by 2045. Here are 13 economic issues that must be resolved to achieve 8% economic growth.
Sumber : Infobank
PRESIDENT Prabowo Subianto and Vice President Gibran Rakabuming Raka have begun ful„lling their populist promises, such as the Free Nutritious Meals (MBG) program launched on January 6, 2025, with a budget of IDR 71 trillion. Other “relief” initiatives include aid for orphans, the Family Hope Program, and food card programs. Additionally, 10 kilograms of rice aid was distributed in January-February 2025.
Social assistance (bansos) is crucial for the population, as 70% of Indonesians belong to the middle and lower-income groups, categorized as poor or vulnerable. The MBG program has received widespread public support from lower-income groups. However, populist policies alone are not enough to maintain public trust. Structural issues, such as supporting the middle class—the main taxpayers—must also be addressed.