Economic Outlook

Scenarios to Handle Poverty & Unemployment

VIVAnews - The government is preparing two scenarios in response to the changing indicator of macro economics in order to handle unemployment and poverty.

"Our scenarios include maintaining the inflation rate of between six and nine percent with the economic growth of between four and 5.5 percent," said State Secretary of National Development Planning/Head of National Development Planning Agency, Paskah Suzetta, on Thursday, Feb. 12.

According to Suzetta, the two scenarios should be put into consideration because the diminution of unemployment rate and poverty has been the prioritized program of national development. By paying attention to the two scenarios, then other economic factors may possibly be controlled. 

He said that should the inflation rate reach six percent and national economic growth is assumed to be reaching 5.5 percent, the poverty rate would touch 12.57 percent or equal to 28 million.

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The six-percent inflation rate and assumed national economic growth of five percent would result in poverty rate of 12.82 percent or 29 million. Meanwhile, if the inflation rate is sustained at six percent and national economic growth is assumed at 4.5 percent, then the poverty rate would be at 13.23 percent or 29.9 million.

The second scenario is concerned with the nine percent inflation rate and assumed national economic growth of 5.5 percent, which would result in poverty rate of 14.19 percent (32.1 million).

A nine-percent inflation rate and assumed national economic growth of five percent would result in poverty rate of 14.45 percent, or 32.8 million people. In addition, a nine-percent inflation rate and assumed national economic growth of 4.5 percent will result in poverty rare of 14.87 percent (33.7 million). 

Given the scenarios, Suzetta said the government, the House of Representatives (DPR) and Bank Indonesia (BI) should set the same purpose due to the suppressed global economy. 

Translated by: Bonardo Maulana Wahono

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VIVA.co.id
29 Maret 2024