Indonesia's Path to Economic Advancement: Balancing Downstreaming with Human Capital

The Need for Comprehensive Development

Hashim Djojohadikusumo, Indonesia's special envoy for energy and climate, emphasized that the country's strategy to enhance its economic standing through downstreaming natural resources must be complemented by significant improvements in human resource quality and a more robust fiscal system. This viewpoint was presented at the launch of the book 'Indonesia Naik Kelas' by Dani Amrul Ichdan, deputy CEO of MIND ID, which focuses on the importance of downstreaming in increasing national economic value.

Unlocking Indonesia's Natural Wealth

Hashim pointed out that Indonesia has substantial potential to maximize its natural wealth across various sectors including minerals, agriculture, and marine resources such as seaweed and seagrass. However, he stressed that realizing this potential requires a workforce equipped with the necessary competencies. The envoy highlighted that merely having natural resources is insufficient; the country needs to develop its human resources to effectively utilize and manage these resources.

Policy Support for Economic Growth

The special envoy's remarks underscore the importance of a multi-faceted approach to economic development. While downstreaming is a critical strategy, it must be supported by appropriate fiscal policies and human resource development initiatives. This comprehensive approach is seen as essential for achieving sustainable economic growth and elevating Indonesia's economic status.