Jakarta: The National Development Planning Development Agency (Bappenas) believes that structural reforms could help boost Indonesia's gross domestic product (GDP) growth.
"Structural reforms could help create higher and more sustainable growth," the agency's expert staff for synergy of economic affairs and financing Amalia Adininggar Widyasanti said here on Tuesday.
Amalia argued that Indonesia should learn from other countries. South Korea and Chile has transformed into high-income economies by implementing structural reforms.
"Structural reforms could transform a country into a high-income economy. We should learn from those two countries," the Bappenas expert said.
Amalia added that Indonesia should improve the skills of Indonesian workers. The government has prepared a number of measures to bolster the country's national human resources development.
"Technological development without national human resources development could trigger a destructive effect. We should increase the quality of our workers," the Bapennas official said.
Quoting a report from the Central Statistics Agency (BPS), the country's economy grew by 5.17 percent in 2018. It was Indonesia's highest annual growth in five years.
The country's economy is measured by GDP on the basis of the current price reaching Rp14,837.4 trillion and GDP per capita reaching Rp56 Million or US$3,927.
In terms of production, the highest growth was achieved by Other Service Business Fields at 8.99 percent. From expenditure side, the highest growth was achieved by the Non-Profit Institution Consumption Component Serving Households (PK-LNPRT) at 9.08 percent.
According to BPS, the country's economy grew by 5.18 percent in the fourth quarter of 2018. It was slightly stronger than earlier expectations.
In terms of production, growth was driven by all business fields, where the highest growth was achieved by Other Service Business Fields at 9.08 percent.
In terms of expenditure, growth was driven by all components, where the highest growth was achieved by the PK-LNPRT component of 10.79 percent.