Prabowo banks on ambitious schemes to boost economy

Investor-friendly, tourist-centric plans in the works, with aim to hit 8% growth target by his third year in office

- Wahyudi Soeriaatmadja

Indonesia's incoming president Prabowo Subianto has plans to grow the country's economy with pitches centred on investor-friendly and tourist-centric policies. All these in the hope of hitting a growth target of 8 per cent by his third year in office.

He is also banking on ambitious schemes such as establishing food estates that will be about 30 times the size of Singapore, and rolling out a free meals programme for 83 million people to boost local production of chickens, eggs and milk.

According to presentation slides prepared for the President-elect that were shared with The Straits Times, plans are being drawn up to make oil and gas exploration more investor-friendly, by giving greater flexibility in revenue sharing, and promoting high-end tourism with plans to get more yachts to sail into Indonesia.

The 72-year-old incoming president also aims to attract more foreign investment into the downstream mineral industry by constructing refineries for raw minerals such as nickel, tin and bauxite.

Mr Prabowo, who won the presidential election in February, will be inaugurated on Oct 20. The new administration's plans for South-east Asia's largest economy indicate a shift from the type of projects favoured by outgoing President Joko Widodo.

Infrastructure development was a top priority for Mr Widodo, who built new highways, railway and train lines, airports and ports to enhance connectivity and drive economic growth.

Mr Widodo's 10 years at the helm saw a steady average 5 per cent annual economic growth, sturdy growth in foreign investment, and the country's rise as a key player in the supply chain providing nickel for batteries and electric vehicles.