Intrigued by the crisis that has not yet ended, the Center for World Trade (PSPD) UGM held a national seminar entitled â€œGlobal Financial and Economic Crisis: Its Causes and Impacts on International Trade and Investment."Â The seminar, supported by the United Nations Conference on Trade and Development (UNCTAD), the Ministry of Foreign Affairs of the Republic of Indonesia and the Center for World Trade Students (CWTS) UGM was held in the Hotel Melia Purosani Yogyakarta, Thursday (30 / 7).
The seminar was opened by the Vice Rector of Alumni and Business Development of UGM, Prof. Ir. Atyanto Dharoko, M. Phil., Ph.D. and presenting several speakers; Alessandro Nicita, Abhijit Das (UNCTAD); M. Hawin, SH, LLM, Ph.D., Toni Prasetiantono, Ph.D. (UGM), and Makarim Wibisono (Center for Educations and Training, Department of Foreign Affairs). Prof. Dr. Masyhuri as Head of UGM PSPD said the seminar discussed the global financial and economic crisis and searched for the causes and the impact on international trade.
Mahyuri explained, many people are quite surprised that the crisis that should have ended still continues until now.Â In some countries, the crisis continues to ascend, including in the country of Uncle Sam , USA .
It is a bit different in Indonesia.Â The visible impact is felt in the slowing export, and it even tends to decrease. However, says Masyhuri, it is not too bad because in the level of economic growth in Asia, Indonesia is still considered positive. Why? Because although export is decreasing, the level of consumption, investment, and fiscal stimulus program is still running well, such as the rice for the poor program, cash assistance, credit for the people, and the People Empowerment National Program .
"All of that is to raise the rate of consumption and investment and the government so that the last result is still high enough in order that the economic growth is still good, not as bad as other countries. In Asia, the worst are Singapore and Malaysia," he said.
Although the level of economic growth reaches around 4%, Indonesia is expected to continue increasing this level of growth. Therefore, it is expected that new regulations that can reduce high cost economy are made. "Hopefully, the fiscal stimulus, regulations, etc., will raise the economic growth. The most important thing at this time is how we can strengthen the domestic economy. With a strong domestic economy, it will be much better and the impact of the crisis can be decreased," he said.
According to Masyhuri, the population in Indonesia is very high and this is very potential for boosting the domestic economy.Â He adds that fiscal stimulus can also play a role in strengthening the domestic economy. In the field of agriculture, at this time Indonesia is still an exporter of CPO raw materials, cocoa beans, coffee, etc. On the other hand, Indonesia still imports goods and finished products.
"We should be able to develop that kind of industry so that we can enjoy the added valueÂ in this country. With that, the economic growth can increase, we will be able to absorb a large amount of labor, and we can overcome poverty. That is indeed what the Indonesian economy wants to achieve. If stimulus is given correctly then all will function well. And the economic problems will be reduced, "he explained.