Surabaya, East Java (ANTARA) – Regional Representative Council (DPD) chairman AA La Nyalla Mahmud Mattalitti has called for an increase in local commodity production to address the threat of global recession.
“The threat of global recession must become a priority work agenda of the government late and early next year. Mitigation and anticipation must be done carefully,” he said here on Friday.
According to him, one of the efforts the government can make is to increase the production of local goods.
“The government must push the increase of production of local communities and suppress the number of food imports,” he said.
With the high production value of domestic food products, Indonesia is expected to face tough times during an economic slowdown, he explained.
Furthermore, Mattalitti said he hoped the nation would make the most of its demographic dividend.
“We have a high productive age demographic dividend; that needs to be managed. Because, like two sides of the same coin, (demographic dividend) can be a blessing, it can also be a disaster if there are no jobs to absorb it,” added the DPD rapporteur.
He said using the demographic dividend is essential because the world economy is still expected to slow down and enter a recession.
“If it’s not anticipated, the impacts it could cause are economic growth, which will slow down, high inflation, high and long-lasting interest rates, a strengthening dollar, and ‘liquidity is king,'” he explained.
Earlier, Bank Indonesia (BI) Governor Perry Warjiyo said that weakening economic growth needs to be addressed with government policies so that the microeconomy can still be boosted and prepared to face a recession.
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