Indonesia is pushing the development of quality workforce as a priority issue during its G20 Presidency so that the prolonged or scarring effect of the COVID-19 pandemic can be overcome, the Bank Indonesia Governor said.
“There are four priority issues that need attention in an effort to overcome the scarring effect. The first is overcoming unemployment and supporting new capabilities," Perry Warjiyo said at the G20 Indonesia Presidency Seminar in Jakarta on Wednesday.
The development of the workforce's quality and reducing the unemployment rate are becoming priority issues of Indonesia's G20 Presidency from the four priority issues that have been set, he noted.
Corporations also need to reorganize their business framework, financial structure, and management, as well, as adopt digitalization in order to move forward and complete efforts to improve the quality of the workforce, Warjiyo said.
In addition, Indonesia is encouraging the reallocation of capital for overcoming stagnation in production and operations as well as supporting investment to increase productivity, he added.
In this case, banks need to refocus lending to priority sectors and provide working capital loans to enhance the ability to cooperate in developing their business, he said.
As G20 President, Indonesia is also seeking to balance efforts to overcome the scarring effect to increase productivity and growth while ensuring prevention and preparation for facing the pandemic, he added.
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He emphasized that monetary and fiscal authorities need to be synergized to create policies that can create conducive financial system stability and investment.
This synergy will also be needed to ensure the effectiveness of the tax program, continue infrastructure development, and carry out digital transformation as the basis for further economic growth, Warjiyo said.
Indonesia is also emphasizing the use of technology through increasing digital inclusiveness, overcoming the digital gap by increasing digital literacy and competitiveness, as well as overcoming investment barriers to improve connectivity during its leadership of the forum, he added.
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