Jakarta – The revival of the national economy which is supported by regional governments after being hit by the Covid-19 pandemic has created a positive atmosphere. The regional government's strategy, including carrying out innovations that are different from before the pandemic, has proven effective in bringing the economy to survive and even grow.
The Governor of West Nusa Tenggara, Zulkieflimansyah, explained that the strategy implemented in NTB during the Covid-19 pandemic was the same as what President Joko Widodo wanted.
“Focus on two things. First, try as hard as possible to reduce this pandemic by reducing the negative impact on the health sector. The way to do this is by increasing awareness of health protocols so that health problems can be reduced. The most important thing is not to let the pandemic cause the economy to shut down. "Don't survive the pandemic but the economy is in chaos," said Zulkieflimansyah in a National Webinar organized by Article 33 and Katadata with the theme "Regional Economic Development Strategy after the Covid-19 Pandemic", Thursday (18/11).
He explained that the innovation carried out was by utilizing the social safety net provided by the central government. In the NTB region, this social safety net is not provided in the form of cash assistance, but by developing locally made products. In this case, the NTB Provincial Government gives MSMEs the opportunity to make products and buy them by the government, then distribute them to the community.
“There is an opportunity for us to use local products. Finally, even though it is still in embryonic form, NTB is now moving away from traditional commodities, but its processing industry is starting to be introduced. Fish is not only sold raw because its value becomes low if it is rotten. Tried with simple technology, dried, preserved. "So it has a longer shelf life, the same goes for other products," he said.
The NTB Provincial Government's efforts to optimize MSMEs, said Zulkiefli, have increased the self-confidence of MSMEs. In the end, local products become our own pride. For example, local weaving, moringa, and the supplements produced. Currently there are 5,000 MSMEs involved in the brilliant safety net process.
Zulkifli continued, another innovation after the social safety net was completed was to provide incentives to the agricultural industry.
"In the future, to provide sustainable and higher quality economic growth, we choose industrialization as an option," he said.
The second strategy, the NTB Provincial Government concentrates on tourism development. The presence of the Mandalika Circuit will have a tremendous impact. Apart from that, the NTB Provincial Government is aware that direct flights to Lombok will increase the number of visitors. Like the Lombok-Australia flight which recorded a number of visitors of more than 1000 percent.
"While providing a comfortable environment for large industries already operating here such as Newmont or PT Amman Mineral Nusa Tenggara (AMNT). Economic growth in NTB is relatively better than other provinces because PT Amman is still exporting industrial extracts. "Hopefully the presence of industrial smelting or smelters in West Sumbawa will be able to provide positive derivative industries in other sectors," he said.
Economist Faisal Basri reminded that the Covid-19 pandemic is a golden opportunity to do something new in a different way to produce better results. “If we do things the same as in the past, this will be Indonesia's fate. If infrastructure is built, if investment is boosted, the reality is that economic growth continues to decline over time. "We are implementing a new method, a new mindset to get out of the slowing growth situation until 2020," said Faisal.
Gadjah Mada University Economist Poppy Ismalina said the same thing. According to Poppy, there are two things that determine whether a region can get through the pandemic or be optimistic about facing the Covid-19 recovery.
"The main factors are innovation, initiative and cultural adaptation of the provincial government, district and city governments in optimizing and innovating the use of funds allocated by the central government for assistance to regions during the pandemic," he explained. He added that the second factor is the trust and facilitation of the provincial government, district government and central government towards the initiatives and social solidarity built by community groups.
This article was published on Katadata.co.id with the title "Innovation, the Key for Regional Governments to Revive the Post-Covid-19 Economy", https://katadata.co.id/doddyrosadi/berita/619704d215244/inovasi-kunci-pemerintah-daerah-bangkitkan-ekonomi-pasca-covid-19
Author: Doddy Rosadi
Editor: Doddy Rosadi
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