[163] A 2018 World Economic Forum survey reports that corruption is the most problematic issue regarding doing business in Indonesia, as well as inefficient government bureaucracy policies. ASEAN Centre for Energy (ACE) Policy Brief Series, No.
Still, the inflation rate was higher than economic growth, and this caused a widening gap among several Indonesians. In 2012, sales increased significantly by 24%, making it the first time that there were more than one million units in automobile sales. Approximately 1,000 Japanese companies operate in Indonesia which employ approximately 300,000 people. [149] Since the 1997 crisis that caused an increase in debt and public subsidies and a decrease in development spending, Indonesia's public finances have undergone a major transformation. [169], On 1 September 2015, thousands of workers in Indonesia staged massive demonstrations across the country in pursuit of higher wages and improved labour laws. For capture of wild fish (both inland and marine), the production trend was steady in 20112015, while there was a steep increase in the production from aquaculture during the same period.[78]. The New York Times expressed concern that Indonesia's cheap labor advantage might be lost. The EU is the second largest investor in the Indonesian economy. [citation needed], From 1990 to 2010, Indonesian companies have been involved in 3,757 mergers and acquisitions as either acquirer or target with a total known value of $137 billion. Within the World Bank's Doing Business Survey,[143] Indonesia rose to 122 out of 178 countries in 2010, from 129 in the previous year. The main areas of production include textiles and garments, food and beverages (F&B), electronics, automotive, and chemicals, with the majority of manufacturers in this sector consisting of micro, small, or medium-sized enterprises. They stated in 2017 that "Globalisation has made it difficult for the Indonesian economy to balance all other factors of the economy". [63][64] The current unemployment rate for 2019 is at 5.3%.[65].
By Widodo's estimate, there would be economic growth of 56% & GDP US$9.1 trillion. Teak is extracted mainly from Java. Under Suharto, Indonesia had moved towards the private provision of public infrastructure, including electric power, toll roads, and telecommunications. [84], Two US firms operate three copper/gold mines in Indonesia, with a Canadian and British firm holding significant other investments in nickel and gold, respectively. By 2020, it is predicted that the automotive exports will be the third after CPO and shoe export. Foreign firms participate through production-sharing and work contracts. As a result of a series macroeconomic policies, including a low budget deficit, Indonesia is considered to have moved into a situation of financial resources sufficiency to address development needs. With the addition of Alumina project that produces 5% of the world's alumina production, Indonesia would be the world's second-largest Alumina producer. Growth was driven primarily by domestic consumption, which accounts for roughly three-fourths of Indonesia's gross domestic product (GDP). [44], Following President Sukarno's downfall, the New Order administration brought a degree of discipline to economic policy that quickly brought inflation down, stabilized the currency, rescheduled foreign debt, and attracted foreign aid and investment. [37], In the years immediately following the proclamation of Indonesian independence, both the Japanese occupation and conflict between Dutch and Republican forces had crippled the country's production, with exports of commodities such as rubber and oil being reduced to 12 and 5% of their pre-WW2 levels, respectively. [152] Finance Minister Sri Mulyani also stated that despite an increase of foreign loans and debt, the government has also increased the budget for infrastructure development, healthcare, education, and budget given to regencies and villages. In 2019, as Indonesia's share of global trade exceeded 0.5 percent, the United States Trade Representatives decided not to classify Indonesia as a "developing country. [citation needed] Fitch raised Indonesia's long-term and local currency debt rating to BBB from BB+ with both ratings is stable. [125], From China's perspective, since 2010 ASEAN as a whole has become its fourth-largest trading partner after the European Union, Japan and the United States. Indonesia's labour pool is estimated at around 120 million people, and is growing annually by approximately 2.4 million. US investors dominated the oil and gas sector and undertook some of Indonesia's largest mining projects.
[58][59] Unlike many of its more export-dependent neighbors, Indonesia has managed to skirt the recession helped by strong domestic demand (which makes up about two-thirds of the economy) and a government fiscal stimulus package of about 1.4% of GDP. [134] [159] The Wealth Report 2015 by Knight Frank reported that in 2014 there were 24 individuals with a net worth above US$1 billion. As the economy has progressed beyond its predominantly agricultural base to a mixed composition, more workers particularly women are now employed in manufacturing and service-related professional industries.[88].
Below are the top 15 provinces in Indonesia ranked by GDP in 2019: Until the end of 2010, intra-ASEAN trade was still low as trade involved mainly exports to countries outside the region, with the exception of Laos and Myanmar, whose foreign trade was ASEAN-oriented. 2020. The sector has posted a consistent four percent growth year-on-year since 2016 and registered 147 trillion rupiah (US$8.9 billion) in investments from January to September 2019. At the same time, the government has offered one-time subsidies for qualified citizens, to alleviate hardships. Malaysia is the most common destination of Indonesian migrant workers (including illegal workers). Around Medan there are extensive plantations producing tobacco, rubber, palm oil, kapok, tea, cloves, and coffee, none of which is native to the region. [124] The balance however was in favour of China as Indonesia booked a trade deficit of US$14 billion in 2016. Indonesia has played a modest role in the world economy since the mid-20th century, and its importance has been considerably less than its size, resources, and geographic position would seem to warrant.
[101], In 2015, financial services covered Rp 7,2 trillion. In 2011, Indonesia released 55,010 working visas for foreigners, an increase of 10% compared to 2010, while the number of foreign residents in Indonesia, excluding tourists and foreign emissaries was 111,752, rose by 6% compared to last year. The new program also has a range of economic, structural reform, and governance targets. [56] This led to a more than doubling in the price of consumer fuels, resulting in double-digit inflation. [108], Mutual Recognition Agreements (MRAs) have been agreed upon by ASEAN for eight professions: physicians, dentists, nurses, architects, engineers, accountants, surveyors, and tourism professionals. It is equivalent to a free trade agreement, though focuses on a broader scope of economic cooperation. Since the 1960s the timber industry has grown rapidly, but it has caused considerable damage through deforestation. There are 34 provinces in Indonesia. 18 of them lived in Jakarta and the others spread among other large cities in Indonesia. Indonesia faced a recession in 2020 when the economic growth collapsed to -2.07% due to the COVID-19 pandemic, the worst growth since 1997 crisis.
The following table shows the main economic indicators in 19802020 *subject to change in future years Indonesia: how to boost investment in renewable energy. Total coal production reached 74 million metric tons in 1999, including exports of 55 million tons, and in 2011, production was 353 million. As of 28 June 2010, the Indonesia Stock Exchange had 341 listed companies with a combined market capitalization of $269.9 billion.
CS1 maint: bot: original URL status unknown (. [128], In 2019, trade between Indonesia and South Korea was worth $15.65 billion, and between 2015 and 2019 South Korean companies invested nearly $7 billion in Indonesia. Corruption particularly gained momentum in the 1990s, reaching to the highest levels of the political hierarchy as Suharto became the most corrupt leader according to Transparency International. [90], In 2010, Indonesia sold 7.6 million motorcycles, which were mainly produced in the country with almost 100% local components. [citation needed] However, there is a robust economic optimism due to the conclusion of the peaceful 2004 elections. Transportation and accommodation were significantly affected by the COVID-19 outbreak, since many hotels were forced to close and not operate to reduce the spread of the virus. In 2011, Hankook announced a US$353 million investment into a production plant located in Bekasi, West Java, Indonesia. [29][30][31], In the aftermath of the 1997 Asian financial crisis, the government took custody of a significant portion of private sector assets through the acquisition of nonperforming bank loans and corporate assets through the debt restructuring process and the companies in custody were sold for privatization several years later. [53], Since an inflation target was introduced in 2000, the GDP deflator and the CPI have grown at an average annual pace of 10% and 9%, respectively, similar to the pace recorded in the two decades prior to the 1997 crisis, but well below the pace in the 1960s and 1970s. Non-tariff barriers, rent-seeking by state-owned enterprises, domestic subsidies, barriers to domestic trade and export restrictions all created economic distortions. [100], Up to the end of June 2011, the fixed state assets were Rp 1,265 trillion ($128 billion). [94] In August 2015, Indonesia exported 123,790 motorcycles. Those who received visas for six months to one year were mostly Chinese, Japanese, South Koreans, Indians, Americans and Australians. [40] Between 1949 and 1960, Indonesia experienced several economic disruptions. [79] SBY has mandated a significant reduction of government subsidy of fuel prices in several stages. New foreign investment approvals fell by almost two-thirds between 1997 and 1999. [157] This figure is an important indicator of a nation's ability to take on debt and sustain spending and is influenced not only by real estate prices, equity market prices, exchange rates, liabilities and incidence in a country of the adult population but also by human resources, natural resources and capital and technological advancements, which may create new assets or render others worthless in the future. In 2012, Indonesia realized total investments of $32.5 billion, surpassing its annual target $25 billion, as reported by Investment Coordinating Board (BKPM) on 22 January. [181][182] At the end of 2017, Indonesia's inflation rate was 3.61%, or higher than the government-set forecast of 3.03.5%.[183]. While there are new laws on decentralization that may address the problem of uneven growth and satisfaction partially, there are many hindrances in putting this new policy into practice. Development in Sumatra and in the outer islands is less intensive and consists primarily of estate-raised cash crops. Rice has remained the cornerstone of small-scale agriculture, however, and increased production of it has been an important aim of every economic development plan. As of 2005, crude oil and condensate output were 1.07 million barrels (170,000m3) per day. In October 1997, Indonesia and the International Monetary Fund (IMF) reached agreement on an economic reform program aimed at macroeconomic stabilization and elimination of some of the country's most damaging economic policies, such as the National Car Program and the clove monopoly, both involving family members of Suharto. [141] As of November 2010, two-thirds of the market capitalization was in the form of foreign funds, and only around 1% of the population have stock investments. Indonesia was until recently Southeast Asia's only member of OPEC, and the 1970s oil price rise provided an export revenue windfall that contributed to sustained high economic growth rates, averaging over 7% from 1968 to 1981. This is a chart of trend of Indonesia's GDP at market prices[139] by the IMF with figures in millions of rupiah. The initial response was to float the rupiah, raise key domestic interest rates, and tighten fiscal policy. The survey also showed that 70% of entrepreneurs believe that corruption has increased in Indonesia, while low trust in the private sector is a major obstacle to foreign investment in the country. The Indonesian Textile Association has reported that in 2013, the textile sector is likely to attract investment of around $175 million. [47] High levels of economic growth masked several structural weaknesses in the economy. [32], In 2012, Indonesia replaced India as the second-fastest-growing G-20 economy, behind China. "[132] Despite a revocation of this status, the Indonesian government has assured that this would not change the current Generalized System of Preferences facilities that Indonesia had enjoyed from the United States. US Dollar to Indonesian Rupiah Rates", "Indonesia's growth experience in the 20th century: Evidence, queries, guesses", "Growing into trouble: Indonesia after 1966", "Beberapa Indikator Penting Mengenai Indonesia", "Indonesia: BPS-STATISTICS INDONESIA STRATEGIC DATA", "IMF Survey: Indonesia's Choice of Policy Mix Critical to Ongoing Growth", "Indonesian President Joko 'Jokowi' Widodo Two Years On", "Jokowi Heads to 2018 With Backing of Stronger Indonesian Economy", "Indonesian GDP Growth Disappoints, Adding to Currency Woes", "Indonesian GDP growth falls short in 1Q, pressuring President Widodo", "World Economic Outlook (April 2020) - Unemployment rate", "Report for Selected Countries and Subjects: October 2020 Indonesia", "Indonesia GDP Per capita Growth world bank", "Indonesia Central Government Debt world bank", "Satu Dekade, Kontribusi Pertanian terhadap PDB Menurun", "Pertanian di Indonesia (Agriculture in Indonesia)", "Can Indonesia increase palm oil output without destroying its forest? This growth rate was sufficient to reduce poverty from 17.8% to 16.6% based on the government's poverty line and reversed the recent trend towards jobless growth, with unemployment falling to 8.46% in February 2008. Despite these efforts, the rank is still below regional peers, and an unfavorable investment climate persists. It indicates a substantial decline from the 1990s, due primarily to ageing oil fields and a lack of investment in oil production equipment. In addition, Indonesia is one of the worlds main suppliers of rubber, coffee, cocoa, and palm oil; it also produces a wide range of other commodities, such as sugar, tea, tobacco, copra, and spices (e.g., cloves). For purchasing power parity comparisons, the exchange rate for 1 US dollar is set at 3,094.57 rupiah. [93], In August 2014, Indonesia exported 126,935 Completely Build Up (CBU) vehicle units and 71,000 Completely Knock Down (CKD) vehicle units, while total production reached 878,000 vehicle units, constituting 22.5% of total output. Financial assistance to Indonesia is coordinated through the Consultative Group on Indonesia (CGI) formed in 1989. With its rapidly growing middle class and competitive workforce, more foreign investors than ever before are taking advantage of Indonesia's strong manufacturing sector. [164], In 2019, a controversial bill regarding to anti-corruption body (Corruption Eradication Commission (KPK)) which reduces the commission's effectiveness on tackling widespread corruption problems and strips it from its independence was passed despite massive protests across the country. In the drier section of eastern Java, crops such as corn (maize), cassava, sweet potatoes, peanuts (groundnuts), and soybeans dominate the small farms, although such cash crops as tobacco and coffee also are grown on plantations. In August 1998, Indonesia and the IMF agreed on an Extended Fund Facility (EFF) under President B. J. Habibie that included significant structural reform targets. [57] Despite a slowing global economy, Indonesia's economic growth accelerated to a ten-year high of 6.3% in 2007. Indonesia has significant potential for developing renewable energy, however, the country continues to rely heavily on the use of fossil fuels in domestic electricity production.
Still, the inflation rate was higher than economic growth, and this caused a widening gap among several Indonesians. In 2012, sales increased significantly by 24%, making it the first time that there were more than one million units in automobile sales. Approximately 1,000 Japanese companies operate in Indonesia which employ approximately 300,000 people. [149] Since the 1997 crisis that caused an increase in debt and public subsidies and a decrease in development spending, Indonesia's public finances have undergone a major transformation. [169], On 1 September 2015, thousands of workers in Indonesia staged massive demonstrations across the country in pursuit of higher wages and improved labour laws. For capture of wild fish (both inland and marine), the production trend was steady in 20112015, while there was a steep increase in the production from aquaculture during the same period.[78]. The New York Times expressed concern that Indonesia's cheap labor advantage might be lost. The EU is the second largest investor in the Indonesian economy. [citation needed], From 1990 to 2010, Indonesian companies have been involved in 3,757 mergers and acquisitions as either acquirer or target with a total known value of $137 billion. Within the World Bank's Doing Business Survey,[143] Indonesia rose to 122 out of 178 countries in 2010, from 129 in the previous year. The main areas of production include textiles and garments, food and beverages (F&B), electronics, automotive, and chemicals, with the majority of manufacturers in this sector consisting of micro, small, or medium-sized enterprises. They stated in 2017 that "Globalisation has made it difficult for the Indonesian economy to balance all other factors of the economy". [63][64] The current unemployment rate for 2019 is at 5.3%.[65].
By Widodo's estimate, there would be economic growth of 56% & GDP US$9.1 trillion. Teak is extracted mainly from Java. Under Suharto, Indonesia had moved towards the private provision of public infrastructure, including electric power, toll roads, and telecommunications. [84], Two US firms operate three copper/gold mines in Indonesia, with a Canadian and British firm holding significant other investments in nickel and gold, respectively. By 2020, it is predicted that the automotive exports will be the third after CPO and shoe export. Foreign firms participate through production-sharing and work contracts. As a result of a series macroeconomic policies, including a low budget deficit, Indonesia is considered to have moved into a situation of financial resources sufficiency to address development needs. With the addition of Alumina project that produces 5% of the world's alumina production, Indonesia would be the world's second-largest Alumina producer. Growth was driven primarily by domestic consumption, which accounts for roughly three-fourths of Indonesia's gross domestic product (GDP). [44], Following President Sukarno's downfall, the New Order administration brought a degree of discipline to economic policy that quickly brought inflation down, stabilized the currency, rescheduled foreign debt, and attracted foreign aid and investment. [37], In the years immediately following the proclamation of Indonesian independence, both the Japanese occupation and conflict between Dutch and Republican forces had crippled the country's production, with exports of commodities such as rubber and oil being reduced to 12 and 5% of their pre-WW2 levels, respectively. [152] Finance Minister Sri Mulyani also stated that despite an increase of foreign loans and debt, the government has also increased the budget for infrastructure development, healthcare, education, and budget given to regencies and villages. In 2019, as Indonesia's share of global trade exceeded 0.5 percent, the United States Trade Representatives decided not to classify Indonesia as a "developing country. [citation needed] Fitch raised Indonesia's long-term and local currency debt rating to BBB from BB+ with both ratings is stable. [125], From China's perspective, since 2010 ASEAN as a whole has become its fourth-largest trading partner after the European Union, Japan and the United States. Indonesia's labour pool is estimated at around 120 million people, and is growing annually by approximately 2.4 million. US investors dominated the oil and gas sector and undertook some of Indonesia's largest mining projects.
[58][59] Unlike many of its more export-dependent neighbors, Indonesia has managed to skirt the recession helped by strong domestic demand (which makes up about two-thirds of the economy) and a government fiscal stimulus package of about 1.4% of GDP. [134] [159] The Wealth Report 2015 by Knight Frank reported that in 2014 there were 24 individuals with a net worth above US$1 billion. As the economy has progressed beyond its predominantly agricultural base to a mixed composition, more workers particularly women are now employed in manufacturing and service-related professional industries.[88].
Below are the top 15 provinces in Indonesia ranked by GDP in 2019: Until the end of 2010, intra-ASEAN trade was still low as trade involved mainly exports to countries outside the region, with the exception of Laos and Myanmar, whose foreign trade was ASEAN-oriented. 2020. The sector has posted a consistent four percent growth year-on-year since 2016 and registered 147 trillion rupiah (US$8.9 billion) in investments from January to September 2019. At the same time, the government has offered one-time subsidies for qualified citizens, to alleviate hardships. Malaysia is the most common destination of Indonesian migrant workers (including illegal workers). Around Medan there are extensive plantations producing tobacco, rubber, palm oil, kapok, tea, cloves, and coffee, none of which is native to the region. [124] The balance however was in favour of China as Indonesia booked a trade deficit of US$14 billion in 2016. Indonesia has played a modest role in the world economy since the mid-20th century, and its importance has been considerably less than its size, resources, and geographic position would seem to warrant.
[101], In 2015, financial services covered Rp 7,2 trillion. In 2011, Indonesia released 55,010 working visas for foreigners, an increase of 10% compared to 2010, while the number of foreign residents in Indonesia, excluding tourists and foreign emissaries was 111,752, rose by 6% compared to last year. The new program also has a range of economic, structural reform, and governance targets. [56] This led to a more than doubling in the price of consumer fuels, resulting in double-digit inflation. [108], Mutual Recognition Agreements (MRAs) have been agreed upon by ASEAN for eight professions: physicians, dentists, nurses, architects, engineers, accountants, surveyors, and tourism professionals. It is equivalent to a free trade agreement, though focuses on a broader scope of economic cooperation. Since the 1960s the timber industry has grown rapidly, but it has caused considerable damage through deforestation. There are 34 provinces in Indonesia. 18 of them lived in Jakarta and the others spread among other large cities in Indonesia. Indonesia faced a recession in 2020 when the economic growth collapsed to -2.07% due to the COVID-19 pandemic, the worst growth since 1997 crisis. The following table shows the main economic indicators in 19802020 *subject to change in future years Indonesia: how to boost investment in renewable energy. Total coal production reached 74 million metric tons in 1999, including exports of 55 million tons, and in 2011, production was 353 million. As of 28 June 2010, the Indonesia Stock Exchange had 341 listed companies with a combined market capitalization of $269.9 billion.
CS1 maint: bot: original URL status unknown (. [128], In 2019, trade between Indonesia and South Korea was worth $15.65 billion, and between 2015 and 2019 South Korean companies invested nearly $7 billion in Indonesia. Corruption particularly gained momentum in the 1990s, reaching to the highest levels of the political hierarchy as Suharto became the most corrupt leader according to Transparency International. [90], In 2010, Indonesia sold 7.6 million motorcycles, which were mainly produced in the country with almost 100% local components. [citation needed] However, there is a robust economic optimism due to the conclusion of the peaceful 2004 elections. Transportation and accommodation were significantly affected by the COVID-19 outbreak, since many hotels were forced to close and not operate to reduce the spread of the virus. In 2011, Hankook announced a US$353 million investment into a production plant located in Bekasi, West Java, Indonesia. [29][30][31], In the aftermath of the 1997 Asian financial crisis, the government took custody of a significant portion of private sector assets through the acquisition of nonperforming bank loans and corporate assets through the debt restructuring process and the companies in custody were sold for privatization several years later. [53], Since an inflation target was introduced in 2000, the GDP deflator and the CPI have grown at an average annual pace of 10% and 9%, respectively, similar to the pace recorded in the two decades prior to the 1997 crisis, but well below the pace in the 1960s and 1970s. Non-tariff barriers, rent-seeking by state-owned enterprises, domestic subsidies, barriers to domestic trade and export restrictions all created economic distortions. [100], Up to the end of June 2011, the fixed state assets were Rp 1,265 trillion ($128 billion). [94] In August 2015, Indonesia exported 123,790 motorcycles. Those who received visas for six months to one year were mostly Chinese, Japanese, South Koreans, Indians, Americans and Australians. [40] Between 1949 and 1960, Indonesia experienced several economic disruptions. [79] SBY has mandated a significant reduction of government subsidy of fuel prices in several stages. New foreign investment approvals fell by almost two-thirds between 1997 and 1999. [157] This figure is an important indicator of a nation's ability to take on debt and sustain spending and is influenced not only by real estate prices, equity market prices, exchange rates, liabilities and incidence in a country of the adult population but also by human resources, natural resources and capital and technological advancements, which may create new assets or render others worthless in the future. In 2012, Indonesia realized total investments of $32.5 billion, surpassing its annual target $25 billion, as reported by Investment Coordinating Board (BKPM) on 22 January. [181][182] At the end of 2017, Indonesia's inflation rate was 3.61%, or higher than the government-set forecast of 3.03.5%.[183]. While there are new laws on decentralization that may address the problem of uneven growth and satisfaction partially, there are many hindrances in putting this new policy into practice. Development in Sumatra and in the outer islands is less intensive and consists primarily of estate-raised cash crops. Rice has remained the cornerstone of small-scale agriculture, however, and increased production of it has been an important aim of every economic development plan. As of 2005, crude oil and condensate output were 1.07 million barrels (170,000m3) per day. In October 1997, Indonesia and the International Monetary Fund (IMF) reached agreement on an economic reform program aimed at macroeconomic stabilization and elimination of some of the country's most damaging economic policies, such as the National Car Program and the clove monopoly, both involving family members of Suharto. [141] As of November 2010, two-thirds of the market capitalization was in the form of foreign funds, and only around 1% of the population have stock investments. Indonesia was until recently Southeast Asia's only member of OPEC, and the 1970s oil price rise provided an export revenue windfall that contributed to sustained high economic growth rates, averaging over 7% from 1968 to 1981. This is a chart of trend of Indonesia's GDP at market prices[139] by the IMF with figures in millions of rupiah. The initial response was to float the rupiah, raise key domestic interest rates, and tighten fiscal policy. The survey also showed that 70% of entrepreneurs believe that corruption has increased in Indonesia, while low trust in the private sector is a major obstacle to foreign investment in the country. The Indonesian Textile Association has reported that in 2013, the textile sector is likely to attract investment of around $175 million. [47] High levels of economic growth masked several structural weaknesses in the economy. [32], In 2012, Indonesia replaced India as the second-fastest-growing G-20 economy, behind China. "[132] Despite a revocation of this status, the Indonesian government has assured that this would not change the current Generalized System of Preferences facilities that Indonesia had enjoyed from the United States. US Dollar to Indonesian Rupiah Rates", "Indonesia's growth experience in the 20th century: Evidence, queries, guesses", "Growing into trouble: Indonesia after 1966", "Beberapa Indikator Penting Mengenai Indonesia", "Indonesia: BPS-STATISTICS INDONESIA STRATEGIC DATA", "IMF Survey: Indonesia's Choice of Policy Mix Critical to Ongoing Growth", "Indonesian President Joko 'Jokowi' Widodo Two Years On", "Jokowi Heads to 2018 With Backing of Stronger Indonesian Economy", "Indonesian GDP Growth Disappoints, Adding to Currency Woes", "Indonesian GDP growth falls short in 1Q, pressuring President Widodo", "World Economic Outlook (April 2020) - Unemployment rate", "Report for Selected Countries and Subjects: October 2020 Indonesia", "Indonesia GDP Per capita Growth world bank", "Indonesia Central Government Debt world bank", "Satu Dekade, Kontribusi Pertanian terhadap PDB Menurun", "Pertanian di Indonesia (Agriculture in Indonesia)", "Can Indonesia increase palm oil output without destroying its forest? This growth rate was sufficient to reduce poverty from 17.8% to 16.6% based on the government's poverty line and reversed the recent trend towards jobless growth, with unemployment falling to 8.46% in February 2008. Despite these efforts, the rank is still below regional peers, and an unfavorable investment climate persists. It indicates a substantial decline from the 1990s, due primarily to ageing oil fields and a lack of investment in oil production equipment. In addition, Indonesia is one of the worlds main suppliers of rubber, coffee, cocoa, and palm oil; it also produces a wide range of other commodities, such as sugar, tea, tobacco, copra, and spices (e.g., cloves). For purchasing power parity comparisons, the exchange rate for 1 US dollar is set at 3,094.57 rupiah. [93], In August 2014, Indonesia exported 126,935 Completely Build Up (CBU) vehicle units and 71,000 Completely Knock Down (CKD) vehicle units, while total production reached 878,000 vehicle units, constituting 22.5% of total output. Financial assistance to Indonesia is coordinated through the Consultative Group on Indonesia (CGI) formed in 1989. With its rapidly growing middle class and competitive workforce, more foreign investors than ever before are taking advantage of Indonesia's strong manufacturing sector. [164], In 2019, a controversial bill regarding to anti-corruption body (Corruption Eradication Commission (KPK)) which reduces the commission's effectiveness on tackling widespread corruption problems and strips it from its independence was passed despite massive protests across the country. In the drier section of eastern Java, crops such as corn (maize), cassava, sweet potatoes, peanuts (groundnuts), and soybeans dominate the small farms, although such cash crops as tobacco and coffee also are grown on plantations. In August 1998, Indonesia and the IMF agreed on an Extended Fund Facility (EFF) under President B. J. Habibie that included significant structural reform targets. [57] Despite a slowing global economy, Indonesia's economic growth accelerated to a ten-year high of 6.3% in 2007. Indonesia has significant potential for developing renewable energy, however, the country continues to rely heavily on the use of fossil fuels in domestic electricity production.