An exclusive interview with the Chairman of Indonesia's National Economic Council, Luhut Pandjaitan with The Straits Times on his Youtube channel who talks seriously about Indonesia facing the US and China rivalry, even plans to improve the economy through digitalization which can save the state budget. Are you curious about the chat? Let's see the exciting story from Indonesia's "Economic Fixer"!
Maintain balance without getting stuck
The rivalry between the United States and China is nothing new. These two large countries are often involved in various conflicts, both in the fields of economics, security, and international politics. In the midst of their increasingly fierce rivalry, Indonesia faces a major challenge to maintain a neutral position.
Luhut Pandjaitan, as Chairman of the National Economic Council, emphasized that Indonesia wants to maintain good relations with both countries. "We offer anything as long as it provides benefits to both sides, and of course respect and comply with international law," he said.
Indonesia upholds the principle of freedom and seeks to actively maintain good relations with important countries without taking sides. Amid the conflict between the US and China, Indonesia chooses balance in its international diplomacy. Former Coordinating Minister for Maritime Affairs and Investment Luhut Pandjaitan said Indonesia focuses on mutually beneficial relations as long as both countries respect international law. "We will offer anything as long as it is beneficial for both parties," he said.
This free and active principle allows Indonesia to take advantage of the opportunities offered by its relations with the United States and China, without having to compete with them. Luhut also emphasized the importance of abiding by international law, particularly in the South China Sea dispute, where Indonesia plays a mediating role to maintain stability in Southeast Asia. This approach allows Indonesia to develop, maintain its sovereignty, and play an active role in regional peacekeeping without being directly involved in global competition.
Regional cooperation between countries
Luhut Pandjaitan emphasized the importance of cooperating with a small country like Singapore, which he considers a strategic partner with great potential in human resources. "Singapore is a very important strategic partner for Indonesia," he said, encouraging Indonesia to learn from the country's strengths.
Luhut also proposed joint studies in the South China Sea, modeled after the Arctic Council for regional research, while adhering to international laws such as UNCLOS. Through this strategy, Indonesia focuses on collaboration, not conflict, for global benefits and to strengthen its position in Southeast Asia.
Indonesia's GDP growth target
Luhut Pandjaitan as Chairman of Indonesia's National Economic Council has a recommendation on how Indonesia can achieve its GDP growth target by digitizing. "By doing this, we can increase efficiency in the country, reduce face-to-face transactions and use more machines." He said. The goal is to change to a more modern way of working with the help of technology. Which means everything can be done through the user's cellphone and can be done anywhere with the help of an application without the need to come to the place.