Another concerning matter is that, by 2019 Jokowi’s Presidency would end. And if Jokowi would not be chosen again, all the risky incomplete investments would be passed on to the next president to take care of. And if these investments are not handled wisely, it could end up becoming a ticking time bomb, which leads to inflation of currency, like what happened in Venezuela.
However most Head of State expressed opinion that were opposite from the economists. They feel that “Dana Desa” (funds that is relocated to states each month) had helped them significantly, even if it is not distributed equally to every state within Indonesia.
And they also claimed that the program had given people the feel of equity. These increase the productivity of the people by empowerment of state economy through distribution of network capital for small local business establishment and excite the competitiveness among interstate within Indonesia.
With this in mind, it can be assured the Jokowi’s programs depends on “long term” investments.
Why? As in order to reap the benefits from these programs, one must wait for a long time. An example is the establishment of Trans-Papua. An infrastructure that becomes the sole site of connectivity, for isolated rural areas to big urban cities in Papua. Even though this infrastructure establishment needs lots of funds to support, this project won’t give out any big or memorable impact on the CPI and GDP of the nation. An ironic contrast, when compared with the restoration of a small road within Java island that may only cost 1/10 from the outlay of Trans-Papua construction.
Despite all that, why does such risk-full project like Trans-Papua is regarded as “smart investment”? It is all in regards to time, if we look into the future, this investment might be a strong foundation to success, ensuring Indonesia into a developing country.
First is to repair the tense-full relations between states. This issue is mainly caused by geographical structure that made travelling between the states arduous and costly. It caused less or no exchange of natives from other places to gain mutual understanding and acknowledgement. In addition to that, with direct access it will attract more people to establish local business there and open work slots, and government could also easily send any labor and resources help to isolated regions. Labor help may include teachers and medical practitioner. This would allow implemented service programs (such as BPJS and KIS) that rely on subsidization from government, become more easily
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