Indonesias Commitment at OECD Ministerial Meeting: Solution-Based Actions for Sustainable Economic Growth

Paris, INTI - Minister of Economic Affairs Coordination Airlangga Hartarto participated in several key sessions of the Organisation for Economic Co-operation and Development (OECD) Ministerial Meeting held on May 2-3, 2024, in Paris, France. Minister Airlangga emphasized the need for solution-based actions to address global disruptions, ranging from climate change, financial crises, geopolitical conflicts, to disparities in technology utilization.

This year's OECD Ministerial Meeting addresses the theme "Co-Creating the Flow of Change: Leading Global Discussions with Objective and Reliable Approaches towards Sustainable and Inclusive Growth." The OECD emphasizes the importance of cooperation in crafting effective policies based on best evidence-based practices and multilateral dialogue.

Indonesia aspires to become an advanced and high-income country by 2045. Therefore, sustainable economic growth is needed, always adaptive to global developments.

Indonesia faces both opportunities and challenges simultaneously. As the world's third-largest democracy, with 50 million millennial generations, and an archipelagic country with more than 17,000 islands, Indonesia must realize higher-quality growth and increase its growth rate to 6%-7% over the next 20 years.

To achieve this, Indonesia focuses on three strategies: first, revitalizing conventional growth engines. Second, promoting new economic engines and emerging industries. And third, strengthening resilience and social empowerment. High economic growth enables society to enjoy higher living standards and prosperity.

On another aspect, OECD sees the importance of achieving the targets of the 2030 Sustainable Development Goals and the Paris Agreement. OECD is concerned about the still high financing gap for achieving existing targets, especially for developing countries. Similarly, disparities exist in the Southeast Asian region.

Minister Airlangga emphasized the importance of narrowing the development gap among ASEAN countries. This is crucial for creating stability and unlocking ASEAN's potential as a global economic force. The rapid development of information technology creates significant opportunities and challenges.

Appointed as the main speaker in the session "Solution-Oriented Approaches to Emerging Challenges," Minister Airlangga highlighted significant achievements during Indonesia's ASEAN Chairmanship in 2023 in the digital economy sector.

The launch of cross-border payment systems in the Southeast Asian region and the agreement on the ASEAN Digital Economy Framework Agreement (DEFA) are achievements that need to be highlighted by the OECD. The implementation of cross-border payments has reached more than 47 million users in just one year.

Minister Airlangga emphasized the need for appropriate measures to ensure the use of artificial intelligence (AI) while mitigating risks. He also welcomed collaborative research and analysis of generative AI, and is open to working together within the framework of the Global Partnership for AI. Regarding data security, Minister Airlangga highlighted the importance of global partnerships to facilitate cross-border data flows to reap optimal benefits from the digital economy.

As a conclusion to the OECD Ministerial Meeting, Minister Airlangga expressed appreciation for the leadership of Japan, supported by Mexico and the Netherlands. He also appreciated OECD Secretary-General Mathias Cormann for facilitating Indonesia's membership process. As the Chairman of the Indonesian National OECD Team, Minister Airlangga will lead national coordination efforts to accelerate Indonesia's membership in the OECD.