Implikasi Free Trade Zone Terhadap Pertumbuhan Ekonomi Indonesia

Abstract

AbstractThe Government of Indonesia is currently facing a dilemma to increase economicgrowth after the economic crisis of the storm several times resultingin a decrease in the occurrence of significant economic growth in Indonesia.Inspired by the success of island of Batam as a special industrial zonesset up by the Government in 1973 by granting privilege tax for removalof goods coming into the region to make the island of Batam as an attractiveinvestment destination.With the enactment of the bonded area zone ofBatam Island industrial area with a variety of existing privileges, makingeconomic growth on the island of Batam was not promoted to the krisisi ofthe world economy even as the Government of Indonesia faced economiccrisis up to the down turn was under 5% but on the island of Batam, economicgrowth is well above the national economic. With the establishmentof autonomous region in 1999, there was dualism in the management of theisland of Batam, where Batam Island as long as it is ruled by The Batam isresponsible for directly to the President but now there are two Governmentgiving rise to economic impacts, social and political. The Government ofIndonesia continues to strive to improve economic growth by way of makingthe area of Batam, Bintan and Karimun into a free trade area and free port.The seriousness of this Government realised in 2007, where finally the Governmentpull out the PP No. 46, 47 and 48 who makes that region has perksthat are not owned by other regions in Indonesia. The desire to make thearea of Batam, Bintan and Karimun as free trade area and the free port andas the entrance of investment to Indonesia is still short of expectations becauseup to now there are still many stack to the rules between instances ofeither the present Centre or region. In addition to this commitment togetherto build the area yet interwoven with both between the Central Governmentand regions.

Keywords: Free Trade Zone, Economic Growth, Batam, Investment.