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Weaknesses in good regulatory practice remain a key challenge for improving government effectiveness, achieving greater coherence between different laws and regulations (both domestically and vis-à-vis other countries) and, ultimately, making it easier to do business in Indonesia.
As the OECD's latest global economic forecast has confirmed, world trade is now growing at an extremely low rate. This brings into stark focus the need for trade negotiators at the WTO to cut a deal to bring a much-needed boost to world trade and the global economy.
Going structural, going social, going green and going institutional will enable Indonesia to secure its path to prosperity and ensure inclusive and sustainable growth.
Indonesia has improved its macro-economic and structural policies over the last 15 years. Its economy, with strong and stable growth rates of 5–6.6%, is catching up with other countries in the region and allowing Indonesia to focus on its development agenda.
The OECD Review of Regulatory Reform in Indonesia focuses on the administrative and institutional arrangements for ensuring that regulations are effective and efficient. It covers the medium term macroeconomic linkages with regulatory policy; of institutional and procedural arrangements for regulatory policy and governance; non-tariff barriers and behind the border constraints to market openness; competition policy in relation to infrastructure; and budgetary and governance arrangements for the management of Public Private Partnerships (PPP). A specific emphasis has been given to the challenges of decentralization for improving connectivity across the Indonesian archipelago and regulatory obstacles in the areas of ports rail and shipping.
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This report focuses on the market openness aspects of regulatory reform in Indonesia to devise recommendations for improving the country's regulatory processes. These recommendations involve institutionalising independent and objective evaluations of policies from an economy-wide perspective, as well as instituting a process by which broad public consultations are systematically required.
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This report analyses the institutional set-up and use of policy instruments in Indonesia and in particular examines competition advocacy, competition policy and the transport sector, what progress has been made since the UNCTAD and OECD reviews of 2009 and 2010, and institutional arrangements.
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This report assesses Indonesia‘s regulatory settings for ports, rail and shipping, and makes recommendations for improving the design and implementation of legal and institutional arrangements to improve economic performance in these sectors.
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This report analyses the institutional set-up and use of policy instruments in Indonesia and examines capacity of Indonesia's national government to assure high quality regulation.
Indonesia’s infrastructure is in poor shape, having suffered from protracted under-investment since the Asian financial crisis of the late 1990s, and constraints growth potential.