Palembang, – For 77 years, Indonesia has experienced several economic crises, such as those that occurred in 2008 and 1998. Even now, the global economic situation is also in crisis due to the Covid-19 pandemic and rising geopolitical tensions have triggered rising inflation in food and energy prices.

Although Indonesia could go through those crises, by this time economic growth experienced a positive trend with relatively controlled inflation and trade balance surplus, but at the domestic level, Indonesia was still facing challenges. For this reason, an appropriate strategy is needed to overcome this problem.

“First, strengthen the stock and supply chain of basic needs so as to avoid disruption to the goods and services distribution. The production and distribution of basic necessities must be maintained at the grassroots and inflation can be controlled so that it does not burden the household economy,” said Vice President K.H. Ma’ruf Amin when opening the XIX Plenary Session of the Association of Indonesian Faculty of Economics and Business (AFEBI) and the 2022 Halal Summit, at the Wyndham Hotel, Palembang, South Sumatra, Wednesday (07/09/2022).

The second strategy, the Vice President continued, is to carefully and effectively manage fiscal and monetary policies in order to maintain macroeconomic stability.

“The public policies must be effective and focused on targets, for example, subsidies are intended for low-income people and budgets are allocated effectively according to priorities,” he said.

While the third strategy, the Vice President emphasized, is accelerating innovation and digitalization to encourage inclusive economic growth.

“Pandemics are giving rise to new ways of working and innovation and accelerating digital transformation. Innovation and digitalization should reach all groups of people therefore they can become a medium for progress and growth, instead of fertilizing inequality,” he explained.

Lastly, the Vice President said, to encourage equity and economic justice. According to him, some of the efforts that have been and still continue to be made by the government are by promoting the establishment of cooperative businesses, limiting land tenure, expanding access to capital for MSME stakeholders, optimizing SOEs, and industrializing rural areas based on local resources.

Furthermore, the Vice President said, another effort to accelerate development in order to balance growth and equity is to develop the Islamic economy and finance. This economic concept is inclusive for all citizens and complementary to the national economic system.

“The government is very serious to encourage the Islamic economy and finance therefore the development works very well now,” he said.

The Governor of South Sumatra Herman Deru supported the organization of this AFEBI-initiated event because according to him there are more interdisciplinary research is being carried out by this plenary session.

“Through collaboration, maximum results will be obtained to develop Indonesia. This means that research-based development will certainly produce much better results towards a globally competitive nation,” he said.

Meanwhile, the Rector of State Islamic University Raden Fatah Palembang Nyayu Khodijah reported that the XIX AFEBI Plenary Session was attended by approximately 195 participants from 78 universities throughout Indonesia

“This AFEBI Plenary Session is a medium for sharing knowledge, and the most important is to collaborate with other universities to participate in an Independent Campus, Free Learning program,” he said.

Also present at the event were the Director General of Islamic Education, the Ministry for Religious Affairs Ali Ramdani, the Regent of Banyuasin Askolani, and the AFEBI National Executive Board.

Meanwhile, the Vice President was accompanied by the Head of the Secretariat of the Vice President Ahmad Erani Yustika, Deputy for Economic Policy Support and Competitiveness Improvement Guntur Iman Nefianto, Special Staff for the Vice President for Communication and Information Masduki Baidlowi, Special Staff for the Vice President for Economics and Finance Lukmanul Hakim, and the Expert Team for Vice President Farhat Brachma and Iggi Haruman Achsien. (SM/LHS-BPMI, Setwapres)