Friday, August 21, 2015

A President needs luck

published @ The Jakarta Post

A few weeks ago, a debate occurred on social media. A supporter of former president Susilo Bambang Yudhoyono blamed President Joko “Jokowi” Widodo for Indonesia’s weakening economy. Brimming with confidence, the SBY supporter said that the economy had grown handsomely during his two-term presidency.

Is it true that SBY’s economic performance was better than Jokowi’s?

First of all, one can succeed by sheer luck. Luck means that external factors mostly determine success. It is just about being in the right time at the right place regardless of efforts or ability.

In terms of the economy, SBY took office at the right time. It was at a time when China’s economic rise reached its peak. China voraciously gobbled up commodities, including coal and crude palm oil (CPO), benefitting Indonesia as the world’s biggest exporter of the two products. This commodities export-led economy created a trickle-down effect, resulting in significant economic growth. Hence, SBY was lucky to get external key economic drivers without creating genuine initiatives.

The dependence of Indonesia’s economy on coal and CPO exports and China’s economy backfired at the end of SBY’s second term. When Indonesia’s economy was stuttering because of China’s slowdown, a lucky SBY completed his term and left the unfortunate situation to Jokowi.

So, SBY was definitely not better than Jokowi; he was just lucky. SBY was not alone. Former presidents Sukarno and Soeharto were lucky as well at certain periods during their long reigns.

Under Sukarno, Indonesia enjoyed an economic boom from skyrocketing rubber and tin exports that followed the Korean War in 1950. The country was able to begin development with the founding of shipping company PT Pelni and airline Garuda Indonesia to name a few.

Later, Sukarno fell from grace amid economic and political crises. History repeated itself under Soeharto. The oil boom that followed the Arab-Israel War in 1973 earned Indonesia windfall profits from oil exports, which Soeharto used to realize rice sufficiency and industrialization. When oil prices fell in 1998, Soeharto stepped down.

The lesson learned is the price of commodities — the external factor — have heavily influenced the performance of the Indonesian presidency. It can boost the economy, but the success is fragile and unsustainable. I hope Jokowi takes a different path.

It would be better he created key economic drivers through the internal aspect that he commands. Developing much-needed infrastructure, the agricultural and livestock industries to substitute imports, fishery and forestry-based industries, tourism, etc. is an opportunity that Jokowi has in hand.

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Thursday, August 6, 2015

MUI's edict on BPJS Kesehatan

published @ The Jakarta Post

Fortunately, the Indonesian Ulema Council (MUI) has denied that it declares the Health Care and Social Security Agency (BPJS Kesehatan) to be haram.

But it did say that the Social Security Management Agency (BPJS) is inconsistent with sharia (The Jakarta Post, July 31, 2015). In its implementation, BPJS Kesehatan contained elements of gambling and other interests. This is utterly irritating.

In essence, the elected government is responsible for providing an affordable health-care system. And BPJS Kesehatan is meant to give universal health care to all people regardless of their income or illness.

Those who can must pay premiums, and the government will pay the premiums for those who can’t. Although the system has diversified, it has been working for decades in many countries.

There are many success stories of people benefitting from BPJS Kesehatan, including mine. People welcome the system. The long queues in many hospitals show that affordable health care is desperately needed.

Prior to this, people hesitated to go to hospital for treatment, because of payment. Now, it’s no more. Whatever the disease, people will see a doctor with confidence.

And regarding the premiums, Indonesians are lucky. Thanks to a large population, the premiums are relatively cheap. However, BPJS Kesehatan is still not perfect. The existence of the first-level health provider is still not well distributed yet. The queues are too long. Learning from my own experience, the examinations and preparation for surgery take too much time.

If these weaknesses are addressed by MUI through its edicts, I shall give them two thumbs up. It means MUI cares about the improvement of public services. In contrast, elements of gambling or interests in BPJS Kesehatan are too abstract for us. Frankly speaking, we don’t give a damn.

From now on, the government and Indonesia’s Muslims must be clear about MUI’s stance. MUI arguably represents Indonesian Muslims, so it has power to influence, especially narrow-minded people. To some, including myself, an edict is not necessarily from God. And in each case, there will be several contradicting edicts.

Modern health care didn’t exist in the past. Surely, in terms of “technical” issues such as funding systems, it is ridiculous to find them in religious references. But the spirit of cooperation to solve a public problem, to help people in need, the ruler’s obligation to serve people and religious teachings undoubtedly can inspire.

Indonesia’s public policy should not be interfered with by religious teaching. It has all the potential to hamper Indonesia’s development and public services.

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