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principles of integration, resource sharing and maximal informa- tion technology utilisation. Polytechnics and universities form the bridges between the upper tier research centres and lower level high schools and vocational colleges that precede community colleges. Advancement in science and technology, which is a di- rect consequence of quality education, is also stipulated by the Masterplan as a necessity to transform Indonesia from a natural resources-based economy into an industry and innovation driven one by 2025. It advocates increased productivity and competitive advantages by a credible transition in human resource capacity from a labour intensive state into human capital-intensive state. This is a principle enshrined in the presidential innovation initia- tive known as the 1-747 initiative, which states that Research & development fund amounting to 1% of annual GdP supports a 7-step innovation system and 4 modes of economic growth ac- celeration in a process that outputs the 7 objectives of Indonesia’s vision 2025.
Implementation and Governance
A plan or strategy depends critically on conducive implemen- tation for success, and Indonesia will accordingly erect a robust set up, to be established under a Presidential decree, for govern- ing MP3EI’s execution. Although a national initiative, the MP3EI will assign functional roles to regional and local authorities in or- der to ensure maximal coordination economic development at various levels. A three-phase implementation that is both gradual and continuous, will be supervised by the MP3EI implementation committee to be chaired by the president. The first phase of im- plementation, also known as Phase 1, commences from 2011 to 2015 with a primary focus on entrenching the composition and operations of the implementation committee, preparing action plans for bureaucratic realignment, attracting investment commit- ments, establishing international hubs for logistics and transporta- tion, strengthening R&d in the economic corridors and developing human resources. After the ‘Quick-wins’ runs of phase 1, the span from 2016 to 2020 is the dominance of Phase 2. It aims to acceler-
ate the development of long-term infrastructure projects, empower innovation and competitiveness of the main economic activities, ingrain economic governance and foster industrial development with value creation emphasis. Essentially, this second phase is de- signed to solidify investments and overall economic development. Finally, Phase 3, which stretches from 2021 to 2025, is chiefly to oversee the fine-tuning of Indonesia’s industrial capabilities for global competitiveness and high technology adaptation towards sustainable future growth.
A detailed implementation profile for these phases designates tasks and responsibilities, and assigns them to individuals, au- thorities or stakeholders for execution under specified schedules and delivery timetables. As a necessity, there is an evaluation and monitoring system to ensure overall effectiveness and flexibility in response and decision-making. This recognition for meticulous management of the implementation regime instigated a proviso for structuring the implementation committee into three bodies known as the Implementation Team, the Working Team and the Secretariat. Essentially, the Implementation Team wields among its responsibilities the approval of strategic decisions, resolution of strategic issues and general guidance provision. Its membership will be constituted by ministers, chairpersons of non-ministerial institutions and representatives from agencies concerned with MP3EI implementation. As for the Working Team, its roles con- sist primarily of coordinating the implementation of investment and infrastructural projects. Key officials from relevant official de- partments will form its membership. The Secretariat will function to develop monitoring and coordinating systems that gauge the progress of MP3EI implementation. Staffed by experts it supports the Implementation and Working teams with clear analysis and technical proposals for overcoming hitches occurring from daily monitoring.
As the definitive ambition of a motivated nation, the Masterp- lan’s embodiment of visionary perception, methodical planning and sure-footed execution is befitting tribute to Indonesia’s recog- nition of its true place in global relevance.
MP3EI
Figure 3: Quantum of Estimated Investments in Each Corridor
STRATEGY
IndonESIA 2013
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