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Indonesian Logistics Infrastructure: The Performance and Fiscal Support

International Journal of Finance & Banking Studies

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Field Value
 
Title Indonesian Logistics Infrastructure: The Performance and Fiscal Support
 
Creator Setiawan, Sigit
 
Description In the globalization and ASEAN Economic Community era, the competitiveness of Indonesian industries to sell goods and services is facing more severe challenges. It is partly due to the low performance of Indonesian logistics sector, and one of the contributing factors to the unsatisfactory logistics is poor logistics infrastructure. In this regard, this paper has several research objectives. The first is to analyze the performance of Indonesia logistics infrastructure in the past decade. The second is to analyze Indonesian logistics infrastructure development with its relevant fiscal policy support and evaluate its short-term progress. The research method adopted in this study is descriptive analytical method. In comparison with other countries, especially ASEAN region, the performance of Indonesian logistics infrastructure over the past decade tends to be steadily incompetitive, below the average of ASEAN countries. It is found to be one of the prime determinants of the high logistics costs in Indonesia. The government serious attention and the consistency of its policy towards improving logistics infrastructure during the 2014-2019 period has been partially seen, but the program sustainability is required in subsequent periods. In the short term, a temporary evaluation until 2017 of the sea toll program integrated with the construction of logistics infrastructure shows a positive impact. The positive impact is indicated from the decreasing prices of basic necessities in the eastern region of Indonesia by 20%-40%, and the economic revival of Eastern Indonesia region due to currently cheaper transportation costs.
 
Publisher SSBFNET
 
Date 2018-09-12
 
Type info:eu-repo/semantics/article
info:eu-repo/semantics/publishedVersion
Peer-reviewed Article
 
Format application/pdf
 
Identifier http://www.ssbfnet.com/ojs/index.php/ijfbs/article/view/9
10.20525/ijfbs.v7i2.896
 
Source International Journal of Finance & Banking Studies (2147-4486); Vol 7 No 2 (2018): April; 9-18
2147-4486
10.20525/ijfbs.v7i2
 
Language eng
 
Relation http://www.ssbfnet.com/ojs/index.php/ijfbs/article/view/9/12
 
Rights Copyright (c) 2019 International Journal of Finance & Banking Studies (2147-4486)
http://creativecommons.org/licenses/by-nc/4.0