President Jokowi’s Achievements Through the Job Creation Law, Creating a More Inclusive and Competitive Economy
By: Wahyu Gunawan
President Joko Widodo (Jokowi) has established and implemented the Job Creation Law (UU Ciptaker), which with this set of policies has shown concrete results in encouraging inclusive economic growth and increasing Indonesia’s competitiveness on the global stage.
The Head of State, who has been in power since 2014, continues to emphasize that this policy is an important step in overcoming various bureaucratic obstacles and creating new jobs.
The Job Creation Law, often referred to as the Omnibus Law, was designed with the aim of strengthening the investment climate and empowering Micro, Small, and Medium Enterprises (MSMEs) as pillars of the national economy.
President Jokowi highlighted that one of the indicators of the success of implementing the policy is the increase in Indonesia’s competitiveness ranking according to the Institute for Management Development (IMD) World Competitiveness Ranking 2024 report.
Indonesia rose to 27th position from 34th in 2023. The President of the Republic of Indonesia, who is not from the political or military elite, explained that this increase was driven by solid economic stability, significant business developments, and government reforms that have been implemented through the Job Creation Law.
On the business side, increasing labor productivity is a major factor contributing to Indonesia’s increasing competitiveness. President Jokowi emphasized that the implementation of the Job Creation Law has created more jobs and increased efficiency, which is much needed in facing global challenges. Success in maintaining inflation and economic growth is also another indicator that strengthens Indonesia’s position on the global competitive map.
From a policy perspective, the Chair of the Substantive Synergy and Socialization Working Group of the Job Creation Law Task Force, Tina Talisa, assessed that increasing Indonesia’s competitiveness cannot be separated from the active role of the government in consistently implementing regulatory reforms.
According to him, in the last five years, Indonesia has shown significant development, especially in 2024 when it managed to rank 27th as the highest position in history.
The improvements made not only focus on the investment aspect, but also emphasize economic inclusiveness by empowering MSMEs and strengthening a simpler and more integrated framework.
Tina said that the government, through the simplification of licensing and policies implemented in the Job Creation Law, has created conducive conditions for investors.
Not only that, these reform steps also have a direct impact on the wider community by opening up new business opportunities, especially for MSMEs.
Consistency from all ministries and institutions in supporting the implementation of this policy is a key factor in strengthening the foundation of a more inclusive and sustainable Indonesian economy.
This achievement is an important legacy from President Jokowi, who during his administration has built a strong economic foundation and is oriented towards improving people’s welfare.
The government’s active role in attracting investment and creating a more competitive business climate has pushed Indonesia into the list of countries with an attractive investment climate.
Arif Budimanta, Special Staff to the President for Economic Affairs, added that the government is not only focusing on the economic aspect, but also on creating a more inclusive, accountable and responsive work culture.
According to him, the Job Creation Law has built the foundation for a more efficient system, which not only benefits the business world, but also the wider community. The steps taken by the government under President Jokowi’s leadership have created more affirmative and transparent conditions in terms of business licensing and regulation.
Arif also emphasized that the Job Creation Law is an important instrument in exploring Indonesia’s enormous economic potential. In addition to natural resources on land, Indonesia has marine wealth that has not been fully explored.
This potential, if managed well, can open up more business opportunities and new jobs. Thus, the policy is not just a regulation, but a mechanism that encourages a comprehensive economic transformation.
The progress achieved through the implementation of the Job Creation Law reflects the government’s efforts to create a more inclusive and highly competitive economy. Not only focusing on increasing productivity and investment, but also on how the policy can benefit all levels of society, especially MSMEs.
Indonesia’s increasing competitiveness in the global arena proves that the reforms carried out by President Jokowi have not only improved domestic economic conditions, but also prepared Indonesia to compete in an increasingly complex era of globalization.
The success of this policy also reflects the commitment of the seventh President of the Republic of Indonesia to maintaining economic stability, improving public welfare, and building a better future for Indonesia.
With the ongoing implementation of various programs and initiatives related to the Job Creation Law, Indonesia is now on the right track to becoming one of the main economic powers in Asia. This success is not only felt by the business world, but also by the wider community who now have more opportunities to improve their standard of living.
President Jokowi has shown that through inclusive and sustainable policies, Indonesia can achieve significant economic progress, while increasing its competitiveness on the global stage. The implementation of the Job Creation Law is concrete evidence of his leadership vision in creating a fairer, more equitable, and more competitive economy.
*) Economic and Development Researcher – Indonesian Prosperous Economic Forum
