DIY development is directed at the construction of road and rail infrastructure as connectivity infrastructure to and from Yogyakarta International Airport (YIA)

Although the development of the global economy is not conducive, the performance of DIY economy in 2019 is quite good, stable and growing. Strengthening economic stability and resilience, increasing competitiveness and productivity, and synergy of policies between authorities have strengthened and encouraged DIY economic growth.

This was conveyed by the Governor of DIY Sri Sultan Hamengku Buwono X at the Annual Meeting of Bank Indonesia Region DIY, Thursday at the Bank Indonesia Office, Gondomanan, Yogyakarta. Present at the event, the Forkopimda DIY Board of Directors, Heads of DIY OPD.

In order to maintain the growth and stability of the DIY economy, the Governor of DIY provides direction for DIY development policies. The DIY development is directed at the construction of road and rail infrastructure as connectivity infrastructure to and from Yogyakarta International Airport (YIA), Aerocity, Southern Cross Roads (JJLS), Toll Roads and the development of Special Economic Zones (KEK) in the Piyungan Industrial area and South Coast. Of course this can open investment opportunities for the private sector, which will have a good impact on DIY economic growth.

"Aerocity, Aerotropolis, Toll Road, the development of PT KAI also exists, all of which I hope can boost economic growth and open employment," said Sri Sultan.

In addition to this, the Sultan also directed the development of MSMEs so that they could become the backbone for the DIY economy.

Besides being able to grow the economy, MSMEs can also make the people of DIY more independent and not rely on imported goods. Certainly this will have a good impact for all parties in DIY.

The Sultan also highlighted the development of digital economic and financial transformation through the electification of LG transactions, transportation payments, and e-levies that have been implemented in DIY. The coordination and harmonization of policies towards digitalization is able to support the acceleration of DIY economic growth.

If the direction of the development policy can be implemented, the Governor of DIY believes that the basic problems of DIY, namely regional inequality and the high poverty rate DIY will be able to be overcome.

"To realize all of that, synergy between BI DIY DIY and OJK DIY is needed, synergy of macroeconomic policy with its implementation in the real micro sector and also synergy between control and supervision," explained Sri Sultan.

Head of the Bank Indonesia Representative Office (BI) DIY, Hilman Tisnawan, said that Bank Indonesia projects DIY 2020 economic growth in the range of 5.3-5.7% (yoy).

DIY economy tends to return to normal average after in 2019 and 2018 DIY economy jumped due to building investment from national strategic projects in DIY.

So that DIY economic growth can continue to grow stably, innovation is needed to develop new DIY economic resources, such as the creative economy, tourism and information technology. DIY has a great creative and IT economic potential in the form of multimedia, game and animation industries.

Inflation in 2019, according to Hilman also tends to be stable in the range of 2.9% to 3.1%. This was also supported by a strengthening rupiah exchange rate and a maintained state financial system. If these conditions continue, Hilman believes that in the medium term the Indonesian economy, especially DIY, will get better.  Of course it also needs to get synergy and transformation support from and in all fields, increase economic transformation and improve investment.

"We should be grateful that Indonesia's performance in relation to the economy is quite good.  When facing the world economic crisis other countries also face the crisis, but Indonesia's economic growth is quite good and increasing," Hilman explained.