Innovation Is Key for Indonesia’s Industries to Survive Coronavirus Pandemic

Executive Director of the Indonesian Employers Association (APINDO), Danang Girindrawardana, said that because of the coronavirus pandemic, many large-scale companies have had to close.

Pressure from the economic crisis coupled with an inability to innovate led such companies to shut down.

Read also: Astra International: Indonesia's Automotive Industry Poised to Recover

“Because Indonesia is in the process of recovering from the coronavirus pandemic, industries are under even greater pressure to stay afloat so as to prevent the national economy from worsening,” said Danang.

Similar opinions were shared by Head of the Indonesian Ministry of Finance’s Fiscal Policy Agency Febrio Kacaribu.

Febrio shared that the Indonesian government’s stimulus policies on investing in research and innovation reflect its priorities.

Such policies would incentivize industries to create added value.

Expert Staff at the Indonesian Ministry of Industries, Gatot Sudariyono, underlined the need for industries to swiftly respond to innovative needs in order to survive.

A World Bank report also points to signs of Indonesia’s weakness in the field of research and development.

In the new normal era, Indonesia can no longer be reliant on its raw resources. The country will need to turn to innovation or discover a breakthrough.