Title : protectionism,
nasionalism
Author :
jakarta pos
Number of pages : 2 pages
Subject : politic
Thesis : analysts seem to
read too deeply into what they consider the strident tones of nationalism and
protectionism in the nationally televised debates between the two presidential
candidates
Supporting
paragraph :
But
we assure foreign investors within and outside the country that much of the
talk about the dominant role of foreign capital and the urgent need to restrict
foreign investment is mostly nationalistic rhetoric that usually acquires
political currency during the presidential campaign. None of those themes
reflect an outright xenophobic stance.
Certainly,
it would aggravate the general public if either of the candidates spoke out too
strongly in favor of foreign investment, let alone openly inviting as many
foreign investors as possible to tap the country’s natural resources.
But
notice Jokowi’s firm stance on the inviolability (sanctity) of business and
investment contracts; despite stressing the need to empower more domestic
businesses to play a bigger role in the economy, especially in natural resource
sectors like mining. Both candidates seem to fully grasp the fact that due to
the country’s deep ties to the global economy as well as its continued need for
foreign direct investment and portfolio capital, excessive nationalism and
xenophobia would be economic, and eventually, political suicide.
They
simply do not have the luxury — misguided as it was — to act as then
Venezuela’s resident Hugo Chavez chose in the late 1990s and early 2000s, when
he nationalized the oil industry, forcing foreign companies to cede
majority-control of their oil projects to the government-owned company.
Venezuela
has one of the world’s largest oil reserves, while Indonesia suffers from an
oil deficit — at present more than 600,000 barrels a day must be imported to
meet demand.
Foreign
investors who have been in Indonesia for a long time now will emphatically
confirm that businesspersons who make good-faith deals, fully implement high
standards of corporate governance and do not exploit government weakness will
have nothing to worry about later in October when a new government will take
over.
The
two candidates’ pronouncements on the protection of the domestic market is also
very much part of the campaign rhetoric.
Indonesia’s
economy has been able to reach its internationally acclaimed prominence now due
in part to investment in human and physical capital, openness to trade, foreign
investment and technology transfers.
As
both candidates have accumulated years of experience in the business sector,
they are also fully aware that excessive protectionism is little more than
pandering to vested interest groups, and that it hurts businesses — notably,
manufacturing companies that rely on imports.
Ending paragraph :
Moreover, Indonesia is bound by the rules of the Geneva-based World Trade
Organization
Tone of the
essay : the tone of the essay is
professional
Author purpose : to review about the debate between
of Prabowo Subianto and Joko Widodo
Source : jakarta post , 17 juni 2014
