Blue economy is the cure

World Bank (WB) projects Indonesia GDP easing for 5.1 only in 2019, despite of private and government consumption that still grow by 5.2 and 5.1. The softer economy projected, is mainly influenced by global trade (trade war), global economy (slower growth in some advanced countries), and even commodity prices.
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In additions, WB advices that Indonesia must prepare its economy in 2020. Indonesia should be able to manage the economy polices by creating better human capital, building more infrastructures, inviting job creators (investment), collecting more, better spending, and utilizing the natural resources.
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Let’s concentrate in to the last advice. It is amazing that Indonesia has tremendous natural resources, and that’s why ‘wonderful Indonesia’ is become national brand in tourism. We should proud that 76 percent of the world’s coral species are in Indonesia. But the wonderful and tremendous is facing problems. Infrastructure gaps is still the major issue, climate change worsts the situation, and over-tourism such as in Bali and Lombok completes the problems.
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Indonesia get USD3.1 billion annually from coral reef tourism. In fishery sector, 7 millions people are involved and contribute USD26.9 billion or 2.6 percent of GDP. But actually, those economy effects have not yet been maximum since over-fishing is existed. WB believes that if Indonesia reforms the management of fisheries, it could gain until USD3.3 billion more per year within 10 years. Tourism and fisheries sectors even could have USD171 billion more, if marine pollution is successfully tackled.
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The situation now, marine (plastic) debris is a common problem in entire Indonesia ocean and coastline. No wonder, Indonesia is the world 2nd-largest marine debris producer. It is humiliating and annoying, isn’t it?  
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Tourism sector should be able to help the current account deficit (CAD). So, dollar spent by tourists is the subject. Sadly, WB captures that reef expenditure per foreign and domestic tourist in Indonesia is quit low, only USD165. This amount is so far away from what Vietnam and Thailand get, which is more than USD2,200 per tourist.
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Indonesia may start by focusing in plastic garbage eradication program. The revenue lost because of plastic garbage is about USD170 million annually, through tourism and fisheries sectors. If the government is serious in taking tourism and fisheries as the alternative revenue resource, several actions should be taken.
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Government should build a stronger framework, such as data and knowledge for monitoring and decision making. Later on, better management is required. Visitors flow and waste water treatment may become the priorities to handle. Eventually, plastic bag excise must be implemented.
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Indonesia customs already promoted the plastic bags issue couple years ago, even it had become one of revenue targets since 2017. We do believe by implementing the policy, we are doing our main duties, ‘to protect the community and to collect revenue’.         
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Written as a report of attending the World Bank’s Economic Quarterly

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