Since Independence to Guided Democracy
Indonesia is poor, because:
Hyperinflation occurs.
the cost of the war against the Allies and the Netherlands.
Expenses to quell the rebellion.
Economic blockade carried out by the Netherlands.
Action or policy of the government to overcome economic problems:
Indonesia is poor, because:
Hyperinflation occurs.
the cost of the war against the Allies and the Netherlands.
Expenses to quell the rebellion.
Economic blockade carried out by the Netherlands.
Action or policy of the government to overcome economic problems:
- Set three currencies in force in Indonesia, namely: a. Japanese occupation currency. b. currency Indies. c. Currency De Javasche Bank.
- Conducting a national loan of 1 billion to the people.
- Prohibits residents to use the money NICA.
- In October 1946, the Indonesian government issued money republic under the name ORI (Oeang Republic of Indonesia).
- In the first year of use unag ORI, the government only allows each family to have Rp. 300.00, and those who have married only Rp. 100.00.
- Founded the Bank Negara Indonesia (BNI) on November 1, 1946, which is expected to serve to defend the rupiah and foreign exchange in Indonesia.
- The Government established the Agency for Inventory and Distribution of Foodstuffs (BPPBM) under the supervision of the Ministry of Welfare.
- Body Shaping Economic designer, by way of Indonesia opening up to foreign investment.
- Rationalization, covering improvement of state administration, army, and the economy.
- Nationalize De Javasche Bank to Bank Indonesia. This was done during the Cabinet Sukiman (April 1951-February 1952).
- Applying Fortress Economy System. Dr. ideas Sumintro Djjojohadikusumo (minister of trade in the future governance of the Cabinet Natsir, September 1950-April 1951). Aim to protect indigenous penngusaha of non-indigenous entrepreneurs competition. But failed.
- Implement Plan Soemitro. Natsir cabinet government issued a policy to improve both economic circumstances, especially in the field of large industries, among others, set up a cement plant, parbik spinning, sacks factories, food perodukdi improvement, improvement of agricultural infrastructure, and the issue of foreign investment.
- Implement both economic system of Ali-Baba. The idea of the minister of Economy Mr. C Ishaq Ali first Cabinet period (August 1954-August 1955). That is, the shape of indigenous entrepreneurs who equated with indigenous businessmen and Chinese entrepreneurs are identified with Baba. The goal is to cultivate private entrepreneurs Natives. Failed.
Until Guided Democracy (1959-1966) inflation higher and reaches 300%. to overcome it, the government issued a policy by cutting the value of the currency.
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