Bogor Regency - Djuanda University academic Dr Saepudin Muhtar explained that strengthening the tourism sector and the people's economy is key to overcoming the current deindustrialization.
Dr Saepudin alias Gus Udin in a discussion forum discussing national economic challenges, held in Bogor Regency, West Java, Thursday, said that Indonesia faces a major challenge in overcoming deindustrialization, namely the process of decreasing the contribution of the manufacturing industry sector to the national economy.
According to Dr Saepudin, the trend of Indonesia's Gross Domestic Product (GDP) from 2000 to 2024 shows a decline in the contribution of the manufacturing sector.
In 2000, the manufacturing industry's contribution reached 27 percent, but experienced a gradual decline until 2020, with its contribution in the range of 19 percent.
"This decline not only affects the increasing unemployment rate, but also has a direct impact on people's welfare," said Dr Saepudin.