Trade Policy Review

Report by

Indonesia

Revision

Pursuant to the Agreement Establishing the Trade Policy Review Mechanism (Annex 3 of the Marrakesh Agreement Establishing the World Trade Organization), the policy statement by Indonesia is attached.

Contents

1   OVERVIEW.. 3

2   ECONOMIC DEVELOPMENT. 4

2.1   Macroeconomic Performance. 4

2.1.1   Inflation. 6

2.1.2   Exchange Rate. 7

2.1.3   Recent Development on Fiscal Policy. 7

2.2   Improvement on Investment Climate. 8

2.3   Financial Sectors. 9

2.4   Economic Challenges to Indonesia. 10

3   INTERNATIONAL TRADE ENGAGEMENT. 10

3.1   Bilateral 11

3.2   Regional 11

3.3   Multilateral 12

3.4   Roles at the World Trade Organization. 12

3.4.1   Agriculture. 12

3.4.2   Non-Agriculture Market Access (NAMA) 13

3.4.3   Services. 14

3.4.4   Trade-related Aspect of Intellectual Property Rights (TRIPS) 14

3.4.5   Environmental Issue. 14

3.4.6   Trade Facilitation. 14

3.4.7   Aid for trade. 14

3.4.8   Fisheries. 15

3.4.9   Priority Issues. 15

4   TRADE AND TRADE RELATED POLICY. 15

4.1   National Economic Policy Packages. 15

4.2   Sectoral Policies. 15

4.2.1   Agriculture. 15

4.2.2   Fisheries. 16

4.2.3   Manufacture. 17

4.2.4   Services. 18

4.2.5   Public Stockholding (PSH) 18

4.2.6   Standardization. 18

4.2.7   Micro, Small and Medium-Sized Enterprises (MSMEs) 19

4.2.8   Intellectual Property Rights. 20

4.2.9   State Trading Enterprises. 20

4.2.10   Trade Facilitation. 21

4.2.11   Information and Communication Technologies (ICT) 22

5   WAY FORWARD. 22