Having been classified as a middle-income country since the early1990s, Indonesia needs about 30 years to come out of what is calledthe middle-income trap and move into the high-income group ofcountries.
Indonesia , according to theOrganisation of Economic Cooperation and Development (OECD) forecasts,is expected to shift from a middle-income nation to a high-income, oradvanced country, by 2042.
Antara News quoted the headof the Asia Desk, OECD Development Centre, Kensuke Tanaka, as saying,“That is much slower than Malaysia , which is expected to make thattransition by 2020, China (by 2026) and Thailand (by 2031).
The middle income trap refers to a situation in which a country thathas become a middle-income nation fails to become a high-income countryand experiences stagnation.
Based on international standards,a country is said to have fallen into a middle-income trap if it staysat the middle-income level for 42 years.
Indonesia ,Tanaka said, is only leading the Philippines , which is forecast toshift to an advanced nation by 2051, Vietnam by 2058 and India by2059.
The OECD official said to escape the trap, developingcountries must change their basic economic structures and develop theirmodern service sectors.
According to Indonesian FinanceMinister Chatib Basri, of the 113 countries classified as middle-incomenations since 1960, only 13 such as Japan , the Republic of Korea ,Singapore and Ireland have been successful in developing intohigh-income states.-VNA
Indonesia , according to theOrganisation of Economic Cooperation and Development (OECD) forecasts,is expected to shift from a middle-income nation to a high-income, oradvanced country, by 2042.
Antara News quoted the headof the Asia Desk, OECD Development Centre, Kensuke Tanaka, as saying,“That is much slower than Malaysia , which is expected to make thattransition by 2020, China (by 2026) and Thailand (by 2031).
The middle income trap refers to a situation in which a country thathas become a middle-income nation fails to become a high-income countryand experiences stagnation.
Based on international standards,a country is said to have fallen into a middle-income trap if it staysat the middle-income level for 42 years.
Indonesia ,Tanaka said, is only leading the Philippines , which is forecast toshift to an advanced nation by 2051, Vietnam by 2058 and India by2059.
The OECD official said to escape the trap, developingcountries must change their basic economic structures and develop theirmodern service sectors.
According to Indonesian FinanceMinister Chatib Basri, of the 113 countries classified as middle-incomenations since 1960, only 13 such as Japan , the Republic of Korea ,Singapore and Ireland have been successful in developing intohigh-income states.-VNA
