Technology and Indonesia's Industrial Competitiveness
Why does Indonesia still lag behind in industrial competitiveness?
Indonesia achieved rapid growth in manufacturing exports from the late-1980's to the mid-1990's, raising expectations that it might be following in the path of the region's newly industrialized economies. However, the 1997 Asian financial crisis seriously affected macro-economic performance and revealed the underlying structural weakness in both the industrial and financial sectors.
This paper examines the competitiveness of Indonesian industry from the perspective of the technological capability of manufacturing firms. It distinguishes between the basic and enabling conditions required to develop technological capability. It also considers the role of the Indonesian government in strengthening technological capability.
Download this Discussion Paper [ PDF 216.4KB| 24 pages ].
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The views expressed in this paper are the views of the authors and do not necessarily reflect the views or policies of the Asian Development Bank Institute (ADBI), the Asian Development Bank (ADB), its Board of Directors, or the governments they represent. ADBI does not guarantee the accuracy of the data included in this paper and accepts no responsibility for any consequences of their use. Terminology used may not necessarily be consistent with ADB official terms.
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