National Support for Local Investment Climate Project

(Photo: Prive. Doc)

IO, JAKARTA (23/7) – The National Support for Local Investment Climate / National Support for Enhancing Local and Regional Economic Development Projects (NSLIC/NSELRED), a partnership between the Government of Indonesia through the Ministry of National Development Planning (PPN)/BAPPENAS and the Government of Canada through Global Canada (GAC) held a closing ceremony today for the second phase of the Responsive Innovation Fund (RIF).
NSLIC/NSELRED Project provides capacity building for improving the local investment climate and local economic development at the national level and in a total of 28 selected districts/municipalities in Indonesia. Among the 28 districts/municipalities, 18 are included in the National Priority Rural Areas as stated in the Indonesian National Mid-Term Planning (RPJMN) 2015-2019 and 2020- 2024. These 18 areas are supported through RIF, a grants scheme within the NSLIC/NSELRED Project. RIF aims to strengthen and coordinate national support for innovative local economic development. Such innovations might be in the form of developing a more efficient production process; a new method for service delivery; resource- sharing with other districts for improved efficiency, or the use of tools and technology to help overcome distance and other barriers.
The national development agenda stated in the 2020-2024 RPJMN emphasizes the importance of tangible and measurable policies, programs and activities to encourage the acceleration of rural and regional development. Local economic development is the main pillar of the performance of the national economy. In line with these objectives, the Regional Government is seen as capable of carrying out various economic development innovations if supported with appropriate technical supports and instruments, as stated by the Deputy for Regional Development, Ministry of National Development Planning / BAPPENAS, Ir. Rudy Soeprihadi Prawiradinata, MCRP, PhD.
The six regions and innovations that have been selected for RIF Phase II are: 1) Manokwari Regency, West Papua Province, for the development of organic cocoa and coconut; 2) Dompu Regency, West Nusa Tenggara, to improve derivative products of corn; 3) Mempawah Regency, West Kalimantan Province, for the development of organic black and red rice, 4) Pesisir Selatan Regency, West Sumatra Province, for the development of fishery and fruits derivative products to support tourism in the south coastal areas of West Sumatera; 5) Kayong Utara, West Kalimantan Province, for the development of organic corn and coconut; and 6) Sidenreng Rappang Regency, South Sulawesi Province, for the development of organic rice to support food security in South Sulawesi.
The implementation of RIF is expected to be one of several strategic initiatives to support the achievement of the 2015-2019 and 2020-2024 National Mid-Term Planning. The second phase of RIF which was carried out from April 2019 to July 2020, has made significant achievements. Around 7000 beneficiaries including government, private sector, academics, research institutions,and MSMEs have received assistance through more than 100 trainings, coaching sessions, and other types of technical supports. The assistance was delivered for the development and strengthening of local institutions, commodities/products and to improve market linkages. RIF pilot intervention have also opened up employment opportunities for at least 2.929 persons, with further opportunities identified for replication and scale – up.
The closing ceremony will be attended by representatives of the Canadian Embassy for Indonesia, Global Affairs Canada (GAC); Ministry of National Planning; Ministry of Villages and Transmigration Areas, Coordinating Ministry of Economic Affairs, Coordinating Ministry of Human and Culture, Ministry of Agrarian Affairs; Ministry of Maritime, the Anti – Corruption Committee, as well as other related national institutions; multilateral/bilateral cooperation projects, international donor agencies, 28 Regents/Mayors and beneficiaries of NSLIC pilot projects, start–up and crowd funding companies, business institutions, banking, media, etc.
Representing Global Affairs Canada (GAC), Pierre-Yves Monnard, the Head of Cooperation in Indonesia, congratulated the six participating regions for the achievements and progress made in improving their productivity, market access and capacity of the local community, particularly benefitting at least 3,274 women beneficiaries and 142 women’s business groups. These have helped to advance gender equality and promote women empowerment in those regions. He also expressed his appreciation to the commitment and support of the national government and local governments to the implementation of RIF Phase II. He noted how local economic development and skilling up local communities in e-commerce and digitalisation have helped them to be resilient during this pandemic. He hoped that the results achieved and capacity built could be sustained and expanded further after RIF Phase II.
The closing ceremony is conducted online and featured the video screenings of before-after testimonials. It is also expected that this event can map the national policies and contributions from various actors for the successful implementation of the next phase of RIF as well as sustainability strategies after the NSLIC cooperation ends.