Five-Year Development Plans of Indonesia
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The Five-Year Development Plans (Rencana Pembangunan Lima Tahun or Repelita in Indonesian) were a series of planned development projects during the New Order government in Indonesia for 30 years of Suharto presidency. This program implemnted centralized development for macroeconomics and agricultural sector in Indonesia. The roadmap of the plan was designed under the guidance of Widjojo Nitisastro in 1967 who was back then the head of National Development Planning Agency (Bappenas) and the draft was finished in just one year.[1]
The Five Year Development Plan was aimed to improve the standard of living of the people by increasing production and income and changing the colonial economic structure into a national economic structure by opening up business opportunities in all economic and social fields, in accordance with the principle of family. (2) This Five Year Development Plan is aimed at three sectors: a. the government sector; b. the private sector and c. the village community sector. (3) These sectors will also include regional national development.
Background
[edit]After Suharto rose to presidency, he was faced with numerous problems regarding Indonesian sociopolitical landscape such as poverty and hyperinflation after national turmoil and economic mismanagement since 1965. After the situation started to stabilise, Suharto's government begin introduction the Five-Year Development Plans dubbed as Repelita.[2] The plan itself was divided into 5 phases:
- Repelita I (1969–1974) aimed to meet basic needs and infrastructure with an emphasis on agriculture.
- Repelita II (1974–1979) aimed to increase development in islands other than Java, Bali and Madura, including through transmigration.
- Repelita III (1979–1984) emphasized labor-intensive industries to increase exports.
- Repelita IV (1984–1989) aimed to create new jobs and industries.
- Repelita V (1989–1994) emphasized transportation, communications and education.
- Repelita VI (1994–incomplete) aimed to increase the development of the foreign investment climate in order to improve the national economy and industry.
In order to accomplish his plan, Suharto contacted a group of economic advisors who were mostly educated in University of California, Berkeley that was commonly known as the Berkeley Mafia to draft the development plan. The first phase of the development plan was started in 1 April 1969 after the national budget bill for the 1969-1970 was passed on 30 March 1969.[3]
The Five-year Development Plans
[edit]Repelita I (1969–1974)
[edit]The first phase of Repelita ran from 1969 until 1974. The priority of this phase were basic needs such as education, healthcare, food and clothing security, infrastructure, and economic recovery.[4][5] During its first phase, Indonesian government relied on foreign aid from Inter-Governmental Group on Indonesia (IGGI).[6] Agriculture sector was prioritized during the first Pelita in order to achieve 5% economic growth and hoping for expansion of employment opportunities due to Indonesian people are mostly dependent on agricultural products[7]
Repelita II (1974-1979)
[edit]
Running from 1974 until 1979, The main focus of second Pelita was still on agriculture and also other sectors such as industrial, education, healthcare, and transmigration. The agricultural sector was focused on pest control that impacted the food production speed and global economic and oil crisis that impacted industrial sector. However the second Pelita succeeded by the economic growth of 7% annually, improved irrigation, and increased agricultural and industrial sector production. The second Pelita also saw new roads and bridges infrastructures being built including the Jagorawi Toll Road connecting Jakarta with Bogor and Ciawi. Transmigration saw an increase during the second Pelita which mainly caused by some villages being cleared for infrastructure projects such as reservoirs which prompted villagers to be relocated to other villages or islands with housings being guaranteed by the government.[8]
The development expenditure increased from 4.5 billion rupiah (US$10.84 million) in 1974-1975 to 94.7 billion (US$228.2 million) in 1978-79. Education, national culture and youth development sector also increased an average of around 54.5% with an allocation of around 758.1 billion rupiah (U$1.83 billion).[9]
Repelita III (1979-1984)
[edit]The Pelita plan would continue for its third times in 1979 to 1984 which focused on Development Trilogy and Eight Phase of Equality to create equal and prosperous society. The Development Trilogy would consist of national stability, economic growth, and equal development. Aside from development trilogy, the foundation of the third Pelita phase Eight Phase of Equality which focused on equal development of every sectors such as education and infrastructures.[10]
The rising oil price has helped the Indonesian economy to grow significantly, knowing the oil production is not enough to boost the economy, the government introduced the June 1983 Policy Package that consist of deregulation in certain sectors such as financial and trade. The third Pelita also successfully shift Indonesian economic focus to industrial sector.[11]
Repelita IV (1984-1989)
[edit]The fourth Pelita was held from 1984 to 1989. The plan mainly focused on labor-intensive industries to increase Indonesian foreign exchanges. Initially the plan was to boost agricultural sector but was changed due to the higher industrial demand. This is needed to improve industrial development and the Indonesian Industrial Standards (SII), so that consumer protection is guaranteed and the production process is faster.[12] During this era, the government also introduced the family planning program.
In 1984, Indonesia has produced 25,8 tonnes of rice, as a result, Food and Agriculture Organization (FAO) awarded Indonesia for its success of food self-sufficiency. The large scale mining sector also was also on the rise in order to meet the heavy industrial demand at the time.[13] The worldwide recession during this period was also did not affect rural populace due to adjustments set by the government.[14]
Repelita V (1989-1994)
[edit]Due to the worldwide economic crisis, the Indonesian economy has experienced a slowdown in growth. In order to address the economic slowdown, Indonesian government has shifted the focus to diversify its economy beyond the oil and gas sector and more into industrial export. Aside of that, the fifth Pelita also focused on national communication and transportation sector.[14] Indonesian economy recovered with 6,8% growth rate during the fifth Pelita.
Repelita VI (1994-1998)
[edit]Was the final development plan. The sixth Pelita was supposed to run between 1994 and 1999 in order to maintain economic growth above 7%. The focus on this program was also to deregulate certain sector in order to increase efficiency. Aside of that, the sixth Pelita will also be focused on the development of East Indonesia.
The plan came into abrupt end in the aftermath of 1997 Asian financial crisis. The crisis that was originated due to the collapse of Thai baht has affected the Indonesian rupiah value due to the diminishing confidence among international investors on Asian market. As a result, several government programmes were forced to be halted due to rapid depreciation of rupiah.[15] Suharto stepped down on 21 May 1998, marking the end of the Five-Year Development plan.
References
[edit]- ^ Ardanareswari, Indira (1 April 2020). "Repelita ala Orba: Pembangunanisme yang Mengandalkan Modal Asing". tirto.id (in Indonesian). Retrieved 16 November 2021.
- ^ Sheridan, Greg (28 January 2008). "Farewell to Jakarta's Man of Steel". The Australian. Archived from the original on 25 February 2012. Retrieved 14 April 2010.
- ^ Fitria, Dona (1 April 2020). "Repelita 1 April 1969". kebudayaan.kemdikbud.go.id (in Indonesian). Retrieved 16 November 2021.
- ^ Arief, dkk. 1999, p. 116.
- ^ Arief, dkk. 1999, p. 168-169.
- ^ Cribb, Audrey. 2004, p. 192.
- ^ Repelita I Inaugurated By President Soeharto In Indonesian History Today, April 1, 1969
- ^ Program Transmigrasi pada Masa Orde Baru
- ^ Pembangunan Repelita II pada Masa Orba (1974-1979)
- ^ "Isi Trilogi Pembangunan pada Masa Orde Baru". kumparan.com. 30 April 2024.
- ^ Rahmawati 2022, p. 40.
- ^ Arnaiz, Thea (8 November 2022). "Apa Saja Program Repelita I hingga Repelita VI? Ini Penjelasannya". bobo.grid.id. Retrieved 18 July 2025.
- ^ Sobih AW Adnan (4 April 2016). "Bulog dan Swasembada Pangan Era Orba". Medcom.id. Retrieved 3 December 2020.
- ^ a b Rahmawati 2022, p. 41.
- ^ Raghavan, Anita (26 December 1997). "Japan Stocks Slide Again on Fears About Stability". The Wall Street Journal. Archived from the original on 16 March 2018. Retrieved 2 September 2009.
Sources
[edit]- Arief, S., Soedharsono S., B., dan Sumarno (1999). Pembangunan Lima Tahun di Propinsi Jawa Timur 1969–1988 (PDF). Jakarta: Proyek Inventarisasi dan Dokumentasi Sejarah Nasional. ISBN 979-9335-09-4.
{{cite book}}: CS1 maint: multiple names: authors list (link) - Cribb, R.B.; Kahin, Audrey (2004). Historical Dictionary of Indonesia. Lanham, Md. : Scarecrow Press. ISBN 0-8108-4935-6. Archived from the original on 21 July 2023. Retrieved 4 July 2025.
- Rahmawati, Rizki (2022). "REPELITA: SEJARAH PEMBANGUNAN NASIONAL DI ERA ORDE BARU". Jurnal Ilmiah Kebudayaan dan Kesejarahan. 9 (2). ETNOHISTORI: 36–42. doi:10.33387/etnohistori.v9i2.5654. Retrieved 18 July 2024.
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