This study investigates the potential horizontal and vertical spillovers from FDI towards firms' efficiency level on Indonesian manufacturing industries, using firm-level panel data. The result suggests that positive evidence of horizontal spillovers arise instantaneously, but the impacts of vertical spillovers appear a year later. These indicate that foreign competitors cause local firms more efficient in the same industry. Furthermore, after one period of time MNCs running their business in Indonesia, they bring positive impacts on downstream markets but deteriorate manufacturing industries in the upstream markets. Therefore, the Indonesian government must ensure that overall benefits from promoting FDI must overweight their negative impacts.
The presence of foreign firms in a region can create spillovers to other firms, both within the intra-industries (industries itself) and inter-industries (other industries). Spillover from foreign firms can be in the form of technology transfer, efficiency improvement, managerial knowledge which ultimately is expected to increase productivity for other firms not only in large enterprises but also for micro small and medium enterprises (MSMEs). Hence, this paper aims to identify the potential backward spillover of foreign firms to MSMEs in East Java and the individual results show that the four highest backward spillovers values of foreign industries are industry of components and spare parts of the prime mover motor, industry of agricultural and forestry machinery and services for supporting, maintenance and repair, industry of pump and compressor and industry of measurement tools, manual regulator and testing. All of them are respectively located in Surabaya City, Pasuruan District, Pasuruan District and Mojekerto District. Furthermore, the general results show that the potential backward spillover exists in rubber, rubber goods and plastic goods industries as well as chemicals and goods from chemical material industries. The foreign firms which have highest backward spillovers are located in Pasuruan District, Mojekerto District, Sidoarjo District, Surabaya City and Gresik District. Therefore, the provincial government of East Java should immediately prepare and support both technically and financially to MSMEs in providing raw materials required by foreign firms based on the industrial classification and location results of this study. In addition, the provincial government of East Java can coordinate with the district governments in the areas of those foreign firms for preparing MSMEs in supplying raw materials.
The main objective of WTO Law is to accommodate individual's right in order to obtain better benefit of international trade. However, when a government violates WTO Law, it is therefore causing deprivation of individual right itself. Direct effect seems to be a feasible doctrine to provide a judicial protection for individual, in order to rebalance the right that is violated. Nevertheless, this doctrine is intractable to imply. This article discuss the polemic of giving direct effect of WTO Law and DSB Decision to domestic law to provide judicial protection for individual who becomes victim of WTO violation conducted by government
Contributed papers presented at International Research Seminar "Indo-Tajik Cooperation in the Period of Independence", held during May 12-14, 2002 at Dushanbe
Abstract COVID – 19 is an unprecedented occasion that forces every state to adapt to the current changes in the dynamics of international relations. The impacts that are given by the Pandemic are not only on the health aspects, but also give the spillover effects to some aspects, such as economy and social, as the result of the closed-border policy and the restrictions policy on trading. By that means, the holistic and comprehensive approaches are needed to tackle the pandemic. Furthermore, Global Health Diplomacy is considered as one of the instruments or means to tackle the impacts of it. Notwithstanding, there are some states which implement the Me First Policy, especially at the beginning of the Pandemic. This paper examines Indonesia Foreign Policy through Global Health Diplomacy during COVID – 19 and to analyses the characteristics of the policy, either cooperative or competitive. This paper uses the concept of Global Health Diplomacy by Kickbusch and Told on 21st Century Health Diplomacy: A New Relationship between Foreign Policy and Health, Global Health Diplomacy: The Need for New Perspectives, Strategic Approaches and Skills in Global Health, by Kickbusch, Ilona; Silberschmidt, Gaudenz; Buss, Paulo and the concept of Global Health Diplomacy by Khazatzadeh-Mahani, A., Ruckert, A., & LabontÉ, R Through its Global Health Diplomacy, Indonesia is aiming to implement the policy which are based on the solidarity and cooperativeness. Keywords: COVID – 19, Global Health Diplomacy, Indonesia, Cooperative, Competitive
This paper looks at how Indonesia contributes to the creation of a relatively peaceful and stable Southeast Asian region after the Cold War. It examines Jakarta's diplomacy in the South China Sea, and explains its implications for the making of the regional order. The argument is that Indonesia's impact on regional security has been apparent in its attention to the improvement of rule-based interaction among states in the region. However, recent developments have demonstrated that Indonesia's initiatives, formulated in the Indo-Pacific Cooperation Concept, are unsuccessful due to the lack of support from other ASEAN states. This paper shows that great powers politics in the troubled waters has hindered the advancement of Indonesian's orderdriven policy.
The era of trade liberalisation for the ASEAN Economic Community (AEC) began in December 2015 and brought about economic liberalisation in the Southeast Asian region. This era is competitive and the ASEAN member states (AMSs) almost do not have full power of sovereignty to govern their own economic national matters. In this globalised dependence era, the majority of states in the world have to adjust and adopt as well as adapt their national laws to internationalised rules of law. This trade liberation era also has forced companies and other business entities, including Small and Medium Enterprises (SMEs) and Cooperatives in Indonesia to compete with each other in order to tap the benefits of international trade liberalisation. In this context, SMEs and Cooperatives in Indonesia need some kind of protection from the government that does not oppose international regulations on trade. While the number of SMEs and Cooperatives is 98 per cent, their contribution to Indonesian export is small, at only 19 per cent. They are weak in terms of capacity building and access to capital, information technology, global markets as well as integration with regional and global market chains. This research paper evaluates SMEs and Cooperatives in Indonesia in terms of facing AEC trade liberalisation, i.e., what has done and should be done by the authority is to give proper protection to the SMEs in Indonesia by focusing on the manufacturing SMEs as this sector has the best chance of boosting SMEs' export capacity and building the competitiveness of Indonesian SMEs in order to be equal with other SMEs in the ASEAN region.
The impact of the foreign assistance on economic growth and development of the recipient country remains unclear at both theoretical and empirical levels. While the number of studies devoted to the mechanisms of enhancing the effectiveness of foreign aid is growing progressively, international community is organizing high-level forums aimed at coordinating actions of donor countries, international financial institutions and recipient countries. The paper reviews main principles of enhancing aid effectiveness highlighted in the Declarations and Action Agenda's adopted by member countries of United Nations and Organization of Economic Cooperation and Development. The use of national development strategies of developing countries in aid allocation as well as introduction of new forms of aid provision as South-South cooperation may lead to better developmental outcomes.
There are two functions of the state liability principle. The first is to secure individual rights (including economic rights) from a wrongful act conducted by a government, and the second is to compensate for damage caused by the infringement of individual right. Economic right is inherently allowing an individual to pursue economic interest both domestically or globally. In order to accommodate this right, a government is obliged to provide trade rules and mechanisms for every individual to conduct their global economic activities by participating in the WTO. The objective of the WTO significantly corresponds to the individual's right in order to obtain trade benefits. Hence, when a government infringes trade rules and mechanisms underlined in WTO Law, it will directly restrict individuals from gaining trade benefits under the WTO or, moreover, it will restrain individuals from enjoying their inviolable economic rights. When the right is violated, and the damage occurs, it thus leads to the obligation for the government to compensate the damage according to the state liability principle. This article discusses the nexus between the state liability principle and WTO Law, in order to encourage national courts to exercise the function of state liability by referring to the infringement of economic rights caused by the violation of WTO Law.
The background of this article is the existence of a global pandemic COVID-19 which has an impact in various fields. This article seeks to explore the impact of the COVID-19 global pandemic on information and communications technology (ICT) in the form of digital diplomacy. Exploration is carried out by investigating the case of Indonesian diplomacy at the United Nations (UN) in March, April, and May 2020. The main concept in this article is digital diplomacy. This concept illustrates the use of ICT as a means of diplomacy for state actors and changes at the policy and institutional levels. This article found various digital diplomacy activities from the Permanent Mission of the Republic of Indonesia to the United Nations in New York, United States during the global pandemic COVID-19. These activities include: 1) coordination with Indonesia's Embassy and Consulate General in the United States to protect Indonesian citizens; 2) participation in UN Security Council virtual meeting to discuss international peace and security issues; and 3) participation in other UN bodies virtual meetings to discuss international development issues. This article argues that the impact of the COVID-19 global pandemic in the field of ICT is reflected in Indonesia's digital diplomacy at the United Nations. The global pandemic COVID-19 changed the means and tools used by Indonesian diplomats to gather information, negotiations, and responses on international issues. Even so, Indonesian diplomacy at the UN continues to run optimally.
In the articleUzbekistan's accession to international documents developed and adopted within the framework of UNESCO contributes to the international legal protection of our cultural heritage by the world community, Uzbekistan's scientific potential, science, culture, historical programs, unique archeological and architectural complexes, national and spiritual masterpieces. Along with the wide range of opportunities to promote and increase the effectiveness of their work in this area, the further development of our legislation in this area, as well as the further development of education, science, culture, information and communication technologies in Uzbekistan. and focuses on opportunities to help it stay strong in its place among influential states. The reason is that the state independence of Uzbekistan is a legitimate result of the hard and arduous struggle of our people for many years. Now the fate of our people is in their hands, they are working hard to strengthen the independence of their country. As an independent state, Uzbekistan has become a party to international conventions and influential world organizations such as the UN, OSCE and ILO. Since gaining its independence, Uzbekistan has taken the path of establishing and developing interstate relations with influential countries around the world, defining the main directions of foreign policy and finally joining UNESCO, one of the 15 specialized organizations of the United Nations. The results of the cooperation since its accession in October to the present are described in the article. The article also covers the relations of our country with UNESCO and its history during the period of national independence. Finally, Uzbekistan's integration into the world community, mutually beneficial political, diplomatic, economic and cultural ties with the world's largest, developed countries are widely covered. The most important thing is that in a short historical period, Uzbekistan has taken a worthy place in the world community, rising to the level of a state with its own independent voice on global issues.
