Universitas Gadjah Mada
Faculty of Economics and Business

Estimated loss calculated by Bappeda Sleman per  14 November 2010 due to Merapi eruption, reaching 3.385 billion rupiah. This does not include loss at fisheries subsector, Kaliurang tourism, infrastructure, and school building.

But according to ISEI (Indonesian Economist Association) Yogyakarta, total loss can reach 5 billion rupiah. "If loss coverage being counted at Ngemplak, Sleman, and Tempel districs, the loss will be bigger then Bappeda Sleman been count" said Chairman of the Yogyakarta branch ISEI, Prof. Lincolin Arsyad, Ph.D., on Thursday (18/11).

Merapi eruption cause a lot of people at disaster areas still need to evacuate. The number of refugees in all parts of DIY, were 152,075 people, while in Sleman district alone refugees number are 111,569 people. Data on Bank Indonesia (18/11) shows that 3655 potential SME debiturs are stuck until 106, 4 billion dollars. "This numbers are growing as the coverage areas and periods grow. Given these conditions, ISEI Yogyakarta Branch decided to contribute their ideas by forming an Economic Acceleration Team towards Yogyakarta’s economic recovery after Merapi Eruption" said Prof. Lincolin Arsyad, Ph.D.

On a press confrence, Lincolin explain that the newly  formed team appointed  Professor. Mudrajad Kuncoro, Ph.D. as coordinator. To accelerate economic recovery, the team focus on two program, which is Economic Recovery, with Dr. Fahmy Radhi, MBA, as coordinator, and Restoring Yogyakarta Image coordinate by Drs. Wing Apocalypse Winarno, MAFIS, Akt.

Together with Centre for Disaster Studies (PSB) UGM, team has held a meetings and coordination with Head of Sleman Region, Drs. Sri Purnomo, on November 14, 2010. From that meeting, Pemkab Sleman with open arms receive discordant thoughts of ISEI Yogyakarta Branch and technically will be more coordinated in "Forum Sleman Bangkit".

Work phases ISEI Yogyakarta Team in accelerating economic recovery include assessment survey, cluster analysis, and action plan that covering finance, capacity building, and marketing. The team is also immediately urged the Bank of Indonesia to consider credit write off from SMEs creditor up to 100 million dollars using central, provincial government or SOEs’s budget. According to Prof. Lincolin Arsyad, Ph.D. "ISEI Yogyakarta Branch will follow  up this matter by sending a letter to the Governor of BI, Head of Bank Indonesia Yogyakarta, Yogyakarta Governor, and Minister for State Enterprises,"
Otherwise, ISEI Yogyakarta will also asked Minister of Finance (cq Directorate General of Taxation and Director General of Customs and Excise) to soon issued a Regulation which provides facilities for income tax (income tax), value added tax (VAT) and luxury sales tax  for tax payers that has been affected by the eruption of Merapi.

Lincolin also expect the media to make news with more positive perspective. Like stressed on social community solidarity in DIY, instead of that disaster itself. With this perspective,Lincolin hope that Yogyakarta still have positive image especially for disaster area."We will convey information about the various steps taken, including coordination and cooperation with various parties in DIY, for example, Yogyakarta Tourism Promotion Board (BP2KY) for image restoration DIY, and called on State and private universities in Yogyakarta to help economic recovery this Sleman with a number of actions, such as thematic Student Community Service at the disaster area, "he said.

Source: www.ugm.ac.id

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