The Strategic Issues Of Economic Development Of Border Area Of Indonesia - Malaysia

Abstract

On the land, Indonesia is bordered by three countries: Malaysia, Papua New Guinea and Timor Leste.Whereas, in Indonesia sea area bordered by 10 countries: India, Malaysia, Singapore, Thailand,Vietnam, Philippines, the Republic of Palau, Australia, East Timor and Papua New Guinea. Most ofthe border region in Indonesia is still an underdeveloped area with less facilities and infrastructure ofsocial and economic. Formulation of the problem are: 1. How do the condition of the socio-economicand culture in the border of Indonesia - Malaysia? 2. What is the condition of infrastructure in theborder and what is the urgent infrastructure to be built? 3. What are policy and strategy of theIndonesian government of the border of society development between Indonesia (Entikong) andMalaysia (Sarawak)? The purpose of writing are: 1. Comparing the condition of the socio-economicand culture of border both Indonesia and Malaysia. 2. Comparing the condition of the infrastructureof border both Indonesia and Malaysia and determining the infrastructure to be built. 3. Describingthe Indonesian government policy and strategy in development acceleration of economic society in theborder between Indonesia, especially Entikong Sub-District of Sanggau Regency West Kalimantanand Malaysia (Sarawak). Although, the commitment and the governments policy have given a higherpriority in the reorientated development of border, which those of security (security approach) into awelfare orientation (prosperity approach), but overall, the issue of society development in Indonesiaborder, especially the District Entikong Sanggau Regency West Kalimantan and Malaysia (Sarawak)so far can be said that are still not getting proportional attention. The indication, though a variety ofpolicies, regulations or laws relating to efforts to accelerate economic development of border societieshave been made. Various issues and problems are faced by the border, both land and sea borders canbe solved by more focused and targeted on six aspects, these are policy, economic and socio-cultural,defense and security, natural resources management, institutional and management authority, as wellas cooperation inter nations.

Cross-Border Entrepreneurship: A Preliminary Study On Informal Entrepreneurs In Sebatik Island

“…In fact, in many developing regions, cross-border entrepreneurship, including cross-border informal trade, has been regarded as one of the mechanisms to develop economic growth of the local community (Aralas et al, 2017;Bariyah et al, 2012). Nevertheless, many previous researches highlighted several common strategic issues pertaining cross-border entrepreneurship in Malaysia, including socioeconomic vulnerability, security, ethnic relations, and business practice differences (Awang et al, 2013;Sunarya & Sudaryono, 2016;Thai & Turkina, 2014). For example, the Malaysia-Indonesia border in the Sarawak-Kalimantan region, faced myriad of issues, and became socio-politically vulnerable, that led to border conflicts between Malaysia and Indonesia.…”

“…It is crucial to understand how entrepreneurial activities in the border villages take place regardless of the absence of formal rules imposed. In addition, it is found that study on entrepreneurship in the small remote border areas, especially the informal cross-border trade receives less attention compared to developed areas (Ngah, 2012;Sunarya & Sudaryono, 2016)…”

“…In less developed areas, the economic activities including the cross-border trade often occurs as micro-sized and in less formal way, in the absence of formal cooperation and partnership. From the government point of view, informal business although legitimate in terms of types of goods and services sold, is generally associated with social and economic problems (Sunarya & Sudaryono, 2016;Thai & Turkina, 2014), for example, smuggling, transnational crime, tax revenue losses, productivity and growth implications, inequality and poverty. Notwithstanding, considering the deliberation of entrepreneurship, informal business can be regarded as an entrepreneurial action.…”

“…Based on the authors' observation, despite resembling common religion, language and cultural heritage, both countries have been undertaking unequal pace of democracy which may lead to serious bilateral pressures. The Indonesian government have defended its country through security approach as compared to Malaysia that use both the welfare (prosperity) and security approach(Sunarya & Sudaryono, 2016). Stringent border controls have been imposed by the Indonesian government on each of its international borders, for example in Sebatik Island, the Indonesian military forces (Tentera Nasional Indonesia) and security post has been positioned at the Indonesia border near the jetty of Aji Kuning, to control illegal visitors.…”

Making an Integrated Border: Challenges for Immigration Institutions in North Sulawesi

“…State apparatus at the border must be complicated to carry out regular surveillance and anticipate the complexity of problems that exist at the border, including border disputes, terrorism, illegal immigrants, illegal logging, illegal fishing, smuggling of goods and illegal drugs, penetration of foreign ideologies and various other forms of violations that threaten state sovereignty (Bennett, 2018;Rusmiyati et al, 2022;Wilcox et al, 2021). Besides that, most border areas in Indonesia are underdeveloped areas with minimal facilities in social and economic aspects (Cecilia, 2021;Sunarya & Sudaryono, 2016).Realizing that, since the beginning of President Joko Widodo's administration, he has raised the border issue as one of the main issues in the direction of national development policy where one of the points is "Building Indonesia from the Periphery. "This point has been implemented in several policies to address complex problems at the border.…”