On February 19th, 2020, the Islamic Development Bank organized a joint workshop with the Ministry of National Development Planning (BAPPENAS) of the Republic of Indonesia on the Global Value Chain (GVC) Selection Analysis. The IsDB is currently initiating the preparations for the 3rd MCPS for the period 2021-2025 starting in 2020. The 3rd MCPS will be based on the new MCPS 2.0 generation focusing on GVC as the primary driver for the IsDB intervention in Indonesia.
IsDB has embarked on a new model and unique approach which is centered around the GVC by promoting development through better integration in the GVC and at the same time strengthen and build stronger domestic value chains.The IsDB’s value chain approach takes a forward-looking approach by identifying potential value chains that focuses on the competitiveness of a country based on industries and products.
The IsDB presented the initial GVC analysis highlighting two potential sectors, namely Automotive and Agriculture. The IsDB will continue close coordination with the Ministry of Finance, Bappenas, and the concerned Line Ministries to finalize the detailed GVC analysis and agree on the sectors of a competitive advantage which will be the primary input in the MCPS. The workshop was attended by 60 invitees which included representative from the Ministry of Finance, Bappenas and related line ministries in the Republic of Indonesia.