IPB Professor Proposes the Return of the Pancasila Economic Idea

Center for Development, Agriculture and Rural Studies (PSP3) Institute of Research and Community Service (LPPM) Bogor Agricultural University (IPB) holds PSP3 Lecture with the topic "Economics of Pancasila and Rural Development in Indonesia". This activity was held at the PSP3 Meeting Room, Baranangsiang IPB Campus (8/20).

This forum was held with the aim of discussing strategic issues in building villages with existing resources and raising intellectual ideas as a contribution in building the country. According to the Head of PSP3 LPPM IPB, Dr. Ir. Sofyan Sjaf, development so far has led to a capitalistic economy.

"This initial discussion took the theme of Economic Pancasila and Rural Development in Indonesia. Why is Pancasila Economy? Because we see that at present our development tends to lead to a capitalistic economy, “said Sofyan Sjaf.

On this occasion, Professor of the Faculty of Economics and Management (FEM) IPB, Prof. Dr. Didin Damanhuri dissected the Pancasila economy, the development of maturity and the challenges of the economic development imbalance of the Pancasila which will be glued to rural development.

"In 1970-1980 the long journey of the Indonesian economy was still a colonial economy. In 2010, it surfaced about the Pancasila economy stimulated by the speech of Prof. BJ. Habibie. That is the transformation of the national colonial economy. Pancasila economy is now welcomed and will be implemented by President Jokowi, "said Didin Damanhuri.

According to Didin Damanhuri, during 73 years of independent Indonesia, Indonesia's economic system still adhered to the colonial economic structure. Residents can only move in the rural economy and throughout history concluded that the Pancasila economy has never been implemented systematically.

"The birth of a modern economy begins with the construction of secularism. This applies both to liberal economic models, democratic socialism and communism. In this context, the role of religion is marginalized in the economy four centuries ago. How is this process neutralized? The answer to the Pancasila economy. The second, third, fourth and fifth precepts must be the One and Only God as stated in the first precept. With this perspective, the color of religion will construct the Pancasila Market Economic system (EPP), "said Didin Damanhuri.

According to Didin Damanhuri, EPP is a part where market or economic and political characteristics or democracy as an instrument (not an objective) as well as a state arena in making long-term planning. All economic actors operate in a market mechanism to achieve high economic growth and social justice (equal distribution of welfare to all people). While religion functions as a guarantor of the morality of individuals, families and countries.

"Spirituality and religiosity of the actors (individuals, families, to the state) must color the management of the material world (natural resources and artificial resources, such as technology, management, and so on) both micro and macro. Of course religious energy must increasingly exist in society and state and create peace, tolerance and cooperation in combating poverty, ignorance, inequality and backwardness. In addition the role of leaders and systems and regulation is very important in the implementation of all EPP implementation processes. And in the implementation of the EPP there are basic articles of the guidelines in the 1945 Constitution. (jhn)