Urbanization in Indonesia

After Indonesia gained independence from the Netherlands in 1945, urbanization in the country began to accelerate. The country underwent significant changes in its social and economic structure, which led to an increase in urbanization. Indonesia has had a mixed economy since its independence in 1945. In the early years of independence, the country pursued a policy of economic nationalism, which involved nationalizing foreign-owned assets and promoting state-led economic development. This approach was influenced by the socialist and nationalist ideas of Indonesia's first president, Sukarno. President Sukarno embarked on an ambitious development program to modernize the country and improve its infrastructure. This program included the construction of highways, bridges, and other transportation infrastructure, which made it easier for people to move from rural areas to urban centers. 

Indonesia has witnessed the rapid growth of its four largest metropolitan cities, which are Jakarta, Surabaya, Bandung, and Medan. Indonesia has undergone an industrial revolution in recent decades, which has led to the growth of manufacturing and service sectors, particularly in urban areas. The industrial revolution has created new job opportunities and has contributed to increased productivity and economic growth, which has in turn led to an increase in the standard of living for many people living in urban areas. The population residing in urban areas in Indonesia has been steadily increasing over the years. According to the World Bank, in 1960, only about 15% of Indonesia's population lived in urban areas, but by 2020, this figure had risen to 56%. According to United Nations projections, the urban population in Indonesia is expected to continue to grow significantly in the coming decades. By 2050, it is estimated that over 70% of Indonesia's population will be living in urban areas, up from the current 56%.

There are several factors that have contributed to urbanization in Indonesia, including:

1. Economic growth: Indonesia has experienced significant economic growth in recent decades, which has led to the creation of new jobs and economic opportunities in urban areas. This has attracted people from rural areas to move to cities in search of employment.

2. Population growth: Indonesia's population has been growing rapidly, which has put pressure on rural areas and led to increased migration to urban areas.

3. Improved infrastructure: The Indonesian government has invested in improving infrastructure, including transportation and communication networks, which has made it easier for people to move to and live in urban areas.

4. Education and healthcare: Urban areas tend to have better access to education and healthcare facilities, which can be a major factor in attracting people to cities.

5. Changing social and cultural norms: As Indonesia has become more urbanized, social and cultural norms have also shifted, with younger generations increasingly viewing urban areas as more attractive and desirable places to live.

While urbanization can bring many benefits, such as increased economic growth and improved access to services, it can also pose significant challenges, such as overcrowding, traffic congestion, and environmental degradation. The Indonesian government has been working to address these challenges through a range of policies and programs aimed at promoting sustainable urban development, improving public transportation, and investing in affordable housing. The urban unemployment rate in Indonesia has fluctuated over the years. According to data from the Indonesian Central Bureau of Statistics, the urban unemployment rate was 7.02% in August 2021, down from 7.07% in the same month the previous year.

However, it is important to note that the COVID-19 pandemic has had a significant impact on employment in Indonesia, particularly in urban areas. The pandemic has led to business closures, job losses, and reduced economic activity, which has contributed to an increase in unemployment rates across the country. The Indonesian government has implemented a range of policies and programs aimed at mitigating the impact of the pandemic on employment, including providing social assistance to affected households, supporting small and medium-sized enterprises, and investing in job training and placement programs.

Additionally, the government has been working to promote the development of industries outside of traditional urban centers, with the aim of creating new job opportunities and reducing pressure on urban areas. These efforts include promoting the growth of the digital economy, supporting the development of rural industries, and investing in infrastructure outside of major cities.

Literature:

1. Lewis, B. D. (2014). Urbanization and economic growth in Indonesia: good news, bad news and (possible) local government mitigation. Regional Studies, 48(1), 192-207.

2. Urban Population .data.worldbank.org.

3. Wilonoyudho, S., Rijanta, R., Keban, Y. T., & Setiawan, B. (2017). Urbanization and regional imbalances in Indonesia. The Indonesian Journal of Geography, 49(2), 125-132.