# Economic development discussions in Sulawesi

> Live situation record from CLSTR: https://clstr.news/situations/economic-development-discussions-in-sulawesi
> Updated: 2026-10-09T22:37:23.000Z. Sources: 9. Developments: 2.

Indonesian legislative officials and regional leaders have engaged in discussions regarding the economic trajectory of Sulawesi, focusing on transitioning toward more productive growth drivers.

In September 2026, members of Commission XI of the DPR RI conducted working visits to North and South Sulawesi. Officials noted that economic growth in the region has relied heavily on government spending and consumer-oriented credit. In North Sulawesi, Vice Chairman Mohamad Hekal observed that MSME credit is being used more for consumption than for investment, prompting calls for the Financial Services Authority (OJK) to expand access to productive financing. In South Sulawesi, Commission XI Chairman Mukhamad Misbakhun emphasized the need to strengthen exports and investment to ensure sustainable growth.

By early October 2026, regional leaders in South Sulawesi met with Commission VII of the DPR RI to advocate for central government support. Governor Andi Sudirman Sulaiman highlighted the region’s role as a strategic hub for Eastern Indonesia, requesting policies to assist approximately 3 million registered MSMEs. Makassar Mayor Munafri Arifuddin proposed incentives for raw materials to bolster local industrial processing and called for infrastructure improvements to support tourism and the creative economy.

However, subsequent findings from Commission VII member Novita Hardini revealed significant operational challenges for South Sulawesi industries. Hardini reported that businesses are facing high tax obligations, declining revenues, and disruptions in diesel fuel distribution. She noted that scarcity and high diesel costs are impacting logistics and manufacturing, while limited consumer purchasing power prevents companies from raising prices to offset these rising operational expenses.

## Timeline

### 2026-10-09: South Sulawesi leaders urge DPR RI to support industry and MSMEs

South Sulawesi and Makassar leaders met with DPR RI Commission VII to advocate for industrial incentives, MSME support, and tourism infrastructure to bolster the region's role as an Eastern Indonesian hub.

3 sources. https://clstr.news/cluster/south-sulawesi-leaders-urge-dpr-ri-to-support-industry-and-msmes

### 2026-09-21: DPR RI Commission XI urges productive economic growth in Sulawesi

Indonesian lawmakers are urging Sulawesi regions to shift from government spending and consumer credit toward productive MSME financing and investment to ensure sustainable economic growth.

7 sources. https://clstr.news/cluster/dpr-ri-commission-xi-urges-productive-economic-growth-in-sulawesi

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Cite as: Economic development discussions in Sulawesi. CLSTR, https://clstr.news/situations/economic-development-discussions-in-sulawesi