Synergy between Statistics Indonesia (BPS) and Ministry of Public Works: Strengthening the Validity of Incremental Capital Output Ratio (ICOR) Measurement

Statistics Indonesia (BPS) and the Ministry of Public Works (Kementerian PU) have officially signed a Memorandum of Understanding (MoU) on the Provision, Utilization, and Development of Data and Statistical Information in the Field of Public Works at the Ministry of Public Works Hall on August 19. This signing marks the first step in assessing the efficiency of national infrastructure investment, while also strengthening cross-institutional collaboration to support Indonesia’s economic and infrastructure development.

This collaboration aims not only to reduce the Incremental Capital Output Ratio (ICOR) in the public works sector to below six percent, but also to achieve broader objectives—such as eradicating poverty in Indonesia and fostering optimal economic growth in the coming years.

The presence of Statistics Indonesia in this collaboration is considered important. The Ministry of Public Works emphasized the need for reliable and credible data in validating the ICOR that has been developed thus far. “Only BPS has the qualifications and capabilities to measure the ICOR achievements of the Ministry of Public Works’ projects,” Minister of Public Works, Dody Hanggodo stated.

On this occasion, Chief Statistician of Statistics Indonesia (BPS), Amalia Adininggar Widyasanti stated that the collaboration with the Ministry of Public Works represents a form of strategic collaboration between agencies. One of the main focuses of this MoU is strengthening data exchange between BPS and the Ministry of Public Works, enabling more comprehensive and accurate analyses to support national infrastructure development.

“BPS is committed to continuously providing high-quality statistical data and working with the Ministry of Public Works and all development stakeholders to further enhance the calculation and in-depth analysis of ICOR,” Amalia emphasized.

With this collaboration, it is expected that the synergy between Statistics Indonesia and the Ministry of Public Works will further strengthen the national data foundation and support the formulation of more effective, efficient, and sustainable development policies.