Impacts of Macroeconomic Policy on The Performance of Fisheries Sector in Indonesia: An Econometrics Approach

Abstract: This research was intended to analyze the impact of macroeconomic policy on the performance of the fisheries sector. The Econometric model was built in terms of simultaneous equations system, which include macroeconomic policy variables. The impact analysis was elaborated into three periods, i.e. the period before the economic crisis (1993-1996), the period of economic crisis (1997-2000), and the forecasting period (2003-2007). The results of the macroeconomic policies of: (1) depreciation in exchange rate of rupiah, (2) the increasing of credit in fisheries sector, (3) the increasing of investment in fisheries sector, (4) the combination of the decreasing of interest rate and the increasing of credit in fisheries sector, and (5) the policy combination 1, 3 and 4 for the forecasting period 2003-2007 could increase the performance of fisheries sector in terms of production, consumption and fisheries export. The depreciation in exchange rate of rupiah, the increasing of credit or investment in fisheries sector (single policy) could increase the performance of fisheries sector. The performance of fisheries sector will be keep increasing by combining policies of: ecreasing of interest rate, increasing of credit in fisheries sector and increasing of investment in fisheries sector at condition depreciations in exchange rate of rupiah.