8th Seminar Series on KDI School Blended Learning – “Infrastructure Policy for Economic Development”


Jeong-Ho Kim, Professor, KDI School of Public Policy and Management


Telisa Aulia Falianty, Macroeconomics Specialist Ec-Think Indonesia Lecturer, The University of Indonesia


Haiyoung Yun, Assistant Dean, Capacity Building Center, KDI School of Public Policy and Management

The 8th series is applied via video conference at Jakarta Distance Learning Center, Universitas Indonesia on September 19, 2014 from 14:00-15:30. This course discussed about Infrastructure Policy for  Economic Development in Korea and it will be an opportunity for participants to stimulate critical thinking about development experience and to reflect on their respective economies as well. The participants who attended this course are experienced managers, general development practitioners and stakeholders who are currently involved in the development area.

Infrastructure services are central to production, consumption, distribution and leisure activities and thus, critical to economic development and human welfare. According to the World Bank Report, published in 1999, developing countries invested over $200 billion a year in new infrastructure, almost 4% of their national output. And yet over 1 billion people are lacking clean water and nearly 2 billion suffer from inadequate sanitation. Electric power has yet to reach 2 billion people. The situation gets worse in those countries as most of them still experience high rate of population growth and urbanization.

Peserta KDI School Blended Learning from Indonesia

Korea has relatively succeeded in fine-tuning infrastructure development schemes with economic development policies. Clearly infrastructure development helped Korea achieve “compressed economic growth” over the last half century. Also the timely investment in the telecommunication, internet and IT infrastructure in the mid-90s really helped the country thrive in an age of information technology.

The lecture is intended to briefly describe how infrastructure facilities and their timely services have contributed to economic efficiency and compressed growth. Equally emphasized has various issues and problems related to prioritizing infrastructure facilities, methods of development and financing, user charges and pricing, and facility management in particular. The discussion along these themes very helpful to the students of developing economies in understanding the close relationship between economic growth and infrastructure
facilities and also in carefully designing infrastructure development programs.

Once the discussion is complete, the program continued with a discussion by Telisa Aulia Falianty, Macroeconomics Specialist Ec-Think Indonesia Lecturer, The University of Indonesia. Here is the brief summary of this course :

Keys to successful infrastructure delivery

  • Economic Development Drive
    Identify new infrastructure needs to support economic development as evidenced by the Korea’s Five-year Economic Development Plan; Priorities were set according to the economic goals , objectives and strategies
  • Government/Political Leadership
    Top leaders and senior policy makers were intimately involved and guided how the strategies were implemented and the resources allocated
  • Bold Investment such as Seoul-Busan Highway
    The Seoul-Busan Highway served as the cornerstone of Korea’s industrial corridor and has been a key contributor of the economic growth ever since
  • The planning agencies served as the focal points
    For inter-ministerial and inter-agency coordination and cooperation in developing and executing infrastructure policies and financing projects
  • A Variety of Funding Sources
    – Taxation, government bonds
    – Special Account for Transport
    – Private Investment through PPI

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