In collaboration with Oxford Economics, ARISE+ Indonesia facilitated a training session for Bappenas on updating the Global Economic Model (GEM). This model provides Bappenas with the capability to conduct simulations on different policy scenarios and assess their short, medium and long term impact.
Oxford Economics trainers Thomas Warnock and Tom Rogers delivered the one-day training session on March 6, 2021. The session was a continuation of a training programme initiated in 2020 to learn more about updating the GEM data set.
In the course of last year, the trainers had provided Bappenas with an extensive set of training materials on the model update process, including a PowerPoint slide deck, four training videos, and a range of supporting files.
Through the ARISE+ Indonesia support, the GEM has been extended to incorporate a range of new variables, which include an enhanced monetary policy variable, infrastructure investment, “realised” inbound FDI, variables for high, medium and low value-added exports, disaggregating trade in transport services to air and sea services, disaggregating GVA to 17 sectors, number of tourist arrivals and average spending per tourist arrival, and household spending by province (34 provinces).
“This is an advanced model,” Tom Rogers said.
During the session, the active discussion indicated a good understanding of updating the GEM and a strong interest in using the enhanced model to conduct data analysis and economic policy development.
