Jakarta. President Prabowo Subianto appointed Luhut Binsar Pandjaitan as the Chairman of the National Economic Council (DEN) on Oct. 21, 2024.

"In the name of God, I swear that I will be faithful to the 1945 Constitution and will carry out all laws and regulations to the best of my ability for the service of the nation and state, and I will uphold the ethics of my position, working to the best of my ability with a full sense of responsibility," Luhut said as he repeated the oath of office read by President Prabowo.

So, what are the tasks and functions of the DEN? It is responsible for providing advice and input to the government in formulating national economic policies. This role is quite strategic as it helps the government define the direction of future economic policies.

Moreover, this institution is strategic because it will assist the government in addressing macroeconomic issues, as well as in promoting economic growth and development.

Recommending Economic Policies
The DEN is an institution that will provide economic policy recommendations to the government. This may include analyzing the national economic conditions, global trends and their impacts on existing policies, and providing guidance that can assist in strategic decision-making.

Formulating Economic Policies
In addition to providing recommendations, the DEN also functions to formulate economic policies across a wide scope, including fiscal policy, monetary policy, and real sector policies. Therefore, it’s not surprising if Luhut will manage issues ranging from debt management to national infrastructure.

Evaluating Economic Policies
The DEN also serves as an agency that monitors economic policies by evaluating those that have already been implemented. This includes the authority to analyze economic growth, inflation, unemployment, budget deficits, and the impacts of economic policies on the welfare of the people.

Interacting with the Ministry of Economy
As suggested by its name, the scope of work for the DEN will intersect with ministries related to the economy. The central bank (Bank Indonesia), the Financial Services Authority (OJK), the Ministry of Finance, and the National Development Planning Agency (Bappenas) will align with the DEN’s scope.

Providing Solutions to Specific Economic Problems
Given its strategic nature, the DEN may also be asked to find solutions to specific economic issues, such as imbalances between supply and demand in certain sectors, bureaucratic reforms to support economic growth, or strategies to attract foreign investment.