Human Capital in Indonesian on ASEAN

Abstract

Human resource contribute greatly to Indonesia economic growth. Indonesia has the largest population in ASEAN. Approximately 40 percent of Indonesian human resource are in Southeast Asia. However, Indonesian economic growth is still lagging behind that of Singapore, Malaysia, and Thailand. This study aims to determine the development of human resources in Indonesia against ASEAN. This study aims to determine the increasing of the human capital index through indicators: knowledge, skills, and health. The research method used is descriptive research by analyzing the existence and development of Indonesian human resources towards ASEAN. This study uses data sourced from the World Bank, there are three indicator to measuring Human Capital Index, namely the knowledge, skills, and health. The results of this study indicate that the human capital index of Indonesia are lower than those of Singapore, Vietnam, Malaysia, Thailand, and Phillipines. The development of Indonesian human capital can be done through improving education and the health sector. Indonesia must improve its education and health aspects so that it can catch up with other countries in the world, especially Southeast Asia. Therefore, Indonesia must increase investment in education and health.