Joko Widodo, who was declared the winner of Indonesia’s presidential election yesterday with 53.1% of the vote, faces tough tasks at the helm of South-east Asia’s largest economy.
Indonesia is grappling with a rising fiscal deficit and slower growth after a years-long economic boom fuelled by high commodity prices.
The domestic economy expanded by 5.8% last year - the slowest pace of growth since 2009. About 29mn of Indonesia’s 240mn-strong population live below the poverty line, according to government statistics.
The World Bank predicted that Indonesia’s economy will grow 5.2% in 2014 - lower than the 5.3% forecast in March - adding that structural reforms, the reduction of costly fuel subsidies and better infrastructure were needed to reduce poverty.
“In the absence of policy measures to support investment and productivity growth, the risks of a more structural deterioration in growth will mount,” according to the bank.
During his campaign, Joko promised to provide free healthcare and education nationwide as well as to build much-needed infrastructure.
Joko has captured the imaginations of Indonesians with his folksy lifestyle and hands-on approach to governance.
He was a little-known politician before he was elected Jakarta governor two years ago on promises to tackle the city’s perennial problems, including chronic congestion and flooding.
He has been praised for streamlining the bureaucracy and providing free healthcare for the poor.
Joko needs to reach out to supporters of his election rival, former general Prabowo Subianto, who won 47.1% of the vote in the presidential election.
Prabowo withdrew from the election process yesterday citing “massive and systemic” fraud. He has urged his supporters to remain calm and not to resort to violence but fears of unrest are real. But the election commission has ignored Prabowo’s demands for elections to be held again in thousands of polling stations where he alleges voter fraud took place.
The 62-year-old Prabowo, who was once married to one of former president Suharto’s daughters, is seen as representing the country’s elite old guard.
He styles himself as a strongman leader but has been dogged by allegations of human rights abuses during his time in the military.
Outgoing President Susilo Bambang Yudhoyono has urged the election loser to be gracious.  
But fear is rife that violence could erupt unless Prabowo’s grievances are addressed.
Joko  delivered messages of reconciliation and thanked Prabowo in his victory speech. “This victory is a victory for all Indonesians. Differences and diversity of views are only natural in a democracy,” he said.