Economic Development Strategy in Banten Province: Addressing the Impact of Inflation and Interest Rates on Poverty

Abstract

This study investigates the strategies for addressing the impact of inflation and interest rates on poverty in Banten Province, Indonesia.. The research aims to understand how existing economic policies affect community welfare and to identify effective strategies for mitigating the adverse effects of inflation and interest rates on the poor. Employing a descriptive qualitative approach, data were collected through interviews with key stakeholders from the Banten Development Economy Bureau and the Industry and Trade Office (DISPERINDAG), complemented by official documents and relevant literature. The collected data was analyzed through interactive data analysis stages based on Miles and Huberman's model. The findings underscore the necessity of maintaining macroeconomic stability through prudent monetary policies, stabilizing essential goods prices, supporting Micro, Small, and Medium Enterprises (MSMEs), promoting financial inclusion, providing social safety nets, investing in education, diversifying the economy, improving infrastructure, fostering collaboration among stakeholders, and continuously monitoring progress. This study recommends strengthening social safety nets, promoting MSME growth, improving financial literacy, and investing in education and infrastructure to reduce poverty in Banten Province