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Since the early 1970s up to recently Indonesia has shown a remarkable economic development process. As a result, in 1993 the country moved into the lower middle‐income group of countries (as classified by the World Bank). During the 1980s the country's economy had about 6 percent per annum average growth in gross domestic product (GDP) and it increased to about 7 percent a year in 1994 and 1995. In 1994 the country's per capita gross national product (GNP) reached an estimated US$884. It is expected that if Indonesia can sustain its present economic growth of 7 percent per year the country's per capita income would rise to over US$1,000 before the end of this century.

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