Government Maps Infrastructure Projects to Withdraw Investors

 

Government finds another strategy to mend the deficit of budget for 2017 to support infrastructure. In the midst of massive infrastructure programs, government needs more fund to sustain non state budget projects since it's impossible to rely on state budget.

Through the instruction of president jokowi, coordinating minister of economy darmin nasution said to have been preparing for projects mapping of which classifying projects which can draw more the investors.
Darmin said the aim of mapping projects is to divide into government, private and both private and government projects of which investors can partake.
President jokowi urges all the ministry to complete for projects mapping of 2017 .

For 2017, the allocation of budget for infrastructure is Rp 387 trillion or Rp 74 trillion more than 2016. It is used to finance 815 kilo meters of road and birdges of total 9399 meters and railway 550 kilo meters.Meanwhile for sea transportation, budget allocated is to expand facilities of 55 locations all over the country.

Minister Jonan Urges PLN not to Focus on Geothermal instead Focusing on Electicity transmission

The new appointed minister of energy and mineral resources urged PT PLN not to anymore focus on geothermal business, instead jonan said PLN should only concern in transmission of electricity. 

Responding to the convey of minister jonan, the energy watcher yusril usman supported the statement. According to usman, pertamina under the coordination of mineral and energy resources ministry in fact has already sent the scholars to new zealand since 1974 to equip with sufficient knowledge about geothermal. Thus it is supposed to be pertamina who concerns with such business sector and not PT. PLN which focuses on electricity transmission.

Furthermore, usman claimed that pertamina is proficient in handling geothermal business such as in dieng, gunung rajabasa mountain and lahendong. 

Minister of mineral and energy resources ignasius jonan said that PLN should focus more in project of 35000 mega watt of electricity distribution as has been set by government platform. This critics of jonan alluding the desire of PLN to provide more efficient electricity power plan by means of geothermal use. However, this ex transportation minister reasoned out that PLN will not focus if such company also engages in geothermal business.

Indonesia Islamic Bank is claimed the largest world shariah bank

tribune.com

Governor of bank central of indonesia agus martowardojo in shariah economic festival in surabaya claimed that indonesia shariah bank is the largest in the world.Agus in his speech also narrated the progress of sukuk hints the sluggish trend from 2009-2014 yet in 2015 it experienced rebound 39.4% and 29.8% in july 2016.

However BI governor explained that apprehensive slow down trend of shariah banking in the state which is in a line with the sluggish trend of global shariah bank.
In 2015, the growth of shariah reached the lowest point year on year 8.8% compared to the growth of conventional bank which is 9.2% yoy. The market share of shariah bank is also stagnant around 4.8%.

Realization of investment Rp 453.4 trillion in the third quarter 2016

data.go.id

Investment coordinating board(BKPM) recorded the realization of investment Rp 453.4 trillion out of Rp 594.8 trillion of target in 2016. It means total accomplishment of investment reaches 70% from the target. Based on this, the growth of investment is 13.4 % compared to the same period of last year.

BKPM claimed that there are 3 factors bolstering investment which are tax amnesty, government commitment to maintain the budget, and the increasing of local government who provides one stop service.

For the area outside java island, BKPM listed total of investment realization reaches RP 203.2trillion, the amount increases compared to the same period of last year which was Rp 180.7 trillion. 

Deputy head of BKPM Azhar lubis stated it needs intensive approach from local government to speed up the growth of investment beside the cut of regulations considered to hinder the investment. Further zahar said, it should apply the ease of permit as mandated by the president through home affairs ministry.

Realization of of investment based on location in the third quarter 2016 are the following: east java Rp 14 trillion, west java Rp 7.4 trillion, banten Rp 7 trillion, Jakarta Rp 3.8 trillion and south sumatera Rp 3.6 trillion.
While based on business sector, realization of investment in third quarter:
transportation, telecommunication and storage Rp 12 trillion, basic chemical industry Rp 8.1 trillion, food industry Rp 7.4 trillion, estate Rp 5 trillion and crop and plantation Rp 4.7 trillion.

KPPU is investigating alleged cartel of PT XL axiata TBK and PT indosat tbk

techinasia.com

Business competition supervisory commission(KPPU) is to continue investigation of alleged cartel joint venture PT XL axiata tbk and PT indosat tbk. Chairman of KPPU muhammad syarkawi rauf responded over the denial of both operator of telecommunication which claimed to have gained permit from KPPU for consult process of subsidiary establishment pt one indonesia synergy. Rauf claimed KPPU has different focus of investigation with the issue of established subsidiary.
Rauf added that KPPU only intended to investigate cartel pratice within the subsidiary build by both operators.

XL rebuttal

Through the vice president corporate communication of xl turina farouk stated that the company has been always obedient to ward the regulation thus before the establishment of subsididary, the companies have consulted to related insitutions such as investment of coordianting board(BKPM), ministry of telecommunication and information technology, indonesian telecommunications regulatory body and business competition supervisory commission(KPPU). However KPPU pointed out to search for alleged monopoly by the subsidiary of both companies xl and indosat.
In aline with turina, deca rachman from indosat also claimed to have consulted with KPPU before establishing subsidiary pt one indonesia synergy.

Previously, community forum of indonesia telecommunication care reported pt one indonesia synergy to have potential of cartel monopoly practice.

Bank BTPN listed the Loan portofolio for SME Rp 11 trilllion in the third quarter 2016

bursakerja.com

BTPN, the state owned bank noted the loans portofolio Rp 11 trillion for third quarter 2016 since its launch in 2014.

The majority of loans is channeled to small and micro enterprises which mostly engaging in trade sector, said vice president director of BTPN ongky w dana.
FOr 2016 since january to september, new loans distributed reached Rp 2.7 trillion, ongky said in enterpreneur networking forum on wednesday october 26th, 2016.
BTPN has product of BTPN business partner for SME businesses of which the product gives also large knowledge to maximize business such as training and business forum.

However ongky said that big portion credit loans of BTPN is given for pensioners while the rest to SME sectors.
The total loans distributed for 2016 has reached Rp 62.6 trillion of grows 10% more than the previous period of 2015.
While total profit of BTPN reaches RP 1.4 trillion or grows 2% in term of year on year.
This year, BTPN targets to channel Rp 64 trillion for loan portofolio which still focuses on pensioners.

Sri Mulyani, Susi pudjiastuti and the police thwarted lobster smuggling attempt to singapore and vietnam

Sri mulyani, susi pudjiastuti and indonesian police officer thwarted the attempt of lobster smugglong from indonesia to destinated countries singapore and veitnmam. There are around 404385 lobster about to be smuggled which are worth of Rp 33.15 billion.

Maritime and fisheries affair minister, susi pudjiastuti claimed that the success is the cooperation between customs directorate accompanies by the police conducting in some critical points spread over the country. Repression against the syndicate is held in batam, soekarno hatta airport, fish auction and also tanjung priok port.

Susi underlined the lobster smuggling is disadvantageous for the fishermen who threatens to loose the lobster seed after being harvested and smuggled. Susi appreciates the cooperation with the other ministries, agencies and police especially it is the second time to thwart the illegal smuggling.

 

Perhutani Uses Drone for Forest Control and Monitoring

Perhutani makes use of drone technology to control the forestry area. The state owned enterprise has the total area 3.7 million hectares having the problem related to time frame in fores management planning, monitoring and protection that requires extra effort.

In order to support the management of forest resources, perhutani with Pt LEN industry decide to use cooperative control system of drone technology. This is to ensure and strengthen the forest planning, productivity monitoring more efficient and accurate. Denaldy maulana, president director of perhutani stated that even the company capable to monitor the forestry during the night by means of drone. This help much the forest police in charge to support their work. The capability of this drone helps to optimize operational activities because this technology can be used for inventory  a stump, monitor the standing position better in the field.

President director of LEN zacky gamal admitted to support the synergy between both state owned enterprises and claiming the trial of drone has been taken in indramayu. This is the first time to use drone for the sake of forest monitoring, zaky added.
However both directors of both companies have not affirmed the total of drones that will be used. There is still necessary calculation to be made before releasing the sum of drone used for the breakthrough of forest monitor by the companies.

PT RNI targets for 78000 hectare of sugarcane land in 2010

PT RNI( rajawali nusantara indonesia) targets to cultivate 78000 hectares land of sugarcane by 2020. Currently the total land cultivated is still 55000 hectares.
President director of RNI didiek prasetyo said that the target of land to manage is in aline with the declaration of self sufficiency of of sugar about three million tones per year in 2019. Together with other state owned companies PTPN III and perum perhutani RNI intitates the synergy to increase the sugar production of state enterprises.

In further cooperation with other enterprises, RNI will cultivate 20000 hectares land provided by perhutani in indramayu, mahalengka and semarang. The scope of cooperation includes provision of forest land for the cultivation of sugar cane with agroforesty which includes seed management, transportation and increase of production and productivity of sugar cane.

In addition, the cooperation with also comprises of empowerment of forest communities through sugar cane crop, cultivition of expert and working capital likewise cooperation activiteis with cultivation of sugar cane syndication loans.

President director denaldy M maulana explained that in the future with agroforestry perhutani will optimize the combination of forest and food crops including sugarcane, forest plants and animals. with the total of area 2.4 million hectares, perhutani will be more focus on agroforestry  while still keep the rule.

Haste Jokowi's Project for Papua

Jokowi blatantly focuses on the progress of infrastructure projects for papua starting from toll infrastructure, airports, ports and even the equalization of distributed goods for that province. Lately president called for lower and uniform gas prices for papua province of which was claimed to be the first in history. Currently, the price of goods in papua, the eastern farthest part of the country is similar to java island area.

The regional constraction for acceleration of papua projects( GAPENSI) likewise focuses to haste the infrastructure project as to bring the economy growth better in that region. The commitment of gapensi is indeed the further interpretation of jokowi's policy to accomplish the projects in due time in accordance with the standard specified. 

Chairman of gapensi erick wally claimed that almost 80% the members of gapensi being involved in government projects for papua. Erik also praises the initiation of president who prioritize the projects for papua's progress in the midst of national deficit for budget.

Mandiri bank targets the e-money market share up to 70% by the end of the year

Mandiri bank is optimistic to reach the target of e money market share up to 70% by the end of 2016. One of this stat owned enterprise effort is to boost  ht euse of mandiri e-money in terminal electronic parking. 

VIce president of digintal banking and financial inclusion of mandiri nandan sanjaya said the in september total of 8.2 million pieces of e-money card being distrributed with average transaction per months is 29 millin transaction worth of Rp 283 billion. One of location which is pushed to use mandiri e-money is termanil electronic parking of parking and transportation agency of jakarta  province. The support of jakarta government is closely tied to the commitment of the bank to promote the use of e-money for transaction.  The bank expects the support of jakarta government continues thus the target of 70% will be real. 

On that occasion, Perparkiran Implementation Unit of the Jakarta Transportation Agency to introduce as many as 41 TPE to serve curb parking payment (on-street parking) along the path Juanda, Taft roads, and road Pinangsia. Furthermore, the administration will add as many as 160 units, by the end of November this year.

Previously, the Executing Unit Perparkiran Jakarta Transportation Department has operated TPE as many as 11 points in Jalan Sabang, 90 points in Kelapa Gading and in as many as 13 points Falatehan Road location

In addition to increasing the number of cards in circulation and refill merchant service provider, said Nandan, it will also disseminate the utilization of Mandiri e-Money in TPE is to the community through the promotion of the event and media company. It is hoped these efforts would be able to increase the market share of e-money, to 70 percent.

Until September 2016, the product of e-money and e-cash the bank controls 65 percent market share of electronic money industry. As many as 90 percent of electronic money transactions Mandiri done for toll payments whereas some others for transactions KRL and Transjakarta.

Indonesia will be the fourth largest after china, india and USA in 2050

flashnet

In 2050, indonesia will be the 4th largest after china, india and usa in term of gross domestic product(GDP) with the calculation of purchasing power per capita, said hal hill, an economist of crawford school of public policy national university of australia in his visitation in gadja madha university of indonesia.

According to hil, the big countries that are quite advance in progress will not necessarily be the same in the future because the center of economy gravity will  move toto asia pacific. According to his projection, there are 5 big countries namely cina, india, USA , indonesia and brazil of which 3 of them are in asia. 

Indonesia is projected to increase significantly from nine to fourth of the world rank while brazil will leap from seventh to fifth rank in 2050. Indonesia is on its way chasing forward to the progress after in the 1960s it was very poor but capable to alleviate. 

Based on gross domestic product with calculation at purchasing power parity per capita, china in 2014 then 2030 up to 2050 will be the first. Then india will place the second replacing USA. 

Nine sugar factory will be closed in east java province

beritasatu.com

There are around 9 sugar factory to be closed gradually in east java province namely rejosari, kanigoro,purwodadi, toelanganm watoetoelis, meritjan, pandji, olean and wringinanom. 

All those factories ages are averagely above 100 years and planned to be closured in 3 or 4 years to come. 

Director of PTPN XI dolly p pulungan said the closed sugar factory will be used for other alternatives such as fertilizer or maintenance factories. The alteration of function is also a solution for massive rationalization of workers of sugar factories. They can be re employed for conversion factories as mentioned, said dolly. 

Bank BRI booked the net profit Rp 18.6 trillion in the third quarter 2016

indonesia.go.id

Bank BRI booked total of net profit Rp 18.6 trillion in the third quarter of 2016. Such profit is higher 1.8% compared to the same period of last year 2015 of which this state owned enterprise booked Rp 18.5 trillion.

President director of BRI asmawi syam stated, the biggest contribution came from net interest income in a line with growth of credit loan. Total loan released in the third quarter is Rp 603.5 trillion or 16.3% higher than the same period of previous year Rp 519 trillion. Besides, another factor boosted the net profit is the lower cost of fund, he added.

The cost of fund lowers from 4.3% in the third quarter 2015 to 3.9% in third quarter of 2016 which is much causedby the increase of saving and deposit. Meanwhile the third party fund up to september 2016 grew 8.9% heeding to Rp 665.5 trillion,from the end of september 2015 amounting Rp 611.3 trillion. The growth of third party fund exceeds the industry average up to 5.6%.

Bank of Indonesia Anticipates Garlic Impact toward High Inflation

Bank of indonesia considers the domestic garlic's cultivation can supress the inflantion rate. Bank central of indonesia representative in tegal heeds to pilot the garlic planting in some areas.
Public relationship affairs of BI tulus stated that it has been twice the bank of central indonesia harvested garlic with superior seed variety in tuwel village, tegal central java in order to decrease the quota of import thus suppressing the inflation.

The initiation of increasing local garlic production was made by BI through demonstration of garlic pilot area of 3000 square meter. Beyond the expectation, the farmers were able to harvest 14.5 tons per hectare much more than the harvest of previous years which reached only 8-10 tons per hectare. The use of technology developed and tropical horticulture reasearch center/ PKHT IPB contributed to the success of the pilot harvest. BI and central java government plans to sign 8 regions as pilot areas for garlic planting namely tegal, batang, pekalongan, magelang, temanggung, karanganyar, purbalingga, and banjar negara.

House of Representative Approves Rp 4.8 trillion of Rp 14.8 trillion for Ministry of Rural development and transmigration

ANTARA.COM

Commission V of House of Representative Approves Rp 4.8 trillion of Rp 14.8 trillion for Ministry of Rural development and transmigration proposed. Vice chairman of commission V of representative admitted that such budget is quite apprehensive. It is supposedly the budget increased and not otherwise decreased. In accordance with the letter of finance ministry, No S-549/MK.02/2016 the budget allocated for rural and transmigration ministry is 5 trillion for 2017. As it was discussed with commisson V, there is RP 202.8 difference of budget agreed.

The minister of rural and transmigration, eko putro sandjoyo stressed that such minimal budget approved will not lessen the optimism of his ministry to to allveiate the lagging areas. Eko explained to have prepared strategy to work on issue  and cooperating with 17 ministries. He underlines that the major program to focus on is to plan a village focusing on one flagship product.
There around 80 regencies lagging, reducing the undeveloped villages around 5000 and increasing the independent villages around 2000 villages.

The alleviation of lagging villages is in fact the further intrepreation of president's program to allocate at least Rp 1  million for the progress of the village. While it is the responsibility of rural and transmigration ministry to find the strategy optmizing the villages especially by bringing upward the flagship product of handycraft or small and medium enterprise to higher level.

PT sampoerna tbk, cigarette producer reports the net income Rp 31.8 trillion

PT sampoerna tbk, cigarette producer reports the net income Rp 31.8 trillion in the first nine months of 2016. This increases 4.9% from the same period of last year of which the company reached the amount of Rp 30.3 trillion.

PT sampoerna also reported the increasing of its market share to 34.5% in the third quarter of 2016. The president director of sampoerna tbk, paul janelle stated the growth of market shares is bolstered by the performance of full machine rolled cigarette flavor. He claimed to still lead the sales for all segment, 30.1% in machine rolled cigarettes, 38.2% in hand rolled cigarettes, and 79% in white cigarettes.

Paul also explained that though in the midst of difficulty faced, the company is confident to succeed in portofoli brand of mild, dji sam soe and marlboro.
According to paul, the increasing of taxes on cigarettes which is 15% will also influence the performance of company.

Gerindra Considered Jokowi's Worked Has not yet Perceived

Gerindra claimed the work of Jokowi has not yet perceived yet. It will be evident only in 2019 just like ex president susilo bambang's work was similarly evident in his second term, said ahmad riza patria, a gerinda politician.

Riza considered it is much caused by the large projects made that will be fully accomplished in 2018-2019, however this gerindra politician appreciates the work of incumbent president.
Government is clearly concentrated in large projects that require big fund. It is expected that such projects hold multiplier effects, riza added.

This gerindra politician thus conveyed the government to have better coordination in infrastructure massive platform thus it will be useful for the benefit of the people. For instance in building water reservoir, it must be followed by the irrigation and all other thing pertaining to agriculture.

Bank of Indonesia Expands and Increases Digital Financial Service

Central bank of indonesia(BI) published the regulation to maximize the ease of digital financial service. The primary regulation of financial digital service that was released two years ago being strengtehend to expand the use of digital service for finance massively in society. There are two important points which are enlarging the access of finance and also increasing the security of the use for the society.

The regulation released comprises management of expansion of banks organizers of financial digital services, self registration, bulk registration, the experiment for the release of electronic money likewise the maximum limit of electronic money registered.

The increasing of the ease is meant to enlarge the access of society toward financial services and transaction security as well as the program of distribution relief of social programs of government.
BI points out the organizers for financial digital services which are commercial banks based on business acitivity(BOOK ) and regional development bank BOOK 1 and 2. For the information, previously only BOOK IV is allowed as organizer for financial digital service.

BI also set the maximum limit for electronic money registered from Rp 5 to Rp 10 million while for relief aid, bulk registration is allowed and introduction of service users.

Bank ICBC Indonesia gives loans Rp 1.5 billion USD to Antam

energytoday.com

PT aneka tambang tbk(antam) secured a loan worth of $1.5 billion or Rp 19.5 trillion from PT bank icbc indonesia. Director of antam, dimas wikan appreciated the trust of the ICBC bank to support the company in the midst of great challenges encountered by the mining industry. Pt antam its self engages in mining industry and listed as one of top mining company of the state,

The memorandum of agreement between antam and ICBC bank is to support under the projects being developed by antam. The partnership encompasses short and long term loans including for the invesment, acquistion, construction of new plant and development of means of production and facilities distribution.
Currently, pt aneka tambang is developing strategic projects of downstream commodities such as nickel, gold and bauxite. The projects being developed are namely smelter grade alumina refinery project in mempawah, west borneo and anode slime & precious metal refinery.

Cybex Defendant Sees the possibility of peace agreement

clubindustry.com

The cybex trademark dispute between the plaintif, germany company and local company was held by the trial court with the agenda of replication of plaintif toward the defendant answers regarding the lawsuit trademark.

The legal advisor of cybex from indonesia yanto jaya declined his client to imitate germany cybex, however he  claimed to see possibility of peace agreement provided germany cybex appointing his client to be the distributor. Yanto stated that the strollers which are sold by his client basically products imported from china with cheaper prices compared with germany cybex's products. He added

Defendants have obtained similar to the trademark certificate IDM000258089 number of grade 12 and grade 20 IDM000358737 numbers are respectively registered on July 13, 2010 and February 21, 2011.

The court agreed to postpone the the trial to octoboer 24th,2016 with the agenda of the defendant closing argument againts the lawsuit by plaintif.

 Previously

Germany cybex gmbh as plaintiff filed a lowsuit againts indonesian company cybex in central jakarta commercial court.The lawsuit is raised to the defendant owned by samuel hadi wiyoto because cybex is considered to have a similarity of brand with the plaintiff, germany company. 

cybex gmbh claimed that the products that are sold by the defendant cybex are precisely similar which are pram or cot. In further, the name of brand is exactly the same, the letter contained, pronounciation. While this germany company has launched its producst since 2003 and has already the international market meanwhile cybex just obtained the permit of business in 2010.

The plaintiff considered that it's disadvantageous for the company since the defendant manufactures the similar products. Moreover the intention of the defendant to ride along the popularity of products and ruining the quality of cybex germany.

Pertamina Recorded the oil production 74000 barrels per day

Pertamina EP cepu, a subsidiary of pertamina holder of 45%  of shares in block cepu reacording the oil production up to 74000 barrles per day up to the third quarter 2016.
This increases significantly 64% compared to the same period last year around 45000 BOPD.

Director of pertamina cepu adriansyah said the increasing of oil production is bolstered by the banyu urip block which exceeds the target of 165000 barrels per day. It is also supported by the major production facilities and reservoir which perform well.

The government projects the oil production of cepu block next year will reach 200000BOPd to reach the lifting target around 815000 BOPD. With the impressive progress of pertamina cepu, the president director adriansyah expects that this will bring the pertamina into the world class national energy company, the partnership with exxonmobil corp also uplift the entity of the company in international level. Exxonmobil is appointed as the operator in cepu block.

Pertamina cepu's goal will also expand to gas sector. Adriansyah stated that the future development no longer linge on oil but gas production moreover pertamina cepu is trusted as the operator of gas development unitization jambaran tiung  with capacity of 330 milliom cubic feet per day (MMSCFD).

The analyst dirgo opinioned that the target to reach 200 000 BOPD is realistic since the reservoir and facilities are working well in cepu block. It's also supported by the indication of rising price of oil that will continue from the end of 2016 to first quarter of 2017.

Financial service authority Targets Indonesian Insurance Utility 75% by 2020

mre.co.id

Indonesia Financial service authority(FSA) targets the indonesia insurance utility reaching 75% by 2020. Deputy of commissioner of non bank financial industry(IKNB) of FSA edy setiady said that currently insurance utility is still 11% according to the research made by education and consumer protection of FSA. Hence, it is expected to reach 75% in 2020, said edy.

Alluding to the reaseach of 11% insurance utility, it means there are still around 88% of potential market to cover the entire population with insurance use.
In order to reach the goal, edy stated to maximize the micro insurance. The expansion of micro insurance will imitate the banking mechanism of non office service. Furthermore, the expansion of micro insurance products can also be run in tandem with 10 millions program of insurance agents. The growth of agent is expected concurrently with the growth of insurance customers.

PT angkasa pura I Announced the bond worth Rp 3 trillion

PT angkasa pura I, the state owned company in charge of managing the air[prts announced the bond release worth Rp 3 trillion.
The experience of the company in airport management, track record and profile service makes the company to have good rating of bonds, said its chairman sulistyo wimbo hardjito.

Obligation are issued in 3 series namely series A wutg a fuver year tenor, series B with a tenor of seven years and series C with a tenor of 10 years. Angkasa pura I targets the fund collected from first bonds of 2016 can reach Rp 2.5 trillion. previously, the obligation and SUKUS ijarah issued by angkasa pura I got AAA from securiting of indonesia rating(perfindo). PT bahana securities, pt BCA sekuritas, PT danareksa and pt mandiri sekuritas are trusted to be the underwriters.

Furthermore, 75 from the proceeds of public offering bond will be used to develop 5 airports which are yogyakarta airport, ahmad yani semarang airport, syamsudin noor banjarmasin airport, juanda surabaya air port and hasanudin airport. The development of these airports requires investment Rp 26.4 trillion.

Trade Expo Indonesia Astonishingly Gained $974.76 million

The international trade indonesia expo that was closed yesterday, 16 th of october listed the total sales $974.76. Compared to the same event held in 2015, the late current indonesia trade expo increased 7.2% in term of total sales. It's quite satisfying said minister of trade enggartiasto lukita.

The income was gained from product transactions $826.52 million and from service $48.23 million and investment of indonesia to other countries amount $ 100 million. India, malaysia switzerland, egypt and france are listed as the big prospective buyers. Total of visitors in all is 15567 from 125 countries of worldwide.

Furniture Reached $132.4 million, the most favorite in jakarta trade expo

The jakarta trade exhibition in kemayoran jakarta initiated by industry ministry aims to bring the indonesian products for international level. There are various products being offered expecting for foreign investors to tie for partnership the domestic business SMEs base.

Furniture has reached total sale of $132.4 million since the launch of jakarta trade expo.
Most of the customers come from india, rusia, malaysia and taiwan. The furniture is the favourtie because of the quality of products made.

In addition, the buyer is also visible enthusiasm for premium coffee products or specialty coffee and light wood.

Known, the value of the transaction on TEI 2016 through Sunday (16/10) morning reached 974.76 million US dollars, or 12.7 trillion, up 7.2 percent compared to previous year, the figure is 909 million US dollars.

The rise in the value of the transaction is a turning point in the rise of exports of Indonesia, where the last few years decreased.

Kompas.com source

Tax Amnesty Revenue increases Rp 365.92 billion for 2 weeks of 2nd period

The second period of tax amnesty that started since october 1th has increased its revenue Rp 365.95 billion until october 17th, 2016. The surged in fund is derived from ransom by affidavit Rp 332.69 billion and termination of preliminary evidence examination Rp 31.26 billion. As released by official site of general directorate of taxation pajak. go.id, total ransom fund collected starting from first period has been Rp 97.5 trillion out of target Rp 165 trillion. The ransom fund with affidavit is Rp 94.06 trillion and from termination of preliminary evidence examination is Rp 385.35 billion and from tax arrears is Rp 3.06 trillion.

The Rp 97.51 trillion revenue comes from 443804 both taxpayers who submitted affidavit and those who have not. From total of ransom surged in of affidavit amounting Rp 93.7 trillion, Rp 80.1 trillion comes from induvidual tax payers non micro and medium, Rp 10.3 trillion from small and medium enterprise , Rp 3.07 trillion from induvidual taxpayers of SMEs and Rp 199 billion of taxpayers MSEs.

Up to day, according to statistic of general directorate of taxation, total asset of 417488  affidavits is Rp 3,843.10 trillion. Declaration with in the country Rp 2,718 trillion, while declaration from foreign is Rp 982 trillion. And repatriation has reached Rp 143 trillion.
 

Composite Stock Index Price(JCI) is predicted to bounce back due to global market conducive

The composite of stock index price(JCI) is expected to bounce back as investors continued their buying action. The JCI' bounce back is sustained by regional and global market conducive, likewise the release sentiment of third quarter 2016 of listed companies.
First asia capital economist, david sutyanto predicted that JCI will move at 5380 and resistance at 5450 in positive territory. Late last week, stock index had strengthened after two sessions corrected, JCI lasted in 5410 before closed at 5399.88 or rose up 59.48/1.1%.

The strength of JCI is sustained by intern factors such as domestic releasing of profit earnings of companies for the third quarter 2016.
While the negative response is the lifting of china's inflation which rose 1.9% higher than the same period of previous period. For a week, stock index price rose 0.42% and continued from the previous week 0.23%, nonetheless the flow of foreign fund was likely to come out with net sale Rp 751 billion after the previous week was Rp 557.84 billion.

The domestic factors played the role yet much more dominated by external factor such as the rising of FED interest rate by the end of 2016. Besides, the import data of china is downtrending and the increasing of commodity prices such crude oil and coal. Within the week, the oil prices has been rising 1% at $50.5 per barrel and has been increasing for 4 consecutive weeks.

Anti Ahok Movement, Almadia Momentum and Politicization

okterus.com

Yesterday, october 14th, 2016 the metropolitan city was filled by numerous mass of demonstratin anti ahok initiated by mass organization of moslem defendants(FPI) who protested against the allegedly blasphemy against moslem alquran toward governor jakarta, ahok.
The FPI conveyed for the legal process of Ahok by police institution for his considered words of blasphemy in ahok's visitation to pulau seribu island.

The movement of mass of FPI began with the exposure of fragmented video of ahok's speech in the midst of his visitation. Through this edited video by one of symphatizer of governor candidate anis baswedan, ahok was claimed to cite that almadia was a lie.
" you can not to elect me in the governor run in 2017, dear moms and dads may be lied by those who use almadia not to reelect me".
For the information, it is cited in almadia in moslem perspective not to choose non moslem leader, while ahok is protagonist governor, a christian who is loved by netizen due to his phenomenal breakthroughs in the metropolitan city.

The fragmented video as source of agitated anger

After being viral in social media, the allegedly video that was an edit basically by its context to other non published part basically not a snide toward the almadiah itself. In fact, ahok pointed out on certain persons provoking not to reelect him by means of almadiah. If scrutinizing to the entire full video, basically it was not a blasphemy, said young islamic figure nusron wahid.

Nevertheless, there is  along debate of this video raised by pro ahok and cons. The pro defended that the governor never intended to blaspheme. Nusron wahid for instance, questioning the attitude of ahok haters who did not considering blasphemy by police in chief who citing not to follow the articles of jihad to legalize the terrorist. Nusron said why the haters of ahok did not blame for blasphemy to police who also citing alquran article whereas in term of ahok, it is becoming upheaval issue.

Politicization and almadiah

It was quite astonishing that one of governor candidate for 2017 election wrote a comment in his facebook account stating:
" The serenity of jakarta netizen is being disturbed by governor ahok who citing and sniding the almadia".

It is  a right momentum of course for anis to win the heart of jakarta moslem voters for his step in 2017 election. Anis came straight into a muddy water to spark envy of public againts ahok using the polemy of almadia article by governor ahok.

Nevertheless, some loyalist considered this as a childish act of anis. They are disappointed by shallow mindset of him who seemingly approving the intention of video without entire scrutiny of anis toward entire video that is indeed not to insult the almadiah or alquran.

A big question mark for baswedan who was previously cherised as knowledgeable figure yet easily agitated to attack ahok by means of right momentum of racist issue. Some of comment against this ex education minister citing that anis should consider to defend the country from separation and not to have a shallow mindset. How can be anis a prototype of educational figure of the country?

However, anis as a candidate governor might be in desparation and forcing to use the issue to denigrate electability of the incumbent governor ahok. Afterall, there is no significant issue to tackle this governor thus the almadia polemy is ultimate political commodity by person like anis to increase his electability.

FPI and long story of anti ahok

FPI is definitely the consistent mass organization anti ahok. They have made series of mass movement to topple down the governor from the throne despite the success of ahok to crackdown the issue of flood, cleanliness of jakarta, corruption and many others. FPI recognized no achievement of ahok except the anger since he is a christian.
Even the first time, ahok was inaugurated as governor, FPI also appointed their own governor to legitimate their rejection toward ahok yet up to now, there is no news about that alternative governor of FPI.

FPI forced the police to send ahok into jail for his allegedly blasphemy. Even the leader of FPI habib rizieq conveyed to kill the governor if the police will not take an action against ahok.

Nonetheless, not all the muslim have the similar perception. After all, this country uphold multiculture, races, religion and languages.

There is also a call from gadja mada university professor urging jokowi to terminate an discrimination act. Surely, we do not desire to have this country similar to chaos of middle east. This is Indonesia, our country to gether not only for certain people or belief.

 

Indonesian USA waste wood watches reaches USA market

The waste wood watches is the creation of suswanto from gilang sari, village pereng indonesia. The creative product of this man changing the waste wood into elegant watches making the product to have a high economic value.

The workshop of wuswanto is located in the top of small hill 50 meters in height. In this workshop which is also his house, suswanto collects the mahogany and teak furniture manufacturer of the waster from various region and processing them into watches and chains using mowers, drill, lathes, to the tool oven. Being arranged in a precise, tiny blinds branded wewood, it is equally flexible with iron chain watches.
It has been three years since 2011, suwanto has produced clocks and watchers for american buyers. Suwanto gained in that time RP 80 million per  month. However, suwanto terminted the contract with the counterparty since the released the unilater regulation forbidding him to produce watches for other users. He was also obliged to report the other who produce the similar wooden made watches.

Since the termination of the contract, suwanto only has 6 workers then and producing 100 units per month to be supploied in bandung. Total omzet of suwanto is Rp 20 million per month.

PT Pos Indonesia Desires to be ASEAN partner of logistic

PT posindo is interested to be the partner of official logistic of asian games 2018 in palembang indonesia. Regional Chairman of pt pos indonesia babel iwan gunawan  said to have submitted proposal regarding the interest to sumatra selatan provincial government. PT pos indonesia if being approved, will provide the logistic of goods to entire participated countries in Asian games.

Governor of sumatra selatan, alex noerdin stated to support the breakthrough of pt pos indonesia. The governor proposed for pt pos indonesia to open outlet in jakabaring which is the main location for asian games 2018.
Menawhile, pt posindo also claim to have prepared everything to ensure the plan of logistic distribution.

Aside from that, babel claimed to also initiate the opening of online system for sumatra selatan for motorcyle payment. He stated to provide 24 hours service and the online system to boost the project.

Government will Directly Approach Large Taxpayers who Stash Money in Switzerland

Through general directorate of taxation, government seeks to directly talk to large taxpayers who stash moeny in switzerland. According to report of tax authority, it's really hard to repatriate fund from switzerland though the ruling on tax amnesty program already started its second period since october 1th, 2016.

Yustinus prastowo, from tax analyst center even claimed that there is taxpayer who tries to repatriate Rp 150 trillion from switzerland yet incapable due to policy of financial action task force(FATF) who still consider the money stashed as illegal allegedly money laundry.

Since the first period of tax amnesty to the current ruling on second period, total of repatriated fund from foreign money surged in is only 13% from total of indonesian money abroad or around Rp 137 trillion. There is not repatriation however from switzerland.

Switzerland is recognized as the country which has no commitment for the openess of information of financing. Due to this, all surged in or money out from that land of milk country is suspicion as money laundry by FATF.

Government through finance minister has made approach to FATF to ensure the accountability of indonesian money in switzerland. There are big amount of money in that land of milk country since the era of soeharto of which it is the favorite destination of indonesian wealthy to conceal their money.

Senegal is to Purchase Indonesian made Aircraft

wikipedia

Chairman of the chamber of commerce and industry of senegal sergine mboup came to indonesia for the talk of possibility of his country to purchase indonesian made aircraft. It was postulated after his meeting with rosan roeslani, chairman of chamber of commerce and industry of indonesia in TEI 2016, jiexpo kemayoran jakarta.

Read also

N219 aircraft made by PT. Dirgantara Indonesia will be Sold $6 Million

This is not the first time for both countries to talk about trade partnership. A head of it, pt wings indonesia has regularly exported soap so klin for 15 years. The visitation of sergine mboup for further talk of various business opportunity for both countries such as palm oil and particularly the purchase of aircraft from pt dirgantara indonesia.

The meeting that was held in jiexpo kemayoran presented by indonesian ambassador to senegal, mansyur pangeran, mintardjo halim, jamtomo rahardjo, andradjati. Chairman of indonesian chamber of commerce and industry said that the opportunity to strengthen and explore various fields partnerships such is supported by the fact of muslim as majority religion of both. Rosan proposed for the exhibition of indonesian products in senegal  especially the featured products.

Meanwhile ambassador mansyur claimed that senegal is one of the most secured country in west africa region. there are also other countries such as nali, cabo verde, gambia, siera lione and pantai gading which has potential market 60 million inhabitant. Thus indonesia is expected to alleviate and use opportunity to increase trade in west africa region.

Whereas, chairman of chamber of commerce and industry of senegal in his visitation expressed interest in aircraf N219 for short haul air transportation in senegal.Manager of products and service of pt dirgantara explained the brief profile of N219 such as capable to take off on the runway of 500 meters as well as competitive prices $6 million for each unit.

AISI is Optimistic to target 6 million in the midst of sluggish demand

autoevolution.com

Indonesian motorcycle industry association(AISI) is still optimistic to reach 6 million units sales by the end of the year though they admit the downtrend of demand lays as the topmost challenge.

Commercial Chairman of AISI sigit kumala said that the total sale of september 2016 was 570,000 units whereas september last year 2015 was 603,102 units. There is the decreasing in term of numbers however it's increasing around 7% compared to month of august 2016 which was 527,536 units. Nevertheless, AISI is still optimistic to reach target 6 million units or closing to the point in the midst of sluggish motorcycle market. Total of sales up to month of september has been 4.38 million units, there are three months more to pursue the target.

Chairman of AISI months ago declared that condition of economic of indonesia becomes the main reason. The growth of economy target to 5% also signifies the performance of market trend for motorcylce. The down trend sales nationally continues around 17.6% in 2015. It is different in 2015 of which total of sales year on year was 7.9 million units.

According to chairman of AISI gunadi sindhuwinata, the good news comes from export.  From 2014 to 2016, the export markets continues to grow around 500%. This is due to the increasing of smaller class motor under 250CC as the trend for developing countries.

Credit growth of August is 6.83% lower than july 7.74%

The meetin of board commissioner of financial service authority(FSA) stated the non effective function of intermediation of financial institution reflected through sluggish credit growth.
It is listed that for period of august 2016, credit growth fell to 6.83% level from level 7.74%.

The reason highlighted as the main cause by FSA is the contraction of foreign exchange credit around 11.76 yoy. On the other hand, rupiah credit grows well at 10.70% level likewise the financial receivables for auguts which grows 0.87% yoy from 0.36% in july of which the consumer financing particulalry trade, restaurant and hotel as the main factors. Nevertheless, risk of credit is still high.

Ratio of non performing loan(NPL) is listed 3.22 % increasing from position of 3.18% in july while ratio of problematic financing is relatively stabil at 2.22% level.
Resilience of financial institutions in the domestic capital is generally to be at sufficient level to anticipate the potential risks. FSA recorded a capital adequacy ration (CAR) of banks in august reached 23.26%.
FSA continuous to monitor on capital resilience of banks and looks to anticipate the increasing of risks especially potential credit risks.

CEO Of Bukalapak Called to Review Taxes for E-commerce

marketingland.com

CEO of bukalapak.com fajrin rasyid asked the government to review the plan of taxation for e-commerce sector particularly toward those who do not rely much on revenue from advertising goods on internet.
Fajrin reasoned out that e-commerce business has different kinds of models. It is not just thus to apply taxes similar for all kinds.Further he asked government to concern on small enterprise which grow flourishing in e-commerce field.

As the government aims to enlarge the tax basis, they also hunt for the subjects who gain much profit from internet business based on the legality of government regulation no 46 2013 on income tax. Government has pursuit over top companies such as google, facebook and celebrgram in social media who display advertisements.

The general directorate also released the circular issued no. se-62/pj/2013 on the affirmation of taxation provision on e-commerce. There are four types of models liable to taxatio such as marketplace, classified ads, daily deal and on line retailers. Market places are the sites which provide services for merchants to sell merchandise and goods such as bukalapak, blibil, tokopedia etc. Classified ads are the site to displa content advertising, daily deasl sites are businesses activities or the sales using vouchers for payment.

The chairman of general directorate of taxation ken dwijugiastiadi confirmed that what ever kind of business even the onlines which gain incomes are liable to taxation provision, not excluding celebgram who endorse products through their account and gain significant income.

Mandiri Bank disbursed loans to marine and fisheries sectors Rp 1.33 trillion

The stated owned enterprise mandiri bank is committed to support the fish and marine sector's growth. From january to august 2016, mandiri bank has given loans through reachable, synergy, guideline progam initiated by FSA. Total of outstanding portofolio reached RP 2.47 trillion starting since above program began.

The mandiri bank endeavors to partake actively in developing the fisheries domestic sector thus supporting the independence of national economy, said corporate secretary of the bank rohan hafas.

Last year, the total loans for this sector reached  Rp 1.14 trillion. The effort of mandiri bank to strengthen the program is particularly through the loan focus for sub sector processing that can provided added value to fishery commodity.

Further, rohan said fishery capture sub sector, the bank will prioritize the funding with target of fishermen. 

Sector of Mining Dominates the Credit Stagnation of Banks

The chairman of the board of commissioner of financial services authority(FSA) muliaman hadad elaborated that mining sector continues to dominated the ratio of non performing loans(NPL)of the banks. Currently the gross of NPL still in the range of 3.2% and 1.4% net. 

Muliaman also alluded the low growth of credit in this years in the range of 6-7% up to august 2016 while the growth of Rupiah credit tends to be more encouraging than the foreign exchange(forex). Chairman of commissioner of FDA stated this is expected to reflect the promising growth of our domestic economy.

Read also  Micro credit contributes the main problem of credit due to Imprudence of loans by banks

Though NPL tends to rise continuously, the most important point is how the banks ready to topple the case and its risks. Banks are also preparing for impairment losses to absorb the non performing loans. As for agusust, the capital adequacy of banks is still sufficient.

nt which reaches 23%.

In fact the worrying on the credit sluggish growth is still capable to anticipate. This is on account of capital adequacy set up by banks that are sufficient to correct the NPL. Indeed, the issue of economy growth becomes the main principle to influence the credit growth such as central program of tax amnesty and its contribution to boost the economy and also the global issue such as sluggish world economy trend and how the country face for it. 

For instance, the impact of exports due to slow demand from targeted markets such as china, europe, asia and USA. There is a must to adjust the strategy thus not to stultify the export sector such  as the efficiency program of export.