Focus

Focus (157)

05
December

Minister of Environment and Forestry Siti Nurbaya Bakar stated Indonesia’s commitment in handling solid waste at sea by 70 percent by 2025. The commitment was conveyed by Minister Siti Nurbaya before 26 ambassadors, including 10 ambassadors of ASEAN member countries and 16 ambassadors of ASEAN Partner countries, who participated in the ASEAN Coastal Clean Up 2019 event at the Mangrove Natural Park, Angke Kapuk, Jakarta, last Saturday.

Minister Siti Nurbaya said that Indonesia realized the challenges ahead would be even greater. Only through cooperation and collaboration these important problems can be overcome. Siti Nurbaya asserted that the Indonesian government has taken strategic steps in handling solid waste at sea, especially plastic, and has implemented the UN Agenda in 2030 for sustainable development.

These commitments include reducing solid waste at sea by 70 percent by 2025. He said, in the initial steps of this commitment, President Joko Widodo had issued a Presidential Decree on the National Policy and Waste Management Strategy in 2017. President Joko Widodo had also issued a Presidential Decree Number 83 year 2018 which discusses the strategic action plan to deal with marine waste from 2018 to 2025.

Siti Nurbaya also said, Indonesia had prepared a National Action Plan to reduce plastic waste through various activities in collaboration with all stakeholders, including local governments, businesses, communities, who had taken the initiative and innovation in combating this issue.Besides strengthening at home through the collaboration of all parties, Indonesian Government also actively involved in overcoming sea pollution within the framework of international cooperation.

To ensure all of these commitments, Indonesia has established a Regional Capacity Center for Clean Seas (RC3S) in Bali. This center will strengthen capacity building in the field of marine environmental protection from land-based activities.

Meanwhile ASEAN Secretary General, Dato Lim Jock Hoi, who was also present at the ASEAN Coastal Clean Up 2019 appreciated the Indonesian Government in terms of waste management and also appreciated the seriousness of the Ministry of Environment and Forestry in involving young people and the community to care for the environment.

02
December

Global economic conditions are projected to be unstable next year. However, the Indonesian government is committed to resisting the threat of declining economic growth as has happened in several countries. As reported by Antara, President Joko Widodo at Bank Indonesia Annual meeting in Jakarta on Thursday (11/29) said that Indonesia must be grateful because the economy could still grow above five percent.


President Joko Widodo also stated that for the G20 member countries, Indonesia's economic growth is only surpassed by China and India. Indonesia is in the third position, one level above the United States. President Joko Widodo is optimistic that next year, Indonesia's economy will be able to resist. On this occasion, he praised the coordination between three economic forces: Minister of Finance, Governor of Bank Indonesia, and Chair of the Financial Services Authority (OJK). According to him, without good communication, macroeconomic policies would not support each other.


President Joko Widodo further asserted that the government would focus on private sector growth. Because the role of the State Budget (APBN) in economic growth only reaches around 14 to 17 percent. He ordered that projects across Indonesia have to be carried out first by the private sector.


An optimistic view was also expressed by  Governor of Bank Indonesia, Perry Warjiyo who emphasized that the prospects for the Indonesian economy in 2020 are maintained with growth momentum to continue According to him, Indonesia has prepared a number of strategies to deal with the global economic crisis that will still occur in 2020. Indonesia's economic growth in 2020 is expected to increase from 2019 in the range of 5.1 to 5.5 percent.


This optimism arises because the 2020 inflation is projected to remain under control according to the target of 3.0 percent plus minus one percent. In addition, the current account deficit in 2020 is in the range of 2.5 to 3 percent of Gross Domestic Product (GDP). The capital and financial transaction surplus is projected to remain large to support external stability.

The Rupiah exchange rate in 2020 is also expected to move stable. The growth of banking third party funds in 2020 is predicted to reach 8 to 10 percent. Governor Perry also pointed out that the driving force of 2020 growth remains in consumption and investment. Bank Indonesia is also committed to continuing to issue accommodative monetary policies.

27
November

The pace of technology development had changed human life dramatically. That was stated by Indonesian President Joko Widodo in ASEAN-Republic of Korea CEO Summit at Busan Exhibition and Convention Center (BEXCO) on Monday (Nov25). President Joko Widodo said, the world changes rapidly and it is called the age of disruption. Big data, artificial intelligence, 4.0 technology had torn down all definition, measurement, and theories that have been used as reference until nowadays.

The Indonesian president further explained that the age of disruption brings a great opportunity, but along with unimaginable challenges. They are increasing tendency of economic nationalism and populism in some countries for several recent years. Even now, anti free market movement has emerged and protectionism approach dominates further.

President Joko Widodo stated that collaboration and win-win paradigm that in some decades had been basis for global economic cooperation is gradually replaced by transactional and zero-sum-game approaches. If nothing is done against them, global economic recession resulting from dysfunctional economic system and global finance as well as distrust towards global economic institution that had happened in 1930s, could repeat. The loss will be experienced by developed countries, emerging economies, developing countries, as well as business world. Therefore, President Jokowi affirmed that it is common responsibility to reject the global economic recess.

Apart from age of disruption, during the forum President Joko Widodo also spoke about renewable energy. According to the President, ASEAN and South Korea must be the foremost in renewable energy development in the region. He explained, Indonesian government had issued the obligation to mix biodiesel fuel from palm oil with solar amounting to 20 percent, which is called B20.

Next year, Indonesia will increase it into 30 percent or B30. Currently, Indonesia is developing water-based power plant. This is part of commitment made by Indonesian government towards Paris Agreement, namely utilizing low-emission energy. 

21
November

Directorate General of Law Enforcement, Ministry of Environment and Forestry held Simpatik Operation for ecosystem restoration of Mount Tilu Bandung regency and Papandayan Garut Regency on Monday, November 18, 2019. The operation was held by Directorate General of Law Enforcement in cooperation with Conservation Center and Natural Resources of West Java, Perhutani Forest Prevention and Security of South Bandung, TNI, the Police and the local apparatuses.

Head of sub directorate of Forest prevention and security of Java and Bali region Taqiuddin said that the join team try to implement preservation of forest area of Citarum that has turned the land function into vegetable plantation.

During the time there are various agricultural activities at the natural conservation area, such as planting vegetables. So, the area which was previously as conservation forest now experincing degradation. The illegal activity has impacted to the change of ecosystem and degradation of forest function. During the dry season there happened lack of water and drought, while in rainy season flood and landslide threaten people’s life. Moreover, biodicersity in the area also threaten to extinct. Taqiuddin also stated that natural conservation and Mount Papandayan Natural Park and Mount Tilu Natural park are so far been certain fauna and flora habitates.

Taqiuddin added, by conducting preservation action for the two coservation parks, the areas experiencing regreening naturally. Then the forest will give contribution for water management and flood prevention. During the time, the joint team has successfully saved 7,000 hectares land. Of the total land it has been used as plantation area about 300 hectares at the natural conservation and natural tourism park.

25
November

President Joko Widodo has decided to return all investment licensing authority from the ministry to the Investment Coordinating Board -BKPM. Cabinet Secretary, Pramono Anung said that as a follow up, all ministers are asked to revoke 40 ministerial regulations considered to hamper investment and ease of doing business at least late December 2019.

After attending a limited meeting about the acceleration of ease of doing business at the Presidential Office in Jakarta, last Thursday (11/21), Pramono Anung said that his side has made an official letter to BKPM in accordance with President Joko Widodo's direction that once again the licensing authority becomes the full responsibility of BKPM. According to Pramono, the decision is aimed at improving the ease of investing or doing business in Indonesia.

In a World Bank report released last October, the rank of the ease of doing business (EEDB) in Indonesia was 73, down from 72 in 2018. The government targets Indonesia to be 50th rank in the ease of doing business in 2021, then 40th rank in the following years. Thus, President Joko Widodo assesses that there is a need for licensing reform. Pramono explained that licensing is made at the one door of BKPM because in such a world condition, Indonesia could not possibly move forward if obstacles in the government still exist.

Meanwhile, Head of BKPM, Bahlil Lahadalia emphasized that his side has begun to change the paradigm. So far in obtaining permit, the investors have been through some ministries by the assistance of BKPM. This case is considered difficult. Through President Joko Widodo's instructions, investors can invest their capital in Indonesia and they no longer need to go back and forth to the ministries to arrange a permit so that they can choose any regions across Indonesia to invest.

As new Head of BKPM, Bahlil added that there was an unexecuted  investment worth Rp 708 trillion. After a month in office or until last week, there has been an investment worth Rp 89 trillion which has been executed. Bahlil also pointed out that the government would form a one-stop system in managing ship permits.

13
November

The city government of Denpasar is currently focusing on lifting again the old potential which contains cultural values through "Heritage Tourism". That was stated by Denpasar Mayor, Ida Bagus Rai Dharmawijaya Mantra when becoming a speaker on" the 38th Executive Committee and International Seminar on Heritage and Sustainable Tourism" in the frame of "City Net Forum" in Nepal. 

Mayor Rai Mantra in a press release which was received by Antara News Agency in Denpasar, Monday (12/11), said that development of tourism sector currently has complex challenges, therefore it needs innovation to keep the stability of tourism sector. The existence of tourism sector can give sustainable and mobile benefitas the development of civilization. According to Rai Mantra, challenges of sustainable tourism development arean ability to create new tourism.

Mantra explained that the city government of Denpasar is currently focusing to arrange andprepare various supporting infrastructure to support the sustainable tourism sector, especially the development of cultural heritage tourism which is this time focused on development of Z Heritage zone which includes Jalan Gajah Mada, Jalan Sulawesi, Badung market and surrounding area in Denpasar.

Various efforts are optimizing to support development of sustainable cultural heritage tourism, beginning from the arrangement of cultural tourism area by putting forward program of preservation, collaboration, creativity, entertainment, conservation, education and "playground". 

In front of hundreds of participants of the seminar, mayor Rai Mantra exp[lained about the development of tourism sector which should be guided on input such as creativity, process, output that can be seen from visits, and also "outcome" asthe immediate benefits derived from an activity.

According to the Mayor, the important thingform cultural heritage is preservation, because its authenticityis the high value, so it needs maintenance by putting forward restoration system for every building and object of cultural preservation

He said after preservation, then entertainment, event, and brand which is able to give image and attraction for people, so that it becomes life style and trend that becomes a valued destination and keep moving in a sustainable manner

The success of Denpasar in protecting cultural heritage and sustainable tourism development is recognized by City Net Forum. Therefore, Denpasar is chosen as the host of the next City Net Forum Conference entitled Climate Leadership Conference on November 18 - 19.

 

04
November

The government continues to encourage increased domestic demand for palm oil through mandatory biofuels. This year, the use of biofuel is targeted to reach 20 percent (B20), and next year, it will be increased to 30 percent (B30). Vice President, Ma'ruf Amin in his opening remarks at the 15th International Palm Oil Conference (IPOC) and 2020 Price Outlook International Palm Oil Conference in Nusa Dua, Bali, Thursday (31/10) said that this year, uptake of palm oil for the program B20 is estimated to reach 6.4 million tons. Next year, it will be upgraded to B30 with an additional 3 million tons. Thus, palm oil as a biodiesel material can reduce imports of fuels. Eventually, Indonesia's trade balance is free from deficit.

Regarding the strengthening of the national palm oil export market, VP Ma'ruf Amin said that he has met Malaysian government to discuss efforts in a bid to increase the export market, especially to Europe. But he emphasized that the government continues to encourage domestic consumption of palm oil.

VP Ma'ruf Amin admitted that right now, there is indeed a decline in the price of palm oil in the world.  Indonesia is one of the countries producing large palm oil with good quality. Therefore, this market downturn must be dealt with by all existing stakeholders. He also asked the Ministry of Agriculture to accelerate the realization of the people's oil palm rejuvenation program to encourage increased productivity. The accelerated rejuvenation is expected to increase the competitiveness of Indonesian palm oil.

VP Ma'aruf Amin further stated that the national palm oil industry has contributed around Rp217 trillion to the country's foreign exchange. This becomes a foothold industry for many Indonesians. The existence of oil palm plantations in remote areas of Indonesia has significantly encouraged national development in remote and marginalized areas.

The 15th International Palm Oil Conference  themed “Palm Oil Industry: Managing Market, Enhancing Competitiveness”  was attended by more than 1000 participants from 18 countries. The conference, which was held by the Indonesian Palm Oil Association, is a gathering forum for businesspeople in the palm oil industry chain throughout the world.

Chairperson of the Indonesian Palm Oil Association, Joko Supriyono said that the government of Indonesia needs to develop sustainable national policies in the palm oil sector. The policy is to expand the absorption of foreign markets, especially developing countries. Moreover, currently, 70 percent of national palm oil production is aimed at the export market. In addition, the rejuvenation of people’s  palm oil is a priority, because it is related to efforts of increasing production.

30
October

Indonesian government will allocate Rp10.1 trillion for five priority destinations in 2020. They are Toba Lake, Borobudur, Lombok, Labuan Bajo, and Manado Bitung-Likupang. The budget consists of 7.6 trillion rupiahs from Public Works and People Housing Ministry, and 2.5 trillion rupiahs from Transportation Ministry. That was announced by Public Works and People Housing Minister Basuki Hadimuljono in written statement, on Sunday October 27 2019.

Last week, some ministers of Indonesia Onwards Cabinet had a meeting in Jakarta, discussing plan on country’s tourism development. They were Public Works and People Housing Minister Basuki Hadimuljono, Transport Minister Budi Karya SUmadi, State-owned Enterprises Minister Erick Thohir, Tourism and Creative Economy Minister Wishnutama Kusubandio, and Investment Coordinating Board Head Bahlil Lahadalia.

Through meeting with some tourism-related ministers, Minister Basuki hoped that other ministers understand about the ongoing and finished development programs. Basuki Hadimuljono added, infrastructure of the five destinations did not begin from zero. The government had built supporting facility and infrastructure. Besides that, Ministry of Public Works and People Housing had allocated 1.6 trillion rupiahs for this year.

On the other hand, Tourism and Creative Economy Minister Wishnutama Kusubandio in the meeting said that his side will create event concept according to cultures of each destination. Meanwhile, State-owned Enterprises Minister Erick Thohir said that his ministry will synergize with private sector, so that investment in form of infrastructure that had been finished will function optimally.

The statement was supported by Investment Coordinating Board Head Bahlil Lahadalia. He said that infrastructure development by government will be followed by investment certainty for private sector. Bahlil believed, that can be realized with coherent roadmap and direction.

29
October

The Indonesian delegation attended the Ministerial Meeting of the Non-Aligned Movement (NAM) in Baku, Azerbaijan on October 23-24. The meeting was attended by more than forty-six NAM member countries from Africa, Asia-Pacific, Europe and Latin America. The Ministerial Meeting was a preparatory meeting for the Non-Aligned Movement Summit held in Baku, Azerbaijan on the 25-26 October 2019.


As quoted on page kemlu.go.id, representing the Indonesian Delegation on the occasion, Indonesian Ambassador to Azerbaijan, Husnan Bey Fananie emphasized the importance of the principle of multilateralism. He viewed that the NAM member states must unite to find solutions to global issues. The Indonesian delegation also called for the importance of NAM reforms in strengthening work effectiveness and the NAM response in the challenges of the contemporary world.


The meeting successfully approved the Non-Aligned Movement Final Document which will then be adopted at the NAM Summit meeting. After more than 5 years, ASEAN has finally succeeded in updating the paragraph on the South China Sea in the NAM Final Document.


In the opening session, Venezuelan Foreign Minister, Jorge Arreaza handed over the position of chairman of the Non-Aligned Movement to Azerbaijan's Foreign Minister, Elmar Mammadyarov. In his opening remarks, Minister Elmar Mammadyarov said that it’s important to respect the sovereignty and territorial integrity of the sovereign state. Furthermore, he emphasized the importance of upholding the principles of Dasasila Bandung as a basis for the NAM movement. The main issues discussed by member countries are about international and regional peace and security, support for Palestinian independence, the importance of international cooperation and the philosophy of multi-lateralism, climate change, and the Sustainable Development Agenda.

28
October

Indonesia is one of the countries achieving the most improvements in a bid to make business easier. This is the result of the Business Ease index report released by the World Bank on Friday (10/25). Indonesia scored 69.6 out of 100 and ranked 73rd out of 190 countries. The rating did not change when compared to  the achievement  in 2019, although the value increased 1.64 points. In its report, the World Bank said that Indonesia had made improvements in five of the ten sectors that became the assessment indicators. This number is the second largest globally, equivalent to Myanmar, and only behind the People's Republic of China which makes improvements in eight sectors.

One indicator that is considered better in Indonesia is the ease of starting a business. Indonesia made improvements by introducing an Online Single Submission (OSS) which facilitates the acquisition of business licenses. Meanwhile, on the electrification side, Indonesia has increased its electricity supply capacity well. Improvements to the electricity network maintenance system are also carried out in order to increase the productivity of the business world.

On cross-border trade indicators, the World Bank considers Indonesia to further simplify this process by improving the online goods declaration system for exports. Another sector that gets a positive value is law enforcement of agreements or enforcing contracts. This can be seen from the emergence of an online case management system for judges. The World Bank also appreciates the development of the taxation system or aspects of paying taxes that apply in Jakarta and Surabaya. Indonesia makes tax payments easier by implementing an online filing and payment system for major taxes. This reform applies to Jakarta and Surabaya. In the aspect of trading across borders or similar cross-border trade, similar progress is also an added value for Indonesia. The World Bank views  that the cross-border trade in Jakarta and Surabaya is easier as the export customs declaration process uses an online system.

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