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26
October

 

 

After being inaugurated along with 33 other ministers, Minister of State Owned Enterprises (SOEs) Erick Thohir immediately took over the position from the previous Minister, Rini Soemarno in a ceremony at the SOE Ministry in Jakarta last Wednesday. Erick Thohir said afterwards, he would conduct a total evaluation of SOEs in the framework of professionalism and create a good and healthy climate.

Erick Thohir, who has a business background, is also ready to clean up in order to find positive things in order to build and synergize SOEs.

Meanwhile former SOE Minister Rini Soemarno reminded the new Minister to complete the SOE holding company formation program which is part of the president's unfinished program.

Indonesia currently has 115 SOEs. President Joko Widodo often stated that too many SOEs is inefficient. Therefore, the president encouraged state-owned enterprises engaged in the same field to join and form a holding company.

According to Rini Soemarno, the holding companies will eventually form a super holding, such as Temasek in Singapore.

In addition, she also entrusted Minister Erick Thohir to maintain the togetherness and synergy among SOEs, so they remain strong and not become weak due to competing with each other.

Furthermore, Rini Soemarno also instructed SOE Minister Erick Thohir to continue the SOE function in accordance with the mandate of the SOE Act to encourage people's economy. Therefore there are many SOE programs to improve the ability of micro, super micro and small businesses.

Erick Thohir acknowledged that the task of SOEs is very heavy because it is not only demanded as a profit-oriented corporation, but also acts as a locomotive for Indonesia's development. Erick Thohir also wants SOEs, Regionally Owned Enterprises (BUMD) and the private sector not only to excel domestically but also to be able to penetrate the global level.

According to Erick Thohir, this could be achieved if all parties had the same mission to make Indonesia progress in accordance with the name of the new Cabinet “Forward Indonesia”.

25
October

Indonesian President Joko Widodo officially installed members of the Cabinet of Indonesia Onward for the 2019-2024 period at the State Palace on Wednesday (Oct 23). Accompanied by Vice President KH Ma'ruf Amin, President Joko Widodo installed 34 ministers and 4 ministrial-level officials. Businessmen and economists highlighted in particular the ranks of economic ministers. President Joko Widodo has appointed Airlangga Hartarto as Coordinating Minister for the Economy, Sri Mulyani as Minister of Finance, Agus Suparmanto as Minister of Trade, and Agus Gumiwang Kartasasmita as Minister of Industry.

The Indonesian Chamber of Commerce and Industry (Kadin) welcomed the formation of cabinet of President Joko Widodo and Vice President Ma'ruf Amin in the 2019-2024 period. Kadin considered that the formation is the best choice that must be respected and supported by all parties, for the progress of the nation and state. Chairperson of the Indonesian Chamber of Commerce and Industry, Rosan P Roeslani, said that his party appreciates the achievements of the government so far and welcomes the cabinet composition chosen by the president. As a partner, Kadin will strengthen synergy with the government, especially in the implementation of a number of programs that will be run by the new cabinet and strive to make Indonesia a developed country, with 320 million rupiah income per capita in 2045.

The Indonesian Chamber of Commerce and Industry –Kadin also assessed that the formation of the Jokowi - Ma'ruf Amin cabinet in the 2019-2024 period can answer various challenges that still characterize the Indonesian economy. Rosan P Roeslani is optimistic that the formation of a new cabinet can reduce the problem of the current account deficit, the trade balance deficit, the budget deficit, business licensing issues, poverty problems, the quality of human resources, structural fundamentals, such as efficiency, productivity and employment.

Meanwhile, economist of Center of Reform on Economics (CORE) Indonesia, Yusuf Rendy Manilet said the appointment of some ministers in the economic field has appropriate, including the election of Airlangga Hartarto as Coordinating Minister for Economic Affairs and Sri Mulyani Indrawati who returned to the post of Finance Minister. Yusuf Rendy Manilet also said, the two names have had a lot of experience in the bureaucracy. This can add value and will facilitate Airlangga and Sri Mulyani in the next work process. With this experience, the execution of policies directed by President Joko Widodo could be done more quickly and realized.

22
October

Indonesia again made achievements in the international world by being elected as a member of the UN Human Rights Council the period of 2020-2024. In the voting, Indonesia won the support of votes from 174 countries. Elections took place at the 74th General Assembly of the United Nations at the Headquarters in New York, the USA on October 17, 2019. Indonesia received the highest votes for the Asia Pacific region and was elected along with three other countries from the Asia Pacific group: Japan with 165 votes, South Korea with 165 votes and Marshall Islands with 123 votes. As quoted on the website of the Ministry of Foreign Affairs.go.id, Minister of Foreign Affairs, Retno Marsudi in Jakarta shortly after the election took place at the UN Headquarters said that the support for Indonesia was trustful and evident of international trust and Indonesia had a high track record and contribution in the promotion of human rights through international cooperation. For Indonesia, this membership is also a form of fulfilling the constitutional mandate and affirming Indonesia's commitment to the application of global human rights norms not only at the global level, but also at the regional and national levels. Minister Retno Marsudi also said that this victory is the result of the hard work of all elements of the nation. On that occasion, Minister Retno Marsudi on behalf of the Ministry of Foreign Affairs thanked all elements of the nation, including the media people.

Indonesia's membership in the UN Human Rights Council which carries the tagline "A True Partner for Democracy, Development and Social Justice" is expected to encourage this UN human rights mechanism to be more effective, efficient and it opens constructive dialogue with the principles of universality, impartiality, objectivity and non-selectivity.

In 2020, Indonesia's membership in the Human Rights Council will begin. This is in conjunction with Indonesia's membership in the UN Security Council. Indonesia will start its term of office on January 1, 2020 along with other Asia Pacific countries: Afghanistan, Bahrain, Bangladesh, Fiji, India, Japan, Marshall Islands, Nepal, Pakistan, the Philippines, Qatar, and South Korea.

21
October

Minister of Trade, Enggartiasto Lukita and Minister Council for Economic Integration and Macroeconomic Eurasian Economic Commission (EEC) and Eurasian Economic Union (EAEU), Sergey Glasyev held a bilateral meeting to discuss trade and investment in a bid to enhance Indonesia's economic cooperation with EEC member countries. The EEC member countries are Russia, Armenia, Belarus, Kazakhstan and Kyrgyzstan. The meeting was held on the sidelines of the 34th Trade Expo Indonesia (TEI) event at the Indonesia Convention Exhibition (ICE) BSD City, Tangerang, Banten on Thursday (17/10). Before the bilateral meeting, Minister Sergey visited several booths at TEI 2019. The meeting was followed by the signing of a Memorandum of Cooperation (MOC) between Indonesia and the EEC, as a form of commitment by both parties to strengthen economic relations.

Minister Enggartiasto Lukita further stated that this meeting was an implementation of President Joko Widodo's vision of increasing exports by opening new markets for Indonesian products, and the Eurasian Economic Union (EAEU) is a non-traditional market.

Furthermore, Minister Enggartiasto emphasized that the Memorandum of Cooperation (MOC) would be the basis for both parties to start technical cooperation in various fields in order to increase trade and investment, such as exchanging information and experience, joint studies and encouraging business interaction. The MOC cooperation sector covers 18 sectors, including trade in goods, services, investment, industry, agriculture, transportation, energy, business competition and intellectual property rights.

Minister Engggartiasto also affirmed that the signing is a new milestone for both parties. Minister Sergey has just been inaugurated and this visit is his first visit abroad. This shows the commitment of both parties in enhancing Indonesia's trade relations with EEC member countries. The EEC has previously signed a similar MOC with other ASEAN countries. At the bilateral meeting, the two Ministers also discussed cooperation in the context of the ASEAN-EEC Dialogue. Thus, Indonesia must utilize this collaboration to build momentum and boost Indonesia's competitiveness, particularly with the EEC. Indonesia and EEC will hold the first Joint Working Group meeting in the first half of 2020 to identify concrete collaboration that can be carried out by both parties.

17
October

Indonesia's active role in efforts to address environmental issues at the ASEAN level can be seen from the statement of Minister of Environment and Forestry Siti Nurbaya Bakar, represented by the Head of Research and Development Agency and Innovation of the Ministry Agus Justianto at the 15th ASEAN Ministrial Meeting of Environment –AMME at the Sofitel Angkor Phokeethra, Siem Reap, Cambodia. Agus Justianto conveyed the statement of the Minister of Environment and Forestry, that how important environmental issues in the ASEAN region are and the need for collaborative strategic steps to anticipate environmental problems in the region. The official statement also mentioned the corrective actions taken by the Indonesian Government through the Ministry of Environment and Forestry to improve the quality of the environment in Indonesia.

The 15th Ministrial Meeting of Environment, which took place from October 7-11, discussed various environmental problems in the ASEAN region and discussed regional cooperation to anticipate the existing environmental problems. The discussion includes climate change, environmentally friendly city development, biodiversity conservation, clean coastal and marine environment, environmental education for young people, water resources management, chemical and hazardous waste management, control of cross-border haze pollution, and environmentally friendly schools.

There are three important matters discussed in the 15th Environment Ministrial Meeting. The matters are the adoption of a joint statement by ASEAN member countries on climate change which will be presented at the conference of parties to the framework of the United Nations climate change convention (COP 25 - UNFCCC) in Chile in December 2019. Then the draft of ASEAN Strategic Plan on Environment, ASPEN, and the establishment of five National Parks in Myanmar, Thailand and Vietnam as ASEAN Heritage Parks.

The 15th Environment Ministrial Meeting was opened by Vice Prime Minister concurrently Minister of Economy and Finance of Cambodia Akka Pundit Sapheacha Aun Pommoniroth, at Sofitel Utama, Cambodia followed by tree planting event at Angkor Wat tourism area.

During the meeting an evaluation of the work of the ASEAN Working Group (AWG) in the field of environment was also carried out and other proposed activities in the relevant environmental field to anticipating environmental problems in the ASEAN region. According to the agenda, the 16th Environment Ministrial Meeting will be held in Indonesia in 2021. Indonesia hopes that environmental issues will be better in the next two years and ASEAN member countries can more focus on the environmental issues anticipation.

18
October

The Business Forum of Indonesia - Latin America and Caribbean (INA-LAC) was successfully held on October 14 and 15, 2019 in Tangerang, Banten. The Business Forum produced investment commitments in the mining sector worth 5 billion US$ or equivalent to 70 trillion rupiah for the next 5 years. It was also agreed the trade agreement worth 463.68 billion rupiah or more than 33.12 million US$ in the beauty sector, food and beverage, spare parts, rubber products and furniture.

Acting Director General of American and European Affairs of the Indonesian Ministry of Foreign Affairs, Teuku Faizasyah, Tuesday (Oct15) said, the Indonesia-Latin America and Caribbean Business Forum also produced several agreements, namely export-import facilitation cooperation between the Indonesian Export Financing Institution (LPEI)/Exim Bank Indonesia with the Colombian Bancoldex, commencement of dialogue towards the formation of the Indonesia-MERCOSUR trade agreement, commencement of the Indonesia-Colombia Partial Trade Agreement TOR discussion as well as technical cooperation and capacity building for communities and Micro Small and Medium Enterprises in Belize, Panama and Suriname.

So far it has been noted that Indonesia has only one trade agreement with countries in the region, namely the Indonesia-Chile Comprehensive Economic Partnership Agreement, which was signed in December 2017. In addition, cooperation agreements have been reached between Indonesian Export Financing Institution -LPEI and Bancomext Mexico signed in 2013, and cooperation between the Indonesia-Mexico Chamber of Commerce signed in 2018. Indonesia is currently initiating trade negotiations with Peru, Ecuador, Colombia, Mexico and Panama.

Teuku Faizasyah said, the overall achievements in INA-LAC Business Forum is a manifestation of the commitment to translate good relations between Indonesia, Latin American region and Caribbean Islands, into a concrete and mutual beneficial economic cooperation. Teuku Faizasyah moreover said that the implementation of INA-LAC 2019 is in line with the direction of President Joko Widodo to increase exports with Indonesia's non-traditional market. The results of this Forum will continue to be followed up in 2020 and subsequent years, and will become a permanent program of activities of the Directorate General of America and Europe, the Ministry of Foreign Affairs.

 

11
October

Indonesian President Joko Widodo and Singapore Prime Minister Lee Hsien Long agreed to increase cooperation in a number of fields such as security, economy and education. President Joko Widodo at the Singapore Palace on Tuesday said that Indonesia welcomed the negotiating framework for the 'flight information region' (FIR or airspace control) that has been agreed by the two countries. Indonesia respects Singapore's position to oversee its airspace, so the Indonesian technical team has begun negotiations with the country. President Joko Widodo and PM Lee Hsien Loong met at the Leader's Retreat which takes place every year since 2017. In the meeting the two heads of government and a number of ministers discussed technical issues in various fields.

Indonesia and Singapore will also increase financial cooperation between the central banks of the two countries, in the management of foreign exchange liquidity (bilateral liquidity management arrangements).

President Joko Widodo also welcomed the increasing number of companies participating in the development of Kendal industrial area and Nongsa Digital Park in Batam. The two countries agreed to encourage bilateral cooperation in the fields of investment and trade. In the field of infrastructure, Indonesia offers cooperation in infrastructure funding including the Makassar-Parepare train route and Labuan Bajo airport. In the field of education, the two countries are promoting vocational education cooperation including the operation of the Kendal polytechnic and the RISING (Republic of Indonesia and Singapore) Fellowship.

Indonesia and Singapore also agreed to encourage the digital economy in the fields of financial technology, e-commerce, data services, the development of 'techno park' and 'regional innovation hub'.

Meanwhile Singapore Prime Minister Lee Hsien Long said the Indonesia-Singapore economic ties had strengthened with Singapore becoming the largest foreign investor in Indonesia since 2014. It can be seen on Kendal industrial area has been valued at 800 million US$ with 60 companies and is estimated to create 7 million jobs. Singapore would also enhance long-term cooperation in the Batam-Bintan-Karimun area in order to support passengers from Changi Airport.

President Joko Widodo and Singapore Prime Minister Lee Hsien Long at the meeting also witnessed the signing of an electronic data exchange facilitation, trade agreement as well as a memorandum of understanding regarding archival cooperation. The archival agreement allows the two institutions to share archival knowledge about history and culture.

07
October

Minister of Research, Technology and Higher Education,  Mohamad Nasir targets that the number of technology-based startups or ministry-assisted startups will reach 4,900 by 2024. In his remarks at the opening of “2019 Innovation Indonesia Expo (I3E) Exhibition” at the Jakarta Convention Center, Thursday, 3/10, Minister Mohammad Nasir said that from 2020 to 2024, the number of startups has to be triple. If there are 1,307 startups now, then in 2024 it will reach 4,900. To that end, the Ministry of Research, Technology and Higher Education provides at least budget worth Rp64 billion per year for three funding and coaching programs: Prospective Technology-Based Starter Companies (CPPBT), Starter-Based Technology Companies (PPBT), and Industrial Innovation.

The Indonesia Expo Innovation Expo (I3E) 2019 which took place  from 3 to 6 October 2019 featured 404 innovative products from technology-based startups (PPBT). Minister Muhammad Nasir also stated that Technology-Based Starter Companies (PPBT) or startups have also contributed to Indonesia's Gross Domestic Product (GDP). According to M. Nasir, in 2014, Indonesia ranked 17th among the G20 countries. Interestingly, in 2019 according to IMF data, it turns out that Indonesia ranks 7th; this is an extraordinary leap. He hopes that Indonesian startups will advance.

Meanwhile, Director General of Innovation Strengthening, Jumain Appe said that the 2019 I3E Exhibition featured as many as 404 innovation products consisting of 249 innovative products from the PPBT funding program, 132 innovation products from the technology-based startup candidate (CPPBT) funding program, and 23 innovation products from Industrial Innovation funding. All of which are Indonesians works.

The I3E 2019 Exhibition carried the theme "Startup Technology and Industrial Innovation Increases Nation's Competitiveness”. Innovative products displayed were also in line with the mandate of the medium-term development plan (RPJM) on which science and technology development will be aimed at 8 focus areas: food, energy, health and medicine, transportation , information and communication technology, defense and security, and advanced materials plus a maritime focus.

02
October

Indonesian Minister of Public Works and People Housing, Basuki Hadimuljono ensured that urbanization is not seen as burden or problem anymore with three requirements. They are excellent planning, proper regulation, and sufficient funding. That was conveyed by Minister Basuki Hadimuljono when opening High Level Roundtable on Fostering Growth and Inclusion in Asia’s Cities, held in Jakarta on Monday. According to Minister Basuki, the three requirements will affect the success of urbanization as growth machine.

The Minister added, government’s plan to relocate national capital city to East Kalimantan also adopts those three conditions. Therefore, capital city relocation is expected to be growth machine instead of problem. More overly, East Kalimantan is located precisely in the middle of Indonesia. Minister Basuki then exemplified Astana, the capital of Kazakhstan that is also in the middle of the country and become national growth machine.

Nevertheless, the Minister predicted the urbanization trend in Java Island will be more rapid in the next few years, along with the toll roads construction. Minister Basuki said, toll road network in Java will be complete, because in the next five years, there will be new corridors complementing the Trans Java corridor that has been connected from Merak in Banten, to Probolinggo in East Java. According to the  Minister, the toll road has at least can changed economic activity pattern.

The Minister further said that currently, Indonesian population living in cities is 137 million people or 54 percent of total population. He predicted that in 2025, population in cities will keep increasing up to 68 percent of the total population.

Meanwhile, Country Director Asian Development Bank for Indonesia Windfried F Wicklein in similar event explained that urbanization had become global trend, no exception in Indonesia. Wicklein even said, urbanization had happen in almost 55 percent of Indonesian population. That can be a challenge and an opportunity for Indonesian government to make the cities worth living.

30
September

Bali won the prestigious award as the "Destination of the Year" at the 2019 TTG Travel Awards that took place at Centara Grand & Bangkok Convention Center, Thailand on Thursday (September 26th). TTG or Travel Trade Gazette is a weekly tourism newspaper. The award was immediately handed over to the government of the Republic of Indonesia, which was represented by Deputy Marketing Development I at the Ministry of Tourism (Kemenpar), Rizki Handayani in Bangkok on Thursday. Rizki Handayani said that the award made the government confident and Bali is the best tourism destination and is able to generate foreign exchange. He also said that the award is an international belief and recognition. This means that Bali is one of the world's tourism destinations. Rizki also reminded that maintaining achievements and awards will be more difficult than obtaining them. Therefore in the future, according to Rizki, the Ministry of Tourism in addition to maintaining and maintaining Bali as a world tourism destination, the Ministry of Tourism also seeks and promotes other leading regions which are priority tourism programs.


Meanwhile, Deputy Assistant for Marketing Development I Regional I of the Ministry of Tourism (Kemenpar), Dessy Ruhati in a press statement in Jakarta on Wednesday (9/25) said that the award won by Bali becomes evidence of international recognition of Indonesian tourism. Dessy Ruhati, who led the Indonesian delegation at the largest MICE exhibition and exchange in Asia-Pacific pointed out that the award given to the winners in the "30 th Annual TTG Travel Awards 2019" event was a series of exhibitions and international tourism incentives Travel & Convention exchanges. Asia Meeting (IT & CMA) 2019 which took place in the same place on September 24-26, 2019.


The Indonesian Pavilion offered a variety of superior MICE tourism products and tourism information services on 10-Priority Tourism Destinations, including five destinations; Lake Toba, Borobudur, Mandalika, Labuan Bajo, Likupang which were designated by President Joko Widido as a Super Priority Destination.

In the global MICE industry, Indonesia is represented by Bali, Jakarta, Lombok, Manado and several other destinations. The regions are a world-class MICE destination because they often host various international conventions.