VOI - Voice of Indonesia | RRI - Radio Republik Indonesia

Indonesia and Serbia agreed to strengthen cooperation on food security, especially for wheat.

This came out during a meeting between Foreign Minister Retno Marsudi and Serbian Foreign Minister Nikola Selakovic, Monday (23/05/2022) at the Pancasila Building, Indonesian Ministry of Foreign Affairs, Jakarta.

According to Foreign Minister Retno Marsudi, strengthening cooperation is based on concerns about the impact of the war in Ukraine which has also hit the world's food security sector.

"Regarding food security cooperation, we have shared concerns about the impact of the war in Ukraine on food security, particularly the increase in food prices," said the Indonesian Foreign Minister when giving a press statement after the meeting.

Retno explained, in order to facilitate the export of wheat commodities to Indonesia, PT Berdikasi which is a State-Owned Enterprise (BUMN) is said to be ready to facilitate exports later.

"For this reason, we agreed to increase trade cooperation in food/agricultural commodities, especially wheat. In this regard, the Indonesian State-Owned Enterprise, PT Berdikari, and their Serbian business partners have shown readiness to facilitate the export of Serbian wheat to Indonesia," she explained.

Meanwhile, regarding Indonesia's commitment to the war in Ukraine, Foreign Minister Retno Marsudi emphasized that Indonesia considered it important to uphold the principle of respecting territorial integrity and sovereignty.

Including, Indonesia encourages all parties to immediately stop the war.

"I also underline Indonesia's call for all parties to immediately stop the war and seek a peaceful solution at the negotiating table. I also emphasize the need to develop a strategic climate of trust, in which each country bears the responsibility to contribute to creating an enabling environment for peaceful conflict resolution," said Foreign Minister Retno Marsudi.

Foreign Minister Selakovic said, apart from wheat, Serbia is also interested in exporting other commodities to Indonesia.

“We have spoken of course about the situation and conflict in Ukraine regarding food security, as well as all the consequences that have arisen after the start of this complex situation. We are interested in discussing the export of our food, namely wheat. But, not only wheat to enter the Indonesian market," said the Serbian Foreign Minister.

Kayrros, a satellite analysis company in 2022 in its report, said that the conflict in Ukraine meant that it was estimated that the country had the potential to produce 21 million tons of wheat, a decline of 23 percent from the average export in the last five years. Previously, Ukraine produced about 33 million tons of wheat, of which 20 tons were exported to a number of countries every year.

Meanwhile, Indonesia-Serbia trade volume in 2021 shows a positive trend even in the midst of a pandemic. That is, reaching USD 26.8 million. Serbia also increased the market share of Indonesia's palm oil exports by up to 30%.

The bilateral meeting between the Indonesian Foreign Minister and the Serbian Foreign Minister in Jakarta, along with the signing of three memorandums of understanding between the two countries. Namely, the Prevention and Eradication of Transnational Crimes and Capacity Building signed in December 2021, the Joint Legal Aid Agreement (MLA) on Criminal Issues and the Treaty on Extradition, and Diplomatic Capacity Building Cooperation. (RRI)

President Joko Widodo (Jokowi) received an honorary visit from the Serbian Foreign Minister Nikola Selakovic with a limited delegation, at the State Palace, Jakarta, Monday (23/5/2022).

Foreign Minister Retno Marsudi in her statement after the meeting said that Indonesia is one of the important partners for Serbia. So that the cooperative relationship between the two countries must continue to be improved.

"Serbia said that Indonesia is one of the most respected partners and is Serbia's commitment to continuously improve relations with Indonesia," said Foreign Minister Retno who accompanied President Jokowi at the meeting.

The Foreign Minister said that one form of cooperation discussed at the meeting was Serbia's commitment as one of the largest wheat producers in the European region to be able to continue exporting wheat to Indonesia.

In fact, said Retno, the Serbian Foreign Minister will also meet with businessmen or state-owned enterprises in the country to discuss further about this commitment.

"So the details will be discussed this afternoon," she said.

In addition to wheat, President Jokowi and the Serbian Foreign Minister also discussed the number of exports of crude palm oil (CPO) from Indonesia to Serbia which has increased from time to time.

According to Foreign Minister Retno, currently, Serbia's CPO imports from Indonesia have reached 30 percent.

"So 30 percent of Serbia's CPO imports from outside are CPO from Indonesia," said Retno.

Finally, President Jokowi and the Serbian Foreign Minister also discussed Serbia's desire to be able to take semi-skilled workers from Indonesia, to fill several fields of work, such as construction, food, and beverage, to hospitality.

"So once again wheat, CPO, and cooperation in the context of placing Indonesian workers in Serbia," she said. (RRI)

Finance Minister Sri Mulyani Indrawati conveyed the results of the implementation of the State Revenue and Expenditure Budget (APBN) until April 2022. Although many countries experienced a decline in economic growth, according to Sri Mulyani, Indonesia was still quite safe.

According to the Minister of Finance, the world's economic recovery is now in a difficult condition. The first is due to the Covid-19 pandemic, which has not completely ended, and the second is mainly due to geopolitical conditions in Ukraine.

This has led to an increase in energy and food goods, resulting in supply disruption of economic growth in various countries that are under pressure.

"Economic growth in various countries is under pressure, it will be seen especially in the second quarter. We will see the impact starting in April, May, and June. However, in several countries, currently, the first quarter has experienced a fairly consistent decline across the region," said the Minister of Finance Sri Mulyani in an online press conference of our APBN, Monday (23/5/2022).

The Minister of Finance detailed several countries that were affected, such as Hong Kong, which currently has a negative economic condition, Mexico 1.6 percent, Taiwan weakened 3.1 percent, Korea 3.1 percent, Singapore 3.4 percent, decreased sharply from 6.1 percent.

Furthermore, the United States also experienced a sharp decline of 3.6 percent. China also declined sharply, by 4.8 percent from the expected first-quarter average for this year.

"Germany is still relatively strong. However, with the war in Ukraine, we estimate that in the second quarter the pressure may just be visible," she said.

Meanwhile, Indonesia experienced quite good economic growth at 5.01 percent.

In addition, there has been a change in the direction of world monetary policy, in which many countries have begun to increase their benchmark interest rates. Especially by developed countries such as the United States (US) and the European region.

This will give negative sentiment in the financial market. The exchange rate, including the rupiah, will be affected. "This is what we must be aware of," said Sri Mulyani. (RRI)

Indonesia is developing a prototype carbon tax for coal-fired power plants, and is also "retiring" coal-fired power plants to be replaced by new and renewable energy (EBT) plants that have an affordable and sustainable financing model.

This was conveyed by the Coordinating Minister for Economic Affairs Airlangga Hartarto met with World Economic Forum (WEF) President Borge Brende on the first day of the 2022 World Economic Forum Annual Meeting (WEFAM) held in Davos - Switzerland, Sunday (22/5/2022).

Coordinating Minister Airlangga representing the Government of the Republic of Indonesia (RI) expressed his appreciation for holding the event in the midst of an uncertain global situation, especially in the post-pandemic recovery efforts and the current conflict situation between Russia and Ukraine.

Coordinating Minister Airlangga reiterated the support of global leaders, including Indonesian President Joko Widodo, for the 2022 Davos Agenda.

This support includes response to the pandemic, economic recovery, climate action, technological innovation, and global collaboration to support Indonesia's G20 Presidency.

In particular, according to Coordinating Minister Airlangga, Indonesia is a net exporter of coal. As for oil, Indonesia's position is a net importer, although Indonesia's current oil production is around 700 kilo barrels per day.

Currently, Indonesia is reviewing the 4 Gigawatt (GW) solar power plant project in Bintan whose output will be exported to Singapore as well as to meet domestic needs.

For hydroelectric power, Kalimantan, which has large and long rivers, is a potential area which is estimated to generate more than 10 GW of electricity.

As for the challenges of the energy transition, most Indonesians, with a per capita income of around US$ 4,000 a year, still cannot afford the more expensive energy.

Coordinating Minister Airlangga appreciated WEF for its support and suggestions in building a community of business leaders in Indonesia. As a platform to encourage climate action across the public and private sectors, then develop a pilot project for financing nature and biodiversity through a blended finance mechanism, and develop a transition bond protocol, as an opportunity to provide financing to companies that have a transition target to a green industry in the future.

The President of WEF said that the appointment of the President of the Republic of Indonesia as the Champion of the Global Crisis Response Group (GCRG) was in line with issues of food, energy, and finance.

In order to overcome the major interrelated challenges in global food, energy and financial security due to the Russia-Ukraine conflict, the GCRG plays an important role, particularly in helping developing countries overcome the financial crisis caused by the pandemic which was exacerbated by the food and energy crisis caused by the Russian conflict. and Ukraine.

Also attending the meeting accompanying the Coordinating Minister for Airlangga were the Minister of Industry Agus Gumiwang Kartasasmita, the Deputy for Coordination of International Economic Cooperation at the Coordinating Ministry for the Economy Edi Prio Pambudi, and the Director General of Resilience, Regional Affairs, and International Industrial Access of the Ministry of Industry Eko Cahyanto. (RRI)