Focus

Indonesia's Economy Continues to Improve

2022-08-08T10:22:24+07:00

The Central Statistics Agency reported that the Indonesian economy in the second quarter of 2022 grew by 5.44 percent on an annual basis (year on year). This realization continued positive growth in the first quarter of 2022 which was 5.01 percent. Meanwhile on a quarterly basis, the Indonesian economy grew 3.72 percent. Thus, cumulatively from January to June 2022, Indonesia's economic growth was 5.23 percent compared to the same period in 2021. Head of the Central Statistics Agency, Margo Yuwono pointed out in Jakarta last Friday (5/8) that Indonesia's economic growth is influenced by a number of indicators both domestically and globally. One of them is the economic growth of major trading partners in the second quarter of 2022.

Chairman of the Budget Agency of the House of Representatives, Said Abdullah stated that the economic growth in the second quarter of 2022 is a very good capital for Indonesia to face external pressures that seem to be facing high commodity prices. He really appreciates the achievement of economic growth. He also remarked that the business sector, which contributes to economic growth, is moving again due to the success of controlling COVID-19. So, people's mobility may recover as before the pandemic. External pressures due to the war in Ukraine and Russia that broke out at the end of February 2022 are still well managed and mitigated by the Indonesian government. In the future, Said hopes that there are several things that need to continue to be the focus of attention by trying to control inflation and the pandemic even though the price is not cheap. Because the 2022 State Budget funds are very large to maintain household purchasing power, especially in the food and transportation sectors.

Meanwhile, Minister of Finance, Sri Mulyani Indrawati said in Jakarta last Friday (5/8) that the realization of the national economy in the second quarter of 2022 which grew 5.44 percent had put Indonesia in a good position in which many countries were under pressure. She also emphasized that Indonesia is in a good position. This means that demand and supply are maintained and inflation is restrained due to the provision of subsidies by the government. Minister Sri Mulyani added that the 5.44 percent economic growth is a positive achievement, considering that inflation in other countries is very high.

Indonesian Ambassador receives an award from an African-Asian youth organization

2022-08-05T11:06:56+07:00

The Indonesian Ambassador to Ethiopia, Djibouti, and the African Union, Al Busyra Basnur received the "Outstanding Ambassador Award for Youth Development 2022" from African-Asian youth organizations.

The Indonesian Embassy Addis Ababa in its statement from Ababa received in Jakarta on Wednesday stated that the award was given by the OYES Global Foundation, a leading youth organization consisting of youth leaders from African and Asian countries.

The award was given for the role and services of Al Busyra Basnur in developing global youth activities, particularly youth diplomacy activities in Africa and Asia. The award was officially announced at the Asia-Africa Youth Forum (AAYF) event organized by the OYES Global Foundation in Addis Ababa.

The award was presented to Al Busyra on Monday (1/8) in a special event at the Indonesian Embassy in Addis Ababa.

The handover was directly carried out by the OYES delegation consisting of the executive directors of the African countries organization, namely the African Union, the OYES President, and the board of directors from Ethiopia, Nigeria, Bangladesh, and Thailand.

It was the 3rd award received by the Ambassador of the Republic of Indonesia in Addis Ababa since March 2019. Previously, on December 13, 2019, the Minister of State for Tourism and Culture of Ethiopia gave an award for Al Busyra's role in developing Indonesia-Ethiopia bilateral relations, particularly through the role of youth.

Meanwhile, on February 8, 2020, an award was also given to Al Busyra by Safe Light, a leading youth organization in Ethiopia.

Timor Leste’s President Impressed by East Nusa Tenggara Tourism Progress

2022-07-26T08:47:51+07:00

President of Timor Leste, Jose Ramos-Horta was impressed by the progress of the tourism sector of East Nusa Tenggara Province (NTT) which is growing rapidly. He conveyed this during a meeting with Governor of East Nusa Tenggara, Viktor Bungtilu Laiskodat in Labuan Bajo, Friday (22/ 7).

As reported by Antara News Agency on Saturday (23/7), President Ramos Horta said that Labuan Bajo's extraordinary tourism has a world-class quality. He also remarked that as a neighbouring country to Indonesia, he was proud of the progress of tourism in East Nusa Tenggara, especially in Labuan Bajo. He added that Labuan Bajo tourism, the leading destination of the Komodo National Park, is increasingly being managed rapidly with environmental conditions on land and sea which are getting cleaner. In addition, the tourism services are well maintained so that these attract tourists’ visits.

Responding to this, Governor Viktor Bungtilu Laiskodat said that the progress of tourism in East Nusa Tenggara, especially in Labuan Bajo, was the result of good synergy between the provincial government and the central government. He also said that the local government and the central government have cooperated well to support investors who entered and developed the East Nusa Tenggara tourism sector.

Governor Laiskodat also thanked President Joko Widodo for the support of tourism development in Labuan Bajo as a super-premium tourism area. According to Governor Laiskodat, the development of the tourism area has a positive impact and has benefits for the region and the community in East Nusa Tenggara.

Sports Lovers Ready to Attend the Arena

2022-07-24T00:00:00+07:00

The national COVID-19 vaccination program in Indonesia, dose 2 vaccination has now reached the level of 70.38 percent, plus the acceleration of booster vaccination. The Government then began to relax policies related to various activities including sports. This was marked by an announcement from the Coordinating Minister for Maritime Affairs and Investment Luhur Binsar Pandjaitan, who is in charge of handling Covid-19 in Indonesia, allowing spectators to return to sporting events in Indonesia.

In an online evaluation press conference for the Enforcement of Community Activity Restrictions on Monday (7/3/2022), Minister Luhut Binsar Panjaitan revealed that people who want to watch live sports events or sports competitions are welcome to come to the arena but with the condition that they have complete vaccinations including booster and connected to the PeduliLindungi or CareProtect application. However, he emphasized that the audience capacity was still limited. The restrictions are adjusted to the level of regional Enforcement of Community Activity Restrictions holding sporting events such as level four with 25 percent of spectators, level three with 50 percent, level two with 75 percent, and level one with 100 percent of spectators.

Regarding the possibility of spectators in the arena of sports competitions, this is good news for the country's sports industry. The reason is, there are a number of national and international sporting events that will be held in Indonesia this year. The international events that will take place in Indonesia include the Indonesian MotoGP, Formula E, World Superbike, the 2022 FIBA Asian Basketball Championship, Indonesian Masters and Indonesia Open in Badminton, also the Rock Climbing World Cup. Meanwhile, the national football competition league 1, league 2, league 3, and the Volleyball League as well as the Basketball league will certainly be flooded with spectators and supporters. Previously, several sports competitions were held without spectators since the government declared the Covid-19 pandemic in 2020.

With Food Estate, Indonesia Can Be World's Food Barn

2022-07-23T00:00:00+07:00

Professor of the Bogor Agricultural University (IPB), Edi Santosa is optimistic that the Food Estate program will be able to support Indonesia to become a global food barn as the Ministry of Agriculture aspires to. He said, the Indonesian government is trying to make Indonesia a world food storage barn by 2045.

Quoting the Antara News Agency report, Edi Santosa in his statement said, this is very likely to be realized, but Indonesia must have sincerity and seriousness to make it come true. According to Edi, Food Estate will maintain food security. Therefore, this program is expected to have high competitiveness.He also remarked that food estates must be built with competitiveness so that later, it will support Indonesia's ideals as the world's food barn.

The Indonesian government has established food estate areas in two provinces, namely Central Kalimantan, exactly in Pulang Pisau and regencies of Kapuas, and Humbang Hasundutan, North Sumatra and East Nusa Tenggara Regencies. In addition, the government also plans to expand the food estate program to South Sumatra Province, and Papua.

Meanwhile, Head of the National Mainstay Farmers and Fishermen Contact (KTNA), Yadi Sofyan Noor stated that the development of the Food Estate in Central Kalimantan could make Indonesia one of the strongest countries in the world.

According to Yadi Sofyan Noor, the program developed by the Ministry of Agriculture has shown maximal yield progress. Based on the data he has collected, the average land shrinkage in Indonesia reaches 150,000 hectares per year. While the data for paddy field is fewer than 100,000 hectares, exact ly 60,000 per year. However, with the existence of a food estate, rice field printing grows more quickly and more optimally.

President Joko Widodo said that the development of the Food Estate is the government's effort to realize national food security, as an anticipatory step in facing a food crisis.

The concept of developing a food estate is carried out in an integrated manner, including agriculture, plantations, and even livestock in an area.

Indonesia and Timor-Leste Agree to Increase Trade Value

2022-07-21T00:00:00+07:00

Indonesia and Timor-Leste have agreed to keep increasing the trade value in line with the good relations of both countries. That was stated by President Joko Widodo after meeting with Timor-Leste President, Jose Ramos-Horta at the Bogor Palace in West Java (19/07). As quoted from Antara news agency, President Joko Widodo said that the discussion on economic cooperation was the focus of the meeting. He also stated that considering the always-positive trade relations growth trend, the Indonesian government believes that both countries' trade value can keep increasing.

President Joko Widodo also extended the commitment of Indonesian state-owned companies and private sectors in participating in the development in Timor-Leste, including in infrastructure. He encouraged the two nations to complete the bilateral investment treaty. President Joko Widodo added that the investment value of Indonesia in Timor Leste reached US$818 millions in banking, oil and gas, and telecommunication sectors. The president further explained that besides economic cooperation, the two states will also discuss issues on border negotiation issues settlement. He affirmed the importance of the two countries to immediately settle the two remaining land border segments.

At the same occasion, President Jose Ramos Horta said he was grateful for Indonesia's support in Timor Leste's development in various sectors. He remarked that Timor Leste and Indonesia have the commitment to continue the 20-year good relations between the two countries. He hopes that both countries' relations in trade and economy can keep growing. In the bilateral meeting of Indonesian and Timor-Leste leaders, four Memoranda of Understanding were signed namely in the agriculture sector, cross-border bus mobility, standardization and metrology, as well as technical cooperation in trade.

Indonesia Shows Various Domestic Creations at the International Jewellery Exhibition in Singapore

2022-07-19T00:00:00+07:00

Indonesia participated and became a partner country in the jewellery exhibition "Singapore International Jewellery Expo" (SIJE) which was held at Marina Bay Sands in Singapore from 14 to 17 July 2022. This year is the second year of Indonesia's participation in the largest jewellery exhibition in the Asian region, and it was attended by 20 countries with a total of 200 exhibitors.

This year, Pavilion Indonesia again showcases the creations of 24 Micro, Small and Medium Enterprises –MSMEs from provinces in Indonesia. Various superior Indonesian products in the form of pearls, diamonds, precious gemstones, as well as various jewelleries from gold, silver and copper with Indonesian and modern ethnic nuances also enlivened the Indonesian Pavilion.

As quoted on the Kemlu.go.id page (15/7), Chairperson of the Singapore International Jewellery Expo 2022 Organizer, Edward Liu said that this year is a special year for the Expo. He explained that the Singapore International Jewellery Expo has an important role as an event that emphasizes sustainability in the jewellery industry in Asia in particular, and the world in general to meet the needs of young jewellery designers who hold high standards. In addition, the Singapore International Jewellery Expo also maintains the tradition of displaying special jewellery designs.

Meanwhile, Ho Nai Chuen, President of the Singapore Jewellers Association (SJA) said that the Singapore International Jewellery Expo is an important event for jewellery entrepreneurs and craftspersons to gain international exposure.

The event was also attended by Indonesian Ambassador to Singapore, Suryo Pratomo. In his remarks, Ambassador Suryo said that Indonesia is a country that produces high quality gold, pearls, silver and precious gemstones with world-class craftsmanship.

The jewellery displayed at the Indonesian Pavilion can be used for various events, from fashion to formal activities. In his closing remarks, Ambassador Suryo Pratomo invited invitees to visit the Indonesian Pavilion to experience first-hand beautiful jewelleries produced by Indonesian MSMEs.

Indonesia–United Arab Emirates Comprehensive Economic Partnership Agreement to Increase Indonesian Exports

2022-07-18T00:00:00+07:00

Indonesian Minister of Trade, Zulkifli Hasan told Indonesian Ambassador to Kuwait, Lena Maryana Mukti at the Ministry of Trade office in Jakarta on Friday (15/7) that increasing Indonesian exports to Kuwait could be carried out through the United Arab Emirates. This can be done by utilizing the Indonesia–United Arab Emirates Comprehensive Economic Partnership Agreement signed by Minister Zulkifli Hasan and the United Arab Emirates Minister of Economy, Abdulla bin Touq Al Marri in Abu Dhabi on July 1, 2022.

Minister Zulkifli Hasan emphasized that the agreement is strategic for Indonesia because the United Arab Emirates is a hub to enter the Middle East region, especially countries in Africa. Like Kuwait and other Gulf countries that are members of the Gulf Cooperation Council, and are potential export markets for Indonesia, he added that the Indonesia–United Arab Emirates Comprehensive Economic Partnership Agreement is one of the priorities of the Ministry of Trade because it has a large enough effect on Indonesian small and medium-sized enterprises. It is hoped that they will take advantage of the opportunity to eliminate import duty rates to intensify exports of superior products to these markets.

Meanwhile, Ambassador Lena Maryana Mukti said that Kuwait is one of the countries with very high import activity in the region. This is an opportunity for Indonesia's superior products to expand the market in Kuwait. From January to May 2022, the total trade between Indonesia and Kuwait was recorded at US4136.3 millions. Meanwhile in 2021, it was US$395.4 millions. Exports of Indonesian non-oil and gas products to Kuwait include vehicles, spare parts, wood boards, pulp wood, coatings, fishery products, and paper. Meanwhile Indonesia's imports from Kuwait include ethylene polymer, glass fiber sulfur, sodium hydroxide, and rubber inner tubes.

World Beach Games Accelerates Bali Economic and Tourism Recovery

2022-07-17T00:00:00+07:00

The 2023 World Beach Games will be held in Bali 2023 by involving more than 1,000 athletes, 1200 officials from around the world. The presence of this international activity involving many countries is expected to be able to revive the economy and tourism after the COVID-19 pandemic.

Chairman of the Indonesian National Olympic Committee -NOC Raja Sapta Oktohari, on Wednesday in Jakarta, said he was optimistic that the Bali ANOC World Beach Games (AWBG) multi-event beach sports event, scheduled from 5-12 August 2023, would be successful and be able to revive tourism on the island of the gods which was slumped down due to the pandemic. He also said that in addition to being attended by all athletes and officials, there will also be a General Assembly attended by representatives of 205 NOCs and 36 international sports federations in the world such as the IOC World Olympic Committee, Olympic Council Asia and the WADA international anti-doping association.

Raja Sapta Oktohari explained, in order to make this world-level event a success, he continues to coordinate with many parties, from the Ministry of Youth and Sports, to the Ministry of Tourism and Creative Economy and the Ministry of SOEs. This coordination is very necessary because the AWBG event can provide a multilayer effect in almost all sectors in Indonesia, especially in Bali. As is the case with the sports blueprint regarding Indonesia's seriousness in increasing achievement, by aiming to enter the top 5 of the 2044 Olympics, ahead of the 100th anniversary of Indonesia's independence.

AWBG 2023 will compete in 10 mandatory sports, namely aquathlon, beach handball, beach football, beach tennis, beach volleyball 4x4, beach water polo, beach wrestling, individual word discipline karate, kite surfing, and a 5km outdoor swimming pool, in addition to four additional sports submitted by the host and the other two submitted by ANOC.

Affordability Principles in Indonesia's Energy Transition

2022-07-16T00:00:00+07:00

Indonesia is committed to achieving net zero emissions in efforts to deal with climate change. Among others is by transitioning previously fossil-based energy production to renewable energy while building a green economy in a fair and affordable manner. Indonesian Minister of Finance Sri Mulyani Indrawati stated it on Side G20 event entitled “Sustainable Finance: Instruments and Management in Achieving Sustainable Development of Indonesia”, in Bali, Wednesday (13/07).

Minister Sri Mulyani said, the transition should be fair and affordable, and this is one of the most challenging tasks. She explained, the affordability principle stems from the challenge when determining how to reduce non-renewable energy, especially coal, replacing it with the use and development of renewable energy more. The Minister of Finance however, warned that this would have serious consequences on the financing side. She emphasized that the cessation of the use of coal is not free of cost. Expensive in fact, she said, because it will have an impact on the State-Owned Electricity Company-PLN in terms of the cost of electricity production. If the consequence is an increase in costs, the price of electricity will be more expensive.

For that, Minister Sri Mulyani said there are three things that need to be considered to test the affordability principle of this energy transition. First, by looking at people's purchasing power. Secondly, is the ability of PLN. the Minister of Finance said that if the community and industry are unable to pay the higher electricity price, then PLN will absorb the losses due to this.

She continued that PLN has the potential to transfer the loss to the Government. So, Sri Mulyani said that the third aspect of affordability is from the State Budget and Revenue side to provide subsidies.

Thus, if these three aspects are considered properly, according to the Minister of Finance, Indonesia will be able to tranfer the use of energy from non-renewable to renewable without damaging the people's economy, PLN's business and financial situation, as well as the Government's budget.