Indonesia Indonesian Economy News and Updates

[Ravager]

This is the reason why Texmaco, despite originally a textile manufacturer, could make its own engine.

The parts presented in the videos above are simple. But designing a working, feasible engine, as cheap as possible and with good power output is another thing.

Ever heard about Indonesians making an engine (any type of engine) with >40 hp power? I certainly never, such feat need a teamwork of experienced engineers. Texmaco can produce engines, but they're license-produced them, the same happened with Boma Bisma Indra with their Doosan engine.

The engines that we design ourselves, like Rusnas engine and Fin Power engine, only has small output. Need more effort, cost, willpower, and much more manpower (engineers who design their parts) to make more powerful engine.

It needs concentrated funding (to make the organisation of people) and then sustained import of lot of several heavy capital machinery.

Preferably as early as possible.

A deep study as possible of how Japan and then Korea did it...(and then became involved heavily in India's efforts later in cold war) for example is useful.

The later you get into this, the more expensive it becomes as labour+corporates are pulled+competing in all kind of other sectors downstream.

Regather + redeploy energy (and much more competitive world for capital intensive machinery + investment etc for it) is basically lot higher now in every opportunity cost and price level.

This is big problem confronting India and electronics production for example right now.

Like @Nilgiri said ..
It takes a concentrated effort and sacrifices to make such endeavour comes into reality . An efforts we lacked and sacrifices we couldn't dare to stomach ... Yet , we could spare an effort try to create an overrated turboprop aircraft that never sale ...... Ironic isn't ??
One thing for sure is ....
Without a natural domestic market to absorb the output every government oriented project are bound to fail...

 

[Indos]

Budget Deficit (% of GDP). 2021 Data is real one ( not a target/projection)

2019 (2.20)
2020 ( 6.14) - Due to stimulus and Social program ( lock down) plus health spending (Respond to Covid)
2021 (4.65)

The reduction in budget deficit in 2021 is due to the increase of tax collection and other revenue post, overall government spending still increased in 2021 compared to 2020 about 7.4 %. Indonesia gov must reduce budget deficit until 3 percent in 2023 as obligated by the law.

Economic growth is expected to reach 3.7 percent in 2021 ( despite suffered from Delta variant in third quarter that force us to do semi lockdown across the archipelago)

Balance is 84 trillion Rupiah.

I hope SMI approve the budget for KF21/IFX development that is sent to Bappenas and Minister of Finance about middle of last year. We have financial capability to pay the development cost, production facility investment, and separate R&D program.

 

[Bungaterakhir]

Indonesia’s eFishery raises $90M from Temasek, SoftBank Vision Fund 2 and Sequoia Capital India
source : Link

Indonesia-based eFishery announced today that it has raised what it claims is the largest round of funding by an aquaculture tech startup in the world. The company, which provides feeding devices, software and financing for fish and shrimp farmers, got a $90 million Series C co-led by Temasek, SoftBank Vision Fund 2 and Sequoia Capital India, with participation from returning investors the Northstar Group, Go-Ventures, Aqua-Spark and Wavemaker Partners

The funds will be used to scale up eFishery’s platform and expand into the top 10 countries for aquaculture, including China and India.

eFishery’s products include software like eFarm, which lets shrimp farmers monitor their operations and eFisheryKu, which does the same for fish farmers. Its financing products include eFund, which connects fish farmers to financial institutions for products like a pay later service to buy suppliers. It says more than 7,000 farmers have used eFund so far, with total loans approved more than $28 million.

Other products include smart feeders that are now used by more than 30,000 farmers in Indonesia.

In a statement, Anna Lo, Investment Director at SoftBank Investment Advisers, said, “Indonesia is one of the world’s largest producers of fish and we believe its aquaculture industry can play a meaningful role in feeding the world’s growing population.”

Other Indonesian agtech startups that have recently raised significant rounds of funding include marketplaces TaniHub and Eden Farm, fishery “sea-to-table” company Aruna and social commerce startup Chilibeli.

Jakarta-based SME financial platform KoinWorks scoops up $108M Series C
source :Link

The round brings KoinWorks’ total raised to $180 million. Existing investors who returned for its latest round include Quona Capital, Triodos Investment Management, Saison Capital, ACV and East Ventures. The new funds will be used for hiring about 400 new employees and scaling KoinWorks’ latest suite of products, SME Neobank.

KoinWorks is headquartered in Jakarta, with holding in Singapore and tech offices in Yogyakarta, India and Vietnam. KoinWorks was originally created to help SMEs, which are often turned away by traditional financial institutions, get access to working capital. Since then, it has also developed a comprehensive platform of financial tools to help its customers, including e-commerce vendors and social commerce sellers, increase their sales.

TechCrunch first profiled KoinWorks in 2019 when it raised $12 million for its lending platform. Demand increased as more businesses went online during the COVID-19 pandemic and the startup says its user base tripled to 1.5 million customers, and a waitlist of 100,000 SMEs who are being onboarded onto its new financial software. Co-founder and executive chairman Willy Arifin told TechCrunch in an email that since 2019, monthly loan disbursements have also tripled to nearly $50 million and revenue had quadrupled.

 

[Bungaterakhir]

Aesler Group to Build A Data Center in Batam
source : Link

Jakarta, Batamnews - PT Aesler Grup Internasional Tbk and Huawei Digital Power signed an agreement on Monday, December 13, 2021, to build a data center with a capacity of 88 MegaWatt MegaDevelopment.

Citing information disclosure to the Indonesia Stock Exchange (IDX), Tuesday (12/21/2021), the Aesler Data Center will be built in a series of EcoGreen-Interconnected data centers throughout Indonesia called AESLER-GREENIX.

The AESLER-GREENIX Mark 1 will be established in the heart of Batam, 45 minutes from Singapore to become a digital bridge for international digital trade for Indonesia.

PT Aesler Grup Internasional Tbk cooperates with Huawei Green Data Center Technology using prefabricated technology and the latest artificial intelligent control system that will help transform Indonesia into the era of digital technology.

"Green Movement by AESLER-GREENIX is committed to reducing power consumption and carbon footprint as well as maximizing renewable energy and maintaining sustainable construction using recycled materials and ultimately setting the benchmark for environmentally friendly development," wrote Jang Rony, President Director of PT Aesler Grup Internasional Tbk. Juwono in information disclosure on the IDX.

He said, with a focus on eco and green energy for data center development, the company committed to becoming the largest green technology data center provider to welcome the Indonesia 5.0 digital era.

5G Mining technology to be launched in May 2022: Thohir
source : Link

Jakarta (ANTARA) - State-owned Enterprises (SOEs) Minister Erick Thohir will launch 5G Mining, a new technology in the mining sector which is developed jointly by PT Freeport and state-owned telecommunication company Telkom Group in May this year.

"Our 5G Mining will be launched in May this year, (making Indonesia) as the first country in Southeast Asia (to launch such a technology)," Erick Thohir said while delivering a keynote speech at the University of North Sumatra, Medan, on Sunday.

According to the Minister of SOEs, 5G Mining is necessary in the mining sector because it is difficult for humans to work in deep mining without the help of tools.

Hence, those working in deep mines are usually autonomous vehicles and robotics while people control those robots remotely to carry out the deep mining activities.

Previously, SOE Minister Erick Thohir said PT Freeport in collaboration with the Telkom Group would present 5G Mining technology.

Erick Thohir hoped that President Joko Widodo could be present at Freeport to inaugurate the 5G Mining technology launch, as it would be the first 5G Mining launch in Southeast Asia.

The 5G is to function to maintain operational safety, because deep mining is very challenging and it is important to protect the workers working inside the mines.

Besides, the 5G Mining will also improve integration connectivity because it applies a hyper connect network.

The technology will showcase sophistication of an autonomous car or autonomous truck.

The SOE Ministry will monitor while PT Freeport and Telkom are making preparations for the 5G Mining launch.

 

[Madokafc]

Pertamina discovers oil, gas resources in Jambi​

17th Jan 2022 13:16

Jakarta (ANTARA) - State-owned oil and gas firm PT Pertamina has discovered oil and gas reserves at the Sungai Gelam Timur exploration well-001 (SGET-001) located in Muaro Jambi District, Jambi Province.

President Director of PT Pertamina Hulu Rokan Jaffee Arizon Suardin pointed out that the well has oil reserves with a flow rate of 434 barrels of oil per day (BOPD) and gas of 0.18 million standard cubic feet per day (MMSCFD).

"The SGET-001 well was completed ahead of schedule, with the costing realization being below target," Suardin noted in a statement here on Monday.

The SGET-001 well is located around eight kilometers from the existing GS-02 production well and 14 kilometers from the Ketaling production well.

The oil and gas reserves were discovered as a result of the first drill stem test (DST#1) on the sandstone reservoir in the Air Benakat Formation at intervals of 1,622 m to 1,624 m.

The second drill stem test (DST#2) will then be continued at the intervals of 1,491 m to 1,495 m in the Air Benakat Formation.

"These efforts are part of our commitment to increasing oil and gas reserves and production in Sumatra and supporting the national target of oil and gas production," Suardin added.

Meanwhile, Head of the Special Task Force for Upstream Oil and Gas Business Activities (SKK Migas) of Southern Sumatra, Anggono Mahendrawan, lauded all parties involved in discovering oil and gas reserves in all the upstream working areas, especially in the Southern Sumatra zone.

Mahendrawan also noted that this achievement can be a source of motivation that drives the spirit of all parties, both the government and local community, to support the upstream oil and gas industry in finding oil and gas reserves more aggressively.

Related news: Pertamina wins 23 gold awards for effectively implementing ESG
Related news: 2021 oil drilling target in Rokan Block achievable: Pertamina
Related news: SOE minister asks Pertamina to increase production in Rokan Block

Translated by: Sugiharto P, Kenzu T
Editor: Sri Haryati

Pertamina discovers oil, gas resources in Jambi

State-owned oil and gas firm PT Pertamina has discovered oil and gas reserves at the Sungai Gelam Timur exploration well-001 (SGET-001) located in Muaro Jambi ...

en.antaranews.com

 

[Umigami]

Well, that's my entire point, she ignored checks and balances and instead concentrates all power on herself.

If SM wants to improve Indonesia's finances then it's good. But she doesn't stop there, she encroaches on every affair of the state by holding tight control on the budget, crossing the lines of her formal authority. So she's more powerful than other economic ministers, when the minister of agriculture apologized for Menko's blunder, she didn't, she clearly sees herself as superior to all others. Heck, she is more powerful than the President because she can tell Wowo to GTFO while Wiwi cannot do that. Again, this is my discipline, you guys might not see the problem, but it IS serious and in time it will create an unhealthy situation. Heck one ministry under one hag, manage everything from scholarship to the national defense, is she the President now? politics dictates the purse, not the other way around.

This is turn into political .... But , let me entertain you for a bit . You said she was medle on everything and anything . Yet , dude .... I say it was a matter of persfectives here . Who say she is not encouraged by jkw to do that ?? If SMI were so strong and powerfull . Trust me for saying this .... Everybody was paying for their own covid's jabs . You said that JKW was a guilible one ... Yet , when all the region's economy was slumped down ...we are running for the hill here literally . So who was the idiot in the neighbourhood then ?? .. no guilible president dare to dictates global market with our long bumipoetra wishes and whims . Not even the glorious SBY could free us from the global " free market " hypocrisy ... Yet , we are here today !! With the FIR and extradition treaty in reality and many other to come .... Heck , even arifin panigoro cs were always smiling these days .
Everybody was entitled for their opinion ... But , dude ... Election moment were still 2 years away . It's too early for the political baggage to start to appear on my cheap infinix's screen here ...


Pretty please ....

I think you two can continue here.

 

[Indos]

Southeast Asia's largest economy wants to attract 1,200 trillion rupiah (US$83.43 billion) in investment this year, from both domestic and foreign sources, up from 2021's 901.02 trillion rupiah, Investment Minister Bahlil Lahadalia told an online news conference.

Last year, Indonesia recorded 454 trillion rupiah of FDI, up 10 per cent from 2020 and representing more than half of total investment. The data excludes investment in banking and the oil and gas sectors.

"The priority focus for investment in 2022, firstly we must refer to the grand vision of our president, which is transformation and downstreaming (of natural resources)," Investment Minister Bahlil Lahadalia told a news conference.

Indonesia targets 33% jump in 2022 investment by tapping resource processing

JAKARTA: Indonesia aims to boost total investment this year by a third, bolstered by an influx of investment into its resource-processing sector, a cabinet minister said on Thursday (Jan 27), after reporting foreign direct investment (FDI) rose 10 per cent in 2021. Southeast Asia's largest...

www.channelnewsasia.com

 

[Indos]

Financially the situation is still tight, we are facing increasing Covid infection once again, this is why SMI makes another break by decreasing the spending on all Ministry in first semester until we can clearly see whether we can manage with the help of Allah to hold the infection below 10.000 cases per day.

Not to mention the budget deficit needs to reach 3 % of GDP again in 2023 after it soared to around 6 % in 2020 and around 4.6 % in 2021 to stimulate the economy and cushion the impact of semi lockdown for the last 2 years. Central Bank also must stop buying government bond starting in 2023.

And the new capital also needs funding around 3.5 billion USD for first phase (2022-2024). It hasnt yet been included in current 2022 state budget (APBN)

 

[Madokafc]

Ukraine war Made CPO prices reach all time high, so with Gas, Oil and coals prices. There is also rising prices in steel, nickel, cobalt and other. As commodity exporter country we can get more benefit with this boom

Krisis Sawit Makin Serius, 6 Pabrik Migor Tutup Total!

Perang bikin CPO jadi minyak nabati paling mahal.

www.cnbcindonesia.com

 

[Madokafc]

Hyundai electric car production line in Indonesia

 

[Var Dracon]

Hyundai electric car production line in Indonesia

View attachment 41099 View attachment 41100

Where is the location?

 

[Madokafc]

Where is the location?

Hyundai Motor Manufacturing Indonesia site in Bekasi

 

[ira_1]

Hyundai Motor Manufacturing Indonesia site in Bekasi

Greenland International Industrial Center (GIIC) - Kota Deltamas.
Same location as Wuling, Mitsubishi and Suzuki.

 

[schuimpjes]

Hyundai electric car production line in Indonesia

View attachment 41099 View attachment 41100

Expect Arsjad Rasjid’s Indika and Foxconn (company that makes Apple products) investment on EV production next.

 

[Umigami]

Indonesia's Pertamina considers buying crude from Russia -CEO

Indonesian state energy firm PT Pertamina (PERTM.UL) is considering buying crude oil from Russia as it seeks oil for a newly revamped refinery, chief executive officer Nicke Widyawati said on Monday.

www.reuters.com

Let's see if this can go through or not.

 

[Lordimperator]

Indonesia's Pertamina considers buying crude from Russia -CEO

Indonesian state energy firm PT Pertamina (PERTM.UL) is considering buying crude oil from Russia as it seeks oil for a newly revamped refinery, chief executive officer Nicke Widyawati said on Monday.

www.reuters.com

Let's see if this can go through or not.

"Politically, there's no problem as long as the company we are dealing with was not sanctioned. We have also discussed the payment arrangement, which may go through India," she told parliament members

Which Russian company?

 

[Nilgiri]

"Politically, there's no problem as long as the company we are dealing with was not sanctioned. We have also discussed the payment arrangement, which may go through India," she told parliament members

Which Russian company?

I know India (IOCL) buys from Vitol (which buys from Rosneft and gazprom iirc).

Other option for is to buy from the Indian state oil company (IOCL)....or similar mechanism from refiner there.

Sanctions Drive Russian Oil into the Shadows

Sanctions may have knocked out 2 to 3 million b/d of Russian oil, but export flows are shifting. Some of Russia’s oil will be redirected or “go dark.” The pressure for full sanctions on Russian energy exports is likely to grow, perhaps in a phased-in process.

www.csis.org

But energy trade with most Russian entities remains legal, and companies will gradually adjust to sanctions. Some of Russia’s oil exports will be lost, but much will be redirected. Refiners in India, China, and other markets will buy deeply discounted oil from Russia, and commodity traders will hold oil in storage and sell volumes to third-party buyers.

 

[R4duga]

Papua New Guinea prime minister visit jokowi to increase economic and military cooperation.

https://setkab.go.id/pernyataan-per...enan-bogor-provinsi-jawa-barat-31-maret-2022/

First, we welcome the increase in trade between the two countries in 2021, which rose by 87 percent compared to the previous year or higher than the trade value before the pandemic. This provides hope and optimism for the post-pandemic economic recovery, and I believe there is still much room for improvement. For this reason, Indonesia is also ready to reopen the border with Papua New Guinea to restore cross-border trade and the economic pulse of the people living in border areas. In terms of trade and investment, I also welcome the launch of a feasibility study for the establishment of a preferential trade agreement between Indonesia and Papua New Guinea.

I also view the importance of establishing a bilateral investment agreement to facilitate and provide security for investors from both countries. In this regard, I have assigned the Minister of SOEs, the Minister of PUPR, the Minister of Energy and Mineral Resources, and the Minister of Trade together with the KADIN delegation and Indonesian businessmen to undertake a trade and investment mission in PNG in the near future.

Second, we also exchanged views on the importance of strengthening connectivity between the two countries both on land, at sea and in the air. Also, I hope that there will be opportunities for Indonesian construction companies to build connectivity and infrastructure facilities in Papua New Guinea.

Third, in the field of defense. I hope that the implementation of the cooperation agreement in the defense sector will open up more opportunities for military cooperation between the two countries. This includes the potential for cooperation covering the Indonesian defense industry.

here i present some clown statement.

https://twitter.com/i/web/status/1510163697154785281

 

[Madokafc]

Inalum, EGA sign MOU on production expansion strategy cooperation​

4th April 2022



Signing of MOU between Inalum and EGA in Abu Dabi, the UAE, April 2022. (ANTARA/HO-Inalum)

Jakarta (ANTARA) - State-owned aluminium company PT Indonesia Asahan Aluminum (Inalum) and the United Arab Emirates' largest aluminium company Emirates Global Aluminum (EGA) signed a memorandum of understanding (MoU) on production expansion cooperation.

The strategic cooperation agreement was inked at the Dubai Expo in Abu Dhabi, the United Arab Emirates (UAE), on March 31, 2022.

Inalum President Director Hendi Prio Santoso, in a statement on Monday, stated that the signing was a strategic step for the company to expand aluminum production to 400 thousand tons per year by 2024 as well as to encourage integrated and sustainable downstreaming of the aluminum industry.

"We believe that this collaboration will lead to a renewal, thanks to the application of modern smelting technology owned by EGA at Inalum. We also look forward to other great achievements with EGA in the aluminum industry ecosystem in Indonesia, both the existing and new projects in the future," he remarked.

In line with the MOU, Inalum and EGA will conduct a feasibility study on the use of EGA technology at the Inalum Kuala Tanjung smelter in North Sumatra to increase production to 400 thousand tons per year.

The agreement also mentions exploring EGA's investment to improve the supply chain of the aluminum industry. The MoU is also expected to explore new potentials in the aluminum processing industry sector that has not yet been developed in Indonesia.

EGA is a world-class aluminum smelting and processing company that has developed its own technology in aluminum smelting.

Meanwhile, Inalum is committed to undertaking strategic project development initiatives for the aluminum industry, including the reduction furnace technology improvement project, optimization of the Kuala Tanjung aluminum smelter, the smelter-grade alumina refinery project in Mempawah, and the construction of the Remelt IAA aluminum.

Related news: PT Inalum proposes downstreaming policy integration at hearing

Given the huge potential of the aluminum market share, both domestically and regionally, Inalum continues to strive to realize the development of a national aluminum industry cluster and collaboration with PLN to create energy availability in North Sumatra.

EGA President Director Abdulnasser bin Kalban noted that the agreement further deepens the company's cooperation with Inalum, which is based on the potential use of EGA technology in several development projects in Indonesia.

"Our goal is to expand our position as the technology provider of choice in our industry, developing revenue streams for EGA from technology licensing and possible further opportunities while strengthening the relationship between the two countries," Abdulnasser affirmed.

Related news: PT Inalum distributes 10,000 school uniforms



Reporter: Fardah Assegaf
Editor: Rahmad Nasution
COPYRIGHT © ANTARA 2022

 

[Madokafc]

Minister confirms Jabodetabek LRT soft launch on August 17​

1st April 2022



Coordinating Minister for Maritime Affairs and Investment Luhut Binsar Pandjaitan (second left) with Deputy Minister of State-Owned Enterprises Kartika Wirjoatmodjo (left) and Transportation Minister Budi Karya Sumadi (second right) after visiting the Jabodetabek LRT Depot in East Bekasi, Friday, April 1, 2022. (ANTARA/Ade Irma J/rst)

Jakarta (ANTARA) - Coordinating Minister for Maritime Affairs and Investment Luhut Binsar Pandjaitan affirmed that the initial launch of the Jabodetabek LRT will be conducted on August 17, 2022, in commemoration of Indonesian Independence Day.

"We hope the soft launch of the LRT on August 17 would be a gift for the country," he noted during his visit to the Jabodetabek LRT Depot in East Bekasi, Friday.

During the brief visit, Pandjaitan was accompanied by Minister of Transportation Budi Karya Sumadi, Deputy Minister of State-Owned Enterprises Kartika Wirjoatmodjo, representatives from the Ministry of Finance, as well as SOEs involved in the project: KAI, Adhi Karya, INKA, and LEN.

Pandjaitan ensured that the Jabodetabek LRT construction project was going well. Despite a collision incident in October 2021, the minister noted that it was natural for such occurrences to take place during trials.

"I think the small incident is normal during the trial. However, we have perfected the software, and it is going well," he stated.

The minister also confirmed that no problems and obstacles were found during the completion of the mass transportation mode, in terms of finance, technology, and construction.

"I did not see any problems. At that time, it was the most difficult for us to manage this land acquisition. Now, thank God, it is completed," Pandjaitan remarked.

Based on the schedule, the minister stated that the Jabodetabek LRT would become fully operational in September 2022. Later, the Jabodetabek LRT will be integrated with other transportation modes.

Related news: PT KAI lays out Jabodebek LRT operational plans

"That way, we build a really sophisticated intermodal transportation system. In the past few years, it has become our work to make it integrated," the minister affirmed.

Based on the records of the Directorate General of Railways of the Ministry of Transportation, as of March 25, 2022, the work to construct phase 1 of the Jabodetabek LRT had reached 90.2-percent completion. In detail, work on the Cawang-Cibubur track was 94.6-percent complete, the Cawang-Dukuh Atas route was 89.6-percent complete, while work on the Cawang-Bekasi Timur track was 87.6-percent complete.

Related news: KAI targets Jabodebek LRT to become operational in August 2022


Reporter: Ade Irma J, Resinta S
Editor: Rahmad Nasution
COPYRIGHT © ANTARA 2022