Indonesian Economy News and Updates

Umigami

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The more not so good news is Indonesia actually must to restituted at least 27 trillion rupiah against tax payer because loosing in the court, last year
And now the video is gone!
I wonder why 🤷‍♂️🤣🤣
 

HTurk

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I, too, believe that this thread about the Indonesian economy is a tad too positive.

It can't go all in the right direction, that's not realistic. For instance, if you compare Vietnam to Indonesia, you'll see how slow and ponderous the Indonesian economy actually is. Vietnam is much more dynamic, agile and active. It's much more involved in the global environment.

I don't understand why Indonesia is comparatively 'slower' than Vietnam. Is it because you're a nation consisting of many islands which are not always super connected to each other?

Anyways, I wish only the best for my Indonesian friends.
 

AlphaMike

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I don't understand why Indonesia is comparatively 'slower' than Vietnam. Is it because you're a nation consisting of many islands which are not always super connected to each other?
Not pro business policy...before omnibus law, if a company decide to fire its workers they have to pay a huge sum of money ( equal to 32 months pay ) iirc.

maybe @Indos could explain more
 

Indos

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I, too, believe that this thread about the Indonesian economy is a tad too positive.

It can't go all in the right direction, that's not realistic. For instance, if you compare Vietnam to Indonesia, you'll see how slow and ponderous the Indonesian economy actually is. Vietnam is much more dynamic, agile and active. It's much more involved in the global environment.

I don't understand why Indonesia is comparatively 'slower' than Vietnam. Is it because you're a nation consisting of many islands which are not always super connected to each other?

Anyways, I wish only the best for my Indonesian friends.

Vietnam FDI is still lower than Indonesia though. Actually IMF has projected Indonesia to reach 5.9 % growth next year, that is a good growth already.

Vietnam geographical location is very attractive since it is next to China and it is also ruled by authoritarian administration, basically their labor union is not as powerful in Indonesia. Their economy growth is related to China fast economic growth for the last 3 decades, and also Samsung from Korea use Vietnam as the production base of handphone. Their export relies on Samsung products which are made in Vietnam.

Omnibus Law that is passed in early 2021 is great actually, many economist think highly on Indonesia currently due to that structural reform. Recent IMF projection, just release Yesterday put Indonesia economic growth at 5.9 percent in 2022, which is a good growth already.

Many who understand Indonesian economy is in positive sentiment now and Rupiah is expected to be the best Asia currency in this year due to that positive sentiments and economic fundamental. The currency perform better than many Asian currencies this year. Today the world has also seen the importance of basic energy commodities like gas, oil, and coal.

Despite we are net oil importer, we get less impact on oil price surge compared to other nations like China and India. We have many coal and we are net gas exporter despite not included in top ten gas exporter, but it shows Indonesia has capability to secure its energy needs. We will likely be seen as more interesting place to be manufacturing base of MNC products after what happen with commodity price surge which is then followed by energy shortage in big economies like Europe, China, and India. And the fact that we dont have winter and sun shines whole year shows our potential in getting electricity through solar panel in the future.

This is residential in South Jakarta, large majority live in houses which means potency to put solar panel on the roof top


 
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Madokafc

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I, too, believe that this thread about the Indonesian economy is a tad too positive.

It can't go all in the right direction, that's not realistic. For instance, if you compare Vietnam to Indonesia, you'll see how slow and ponderous the Indonesian economy actually is. Vietnam is much more dynamic, agile and active. It's much more involved in the global environment.

I don't understand why Indonesia is comparatively 'slower' than Vietnam. Is it because you're a nation consisting of many islands which are not always super connected to each other?

Anyways, I wish only the best for my Indonesian friends.

In my opinion this "slowness" is more of lack of exposure compared to Vietnam as media darling of western countries right now to counter China rise. Jakarta actually doing okay and in some cases is outperform their peer in many indicator of economy and society perks.
 

satria

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SOE 'Sick' no more national capital participation

President Joko Widodo (Jokowi) gave several directions to SOE Minister Erick Thohir. One of the directives is not to pamper ailing SOEs with state capital participation (PMN).

Jokowi said that since 7 years ago, he had instructed to merge, consolidate and reorganize SOEs, which at that time were considered too many.

"There are 108 (BUMN), now it has dropped to 41. This is a very good foundation and the clustering is also good. The most important thing in the future that we build is values, core values," Jokowi explained when giving directions to the Directors The main SOEs are in Labuan Bajo, West Manggarai Regency, as quoted in the Presidential Secretariat Youtube show, Saturday (16/10/2021).

Not only about PMN, here are a number of Jokowi's frustrations with the management of SOEs.

more...

 

WidjojoNitisastro295

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SOE 'Sick' no more national capital participation

President Joko Widodo (Jokowi) gave several directions to SOE Minister Erick Thohir. One of the directives is not to pamper ailing SOEs with state capital participation (PMN).

Jokowi said that since 7 years ago, he had instructed to merge, consolidate and reorganize SOEs, which at that time were considered too many.

"There are 108 (BUMN), now it has dropped to 41. This is a very good foundation and the clustering is also good. The most important thing in the future that we build is values, core values," Jokowi explained when giving directions to the Directors The main SOEs are in Labuan Bajo, West Manggarai Regency, as quoted in the Presidential Secretariat Youtube show, Saturday (16/10/2021).

Not only about PMN, here are a number of Jokowi's frustrations with the management of SOEs.

more...
How about Garuda (airline)? Hear there are a lot of inefficiency there. Do the govt would put them to IPO (with the govt/Holding SOE still hold the veto) or what? May you can answer @Indos
 

WidjojoNitisastro295

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Vietnam geographical location is very attractive since it is next to China and it is also ruled by authoritarian administration, basically their labor union is not as powerful in Indonesia. Their economy growth is related to China fast economic growth for the last 3 decades, and also Samsung from Korea use Vietnam as the production base of handphone. Their export relies on Samsung products which are made in Vietnam.
And also when US-China trade war, many Chinese companies that doing trade with US were/are move to Vietnam to evade the tarrif. What a bless for Vietnam since a lot of capitals/investments come to them.

Edit : many companies are willing to move back to China tho wkwk. Pandemic in Vietnam are messing their production, but I think, post-pandemic will be good again.
 
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