President Joko ‘Jokowi’ Widodo has inspected progress of physical construction of Bogor-Ciawi-Sukabumi (Bocimi) toll road this morning. Section I (15 KM) of the 54-KM toll road project, which has been delayed for two decades, is on schedule for commercial operation next year.
Read MoreOn June 15, 2016, the panel of judges of the Corruption Court at the Central Jakarta District Court read the verdict on the case of the 4 ex-leaders of the North Sumatera Representative Council (DPRD) who were arrested for accepting bribes from the disgraced Governor of North Sumatera Gatot Pujo Nugroho. Investigation into this graft case, however, will continue. The next day, the Corruption Eradication Commission (KPK) named 7 suspects in the same case.
Read MoreGold price went down 0.22% to US$1,289.20 per troy ounce Tuesday, along with the gaining momentum for campaign on Britain to remain in the European Union. Gold price fell as investors’ appetite assets seen as higher risk is sharpening. This is also sparking a sharp rally in global stocks. In near term, gold price would fluctuate.
Read MoreThe process of Suspension of Debts Payment (PKPU) currently undertaken by PT Brent Ventura continues. The Company will reportedly offer the option of selling its assets and collection of accounts receivable in the peace proposal. But there has not been any definite offer. The Company is required to immediately send their peace proposal before the scheduled discussion with creditors takes place on July 18, 2016.
Read MoreThe central bank (Bank Indonesia/BI) expects Indonesia’s economic growth in the second quarter of 2016 to improve slightly to 4.9-5% (y/y) compared to the 4.92% (y/y) GDP growth realization in the first quarter of the year. Regarding growth in full-year 2016, BI remains optimistic that a 5.4% growth pace can be achieved supported by a looser monetary policy (that should boost demand for credit).
Read MoreBHP Billiton, one of the largest coal producers, has decided to sell its metallurgical coal assets in Indonesia to local partner Adaro Energy (ADRO) following a strategic review. The divestment, however, doesn’t change BHP Billiton’s outlook of coal for both thermal and metallurgical coal.
Read MoreThe State’s delayed capital injection of Rp34.13 trillion into 23 state companies, of which almost one-third would go to state electricity provider PT Perusahaan Listrik Negara (PLN), might be the most interesting investment story to watch. Discussions, in the absence of state-owned enterprises minister Rini Soemarno, in the House of Representatives (DPR) have been started in the context of amendment of 2016 Budget.
Read MoreIn line with other Asian assets, Indonesian stocks and the rupiah strengthened on Monday (June 20) as falling odds of a “Brexit” boosts risk appetite. Voters in the United Kingdom will decide in a referendum on Thursday (June 23), whether or not to remain part of the European Union (EU). An exit of the UK from the EU (the so-called “Brexit”) is expected to cause a major global shock and flight to safety.
Read MoreTempo Magazine’s latest publication is the talk of the town. For their edition this week, the famed weekly published a series of articles in their main reportage section that are focused on the allegation that property developers had contributed cash money for the establishment of Teman Ahok. Let’s go over what Tempo wrote, and then talk about implications.
Read MoreThe House of Representatives (DPR) has one more of week before they enter their recess period on June 28—deliberation session will recommence on July 18, 2016. The clock is ticking for the passage of the Tax Amnesty Bill; the passage of which will determine the passage of the revised 2016 budget (RAPBN-P). Fortunately, there has been any shift of political constellation in the DPR. The majority of political parties still support the passage of the Bill. But why haven’t they done so? Is the delay anyway related to the possibility of a cabinet reshuffle?
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