Category: Business

The Financial Services Authority (OJK) plans to issue new regulation about minimum equity of banks, which could accelerate consolidation in the industry in the next few years. Some small banks have been acquired by major or new investors, including fintech players, in the past few years.

Maha Properti Indonesia (MPRO), the Company owned by conglomerate Dato Sri Tahir, aborted its plan to buy 49.9% of the subsidiaries of Benny Tjokrosaputro’s Hanson International (MYRX) and Rimo International Lestari (RIMO). The decision was made after the tycoon become a bribery suspect of state-owned’ PT Asuransi Jiwasraya. 

Bank Indonesia (BI) ’s recent survey indicated that Indonesia’s economy could grow 5.07% this year, higher than 5.04% last year. The forecast is in line with the expected improvement of the global economy and a growth in investment

World stocks traded just below record highs on Monday (Jan 20), pausing ahead of this week’s central bank meetings, economic data, and earnings data. Meanwhile, oil prices rose to their highest in over a week after blockades began shutting down two Libyan oil fields, Reuters reported

Petrochemical producer Chandra Asri (TPIA) considers releasing as many as 7.17 billion shares this year to finance its business expansion. At the current price Rp9,500 a share, Chandra Asri could reap Rp68 trillion (US$4.86 billion). The Company would use the funds to construct a new petrochemical complex owned by its unit, PT Chandra Asri Perkasa, in Cilegon, West Java. The new project is estimating need investments of Rp80 trillion (US$5 billion). Besides the rights issue, Chandra Asri also seeks a strategic investor to fund the project.

The Financial Services Authority (OJK) has set the country’s banking loans to grow around 11% this year with a non-performing loan (CPL) ratio expected to remain low. OJK chairman Wimboh Santoso said the target was above 6.08% realization last year, but smaller than the 11.8% recorded in 2018.

Global stock markets gained on Friday last week (Jan 17) supported by positive economic data, also progress in trade issues. In New York, investors are looking beyond fourth-quarter results at what companies may say about outlooks and plans for investment in light of the recently signed Phase 1 trade deal between Washington and Beijing.

State construction firm PT PP (PTPP) has signed a contract with China Aluminium International Engineering Corporation Ltd. (Chalieco) for building smelter grade alumina (SGA) refinery with a capacity of one million tpa owned by PT Borneo Alumina Indonesia, a joint venture (JV) entity between PT Inalum and Aneka Tambang (ANTM), located in Mempawah, West Kalimantan.

Global stock markets gained on Thursday (Jan. 16) in the wake of Wednesday’s China trade deal. The Senate approved President Donald Trump’s U.S.-Mexico-Canada free trade agreement, handing the president a major political win on the same day senators were sworn in as jurors in his impeachment trial, Bloomberg reported.