Infrastructure & Politics (3): Electricity
Most people are focused on progress of Jokowi’s ambitious 35,000 MW program. Opponents will exploit the fact that only 3.9% or 1,358 MW have entered commercial operation. Nearly half or 17,116 MW are in the construction phase, where some might enter commercial operation this year, including two wind farms with combined capacity of 150 MW in South Sulawesi province.
Infrastructure & Politics (2): Mass Transportation
The first modern train system connecting Soekarno-Hatta international airport and the city center has been operational, even though it is not fully completed, pending completion of Manggarai station. There were also some operational issues here and there. The first modern skytrain connecting terminals at the airport has also been operational, but with some issues as well.
Infrastructure & Politics (1): Dam & Toll Road
Proper handling of accidents in the construction of some infrastructure projects managed to shift people’s attention back to progress report. Construction works have been resumed at most of the projects, ensuring their completion as scheduled, which is key to Jokowi’s reelection campaign.
More Foreign Investments in Indonesian Property (2)
SGX-listed property company, through its newly established joint venture company, has on Friday (Mar 2) signed an agreement with PT KPI to purchase 929 sqm of land at Jl R.A. Kartini No. 18, TB Simatupang area, South Jakarta. In the same area, the joint venture has acquired 6,527 sqm of land for a mixed use development.
Encouraging Signs: Bali Tourism Recovery
Indonesia welcomed 1.04 million visits of foreign tourists in January 2018, down 6.17% year-on-year and 9.36% from December 2017. Year-on-year fall was attributable to 24.3% decline of visitors entering Ngurah Rai airport in Bali Island. Still, Bali Island recorded improvements month-on-month.
Encouraging Signs: Infrastructure
The government has resumed physical construction of 34 out of 37 infrastructure projects previously suspended following series of work accidents. These include three light-rail transit (LRT) projects (Palembang, Greater Jakarta, and Jakarta) and Jakarta-Cikampek elevated toll road. There are also encouraging signs from the development of some international airports.
Cartoon Network Theme Park in Indonesia?
Some believe Indonesia will be the next hot theme park destination. The largest engineering, procurement, and construction (EPC) contract for theme park project was granted in mid 2016 by MNC Land (KPIG) to China Metallurgical Corp (MCC) for the development of US$1 billion theme park-cum-resort in Lido, West Java province.
Jokowi’s Food Policies (2)
Most agree that a country as big as Indonesia needs to grow its domestic capacity for carbohydrate, protein, and fats. Despite efforts to achieve self-sufficiency in rice (carbohydrate), Indonesia’s import of wheat steadily grows with changing lifestyle. As of today, the country relies heavily on import to meet its demand for protein and fats (from animal). Policies meant to grow domestic supply of protein and fat (including milk) have, by far, failed to serve the long-term target.
Jokowi’s Food Policies
Keeping food prices low is key to maintain low inflation rate. Promoting domestic production and self-sufficiency of agricultural products are also understandable in the context of Jokowi-Kalla’s nationalism approach. In the eyes of investors in food and beverage sector, however, these policies might be moving to the wrong direction. Really?
South Korea Heats Up Property Market
Japan might be the most aggressive foreign investor in the country’s property market. South Korea and China, however, are players deserved watching because of their growing investments in manufacturing, logistics, construction, mining, energy, forestry, and agriculture.