Indonesia News Gazette

Jakarta (ANTARA) – The Indonesian government has issued sharia sovereign bonds (SBSN) to the tune of Rp1,810.02 trillion (US$124.49 billion) between 2008 and June, 2021, Finance Minister Sri Mulyani Indrawati has said.

“From year to year, sharia sovereign bonds have continued to develop and play an increasingly important role in financing the state budget,” she noted at the International Conference of the National Committee for Sharia Economy and Finance (KNEKS), held virtually from Jakarta on Thursday.

The contribution of sharia sovereign bonds to the financing of the state budget swelled to Rp360 trillion in 2020 from Rp4.7 trillion in the early days of their issuance in 2008, the minister disclosed.

Sharia sovereign bonds contribute 20-30 percent to the issuance of government debt securities (SBN) every year, Indrawati said.

As of July 1, 2021, the total outstanding sharia sovereign bonds have reached Rp1,075.83 trillion (US$73.99 billion), or 19 percent of the total outstanding government debt securities, she added.

She said individual investors’ ownership of sharia sovereign bonds grew to Rp46.48 trillion in June, 2021 compared to Rp22.7 trillion in 2008.

Sharia sovereign bonds have also served as a very stable instrument trusted by both domestic and foreign investors, she noted. Sharia sovereign bonds have also played a role in deepening the financial market, expanding the investor base, and setting an example of safe investment instruments, the minister noted.

To that end, Indrawati said she is committed to continuously developing the market for sharia sovereign bonds, including developing products to meet different needs of investors.

The products include retail sharia bonds, sharia savings, sharia global bonds, project financing-linked sharia bonds, Cash Waqf Linked Sukuk (CWLS), and asset underlying sharia bonds, she informed.

“The various efforts will hopefully offer alternative instruments to domestic investors and deepen the financial market, particularly the sharia sovereign bond market,” she remarked.

 

Source: Antara News

Jayapura, Papua (ANTARA) – The Papua Legislative Council (DPRP) has welcomed a bill enacted by the House of Representatives (DPR) to amend the Papua Special Autonomy Law No.21 of 2001 and expressed the hope it accommodates native Papuans’ interests.

The legislation would, hopefully, no longer trigger confusion and turmoil among native Papuan communities, the council’s deputy speaker I, Yunus Wonda, said in Jayapura, the capital of Papua province, on Thursday.

“In the future, we are again handing over the aspirations of native Papuans so that they can be reviewed for this enacted legislation,” he remarked.

Therefore, despite the fact that the bill has been passed into law, the possibility of proposing an amendment to the enacted legislation would remain open in the future, Wonda said.

As the Papuans’ representative, the DPRP hopes that more Papuans would become involved in the legislation process to prevent turmoil among communities, which can give rise to new conflicts, he said.

On Thursday, after several months of deliberation, the DPR passed the bill amending the Papua Special Autonomy Law No. 21 of 2001 into law at a plenary session.

“It is a long-awaited bill for our brothers and sisters in Papua,” House Speaker Puan Maharani said in a press statement that ANTARA received prior to the convening of the plenary session.

ANTARA has earlier reported that the Papua Special Autonomy Law No. 21 of 2001, which has been in force for nearly two decades, was set to expire by November this year.

The special autonomy law has paved the way for a significant amount of funds to flow into Papua and West Papua.

Home Minister Tito Karnavian had said earlier that the provision of special autonomy funds must be extended for the two provinces by two more decades to boost sustainable development.

“The special autonomy funds are so indispensable. More than 60 percent (of Papua’s budgetary sources) are also obtained from the funds,” Karnavian stated during a hearing with the House’s Papua Special Autonomy Fund Committee on June 24, 2021.

However, the allocation of the special autonomy funds was set to end with the expiry of the Papua Special Autonomy Law No. 21 of 2001 in November this year, according to the minister.

Hence, Karnavian had called for an immediate extension of the funding allocation by two more decades.

The Indonesian government is planning to increase the amount of special autonomy funds from 2 percent to 2.25 percent of the General Allocation Funds (DAU), he pointed out.

The government’s plan has intentionally been incorporated in the bill for amending the Papua Special Autonomy Law No. 21 of 2001, Karnavian stated.

The special autonomy funds, which the central government plans to increase, will not be completely offered in the form of a block grant, he revealed.

Several parties in Papua have suggested that 1 percent of the funds be provided in the form of a block grant, while the remaining 1.25 percent be offered in the form of an earmarked specific grant, he stated.

The request for an earmarked specific grant for public services will be determined by the central government to optimize sustainable development and boost Papuans’ prosperity, he remarked.

 

Source: Antara News

Jakarta (ANTARA) – The number of Indonesians living in poverty fell by 0.01 million to reach 27.54 million in March, 2021 from 27.55 million in September, 2020 as several economic sectors recovered, the Central Statistics Agency (BPS) said.

Accordingly, the poverty rate dropped to 10.14 percent in March, 2021 from 10.19 percent in September, 2020, BPS chief Margo Yuwono said at an online press conference in Jakarta on Thursday.

However, compared to March, 2020, the number of poor increased by 1.12 million in March, 2021, he added.

The number of poor in urban areas rose by 138.1 thousand to 12.18 million in March, 2021 from 12.04 million in September, 2020, he disclosed.

Consequently, the poverty rate in urban areas increased by 0.01 percent to 7.89 percent in March, 2021 from 7.88 percent in September, 2020, he noted.

In contrast, the number of poor in rural areas fell by 145 thousand to 15.37 million in March, 2021 from 15.51 million in September, 2020, Yuwono said. Thus, the poverty rate in rural areas fell by 0.10 percent to 13.10 percent in March, 2021 from 13.2 percent in September, 2020, he added.

He attributed the drop in the number of poor people in rural areas to the success of various development programs, including village fund disbursement.

The government managed to implement a poverty alleviation program by controlling the prices of commodities consumed very much by the poor, including rice, he added.

The increase in the price of rice contributed the most to the poverty rate, he pointed out. The contribution was recorded at 20.03 percent in urban areas and 24.06 percent in rural areas, he said.

According to the BPS, monthly per capita income stood at Rp472,525 in March, 2021, an increase of 2.96 percent compared to September, 2020 and 3.93 percent compared to March, 2020.

Citizens whose spending falls below the poverty line are classified as poor, Yuwono explained.

The greatest contributor to the poverty line has been the food sector, recorded at 73.96 percent, he added.

 

Source: Antara News

Jakarta (ANTARA) – Head of the Central Statistics Agency (BPS) Margo Yuwono  said Indonesia’s export performance in 2021 has been very promising, with shipments of goods in June, 2021 reaching US$18.55 billion.

“During 2021, our exports are very promising, even compared to the 2020 and 2019 periods,” he remarked at an online press conference originating from here on Thursday.

The value of exports in June, 2021 reflected an increase of 9.52 percent compared to the previous month and 54.46 percent compared to the year-ago period, he informed.

Yuwono said non-oil and gas exports in June, 2021 reached US$17.31 billion, up 8.45 percent compared to May, 2021 and 51.35 percent compared to June, 2020.

Exports of iron and steel recorded the largest increase of 32.31 percent to reach US$486.4 million, he added.

Cumulatively, the value of Indonesia’s exports in January-June, 2021 reached US$102.87 billion, an increase of 34.78 percent compared to the corresponding period of 2020, Yuwono said. Meanwhile, non-oil and gas exports also rose by 34.06 percent, or as much as US$97.06 billion, he added.

By sector, non-oil and gas exports from the processing industry increased by 33.45 percent year on year in January-June 2021, he said. Meanwhile, exports of agricultural products also increased by 14.05 percent, while exports of mining and other products recorded an increase of 41. 21 percent, he added.

Exports to China, valued at US$4.13 billion, followed by the United States (US$2.14 billion) and Japan (US$1.36 billion) comprised the largest non-oil and gas exports in June, 2021, with the three nations accounting for 44.09 percent of exports, he said.

Exports to ASEAN countries and 27 countries in the European Union were recorded at US$3.59 billion and US$1.44 billion, respectively, he added.

 

Source: Antara News

Jakarta (ANTARA) – Finance Minister Sri Mulyani Indrawati has said the government’s COVID-19 Handling and National Economic Recovery (PC-PEN) program has succeeded in protecting vulnerable groups amid the pandemic.

“The social protection program under PC-PEN has protected the most vulnerable groups,” Indrawati told a parliament plenary session as she presented a draft law on state budget 2020 accountability here on Thursday.

Among the programs that have supported this achievement are the improvement in the Pre-employment Card program, electricity tariff cuts, and tax incentives for micro-, small- and medium-scale enterprises, she said.

The minister said her evaluation was based on surveys conducted by several government institutions, such as the National Team for Acceleration of Poverty Eradication (TNP2K), as well as institutions outside the government, such as PROSPERA, the Institute for Economic and Social Research (LPEM) of the University of Indonesia, the Demographic Institution, and the World Bank. The PC-PEN program, she said, has helped restrain a sharp increase in poverty rate in 2020 that has reached 10.19 percent, slightly higher than 9.22 percent in 2019.

“In 2020, the number of open unemployment could be withheld at 7.07 percent, although it recorded a slight increase compared to 5.23 percent in 2019,” she added.

Indonesia’s Human Development Index, on the other hand, increased to 71.94 in 2020 compared to 71.92 percent in 2019, she noted.

According to Indrawati, PC-PEN has been quite responsive in handling any shocks in the wake of the COVID-19 pandemic.

“The PC-PEN has effectively restrained deterioration and maintained durability amidst the remarkable pressure (of COVID-19),” she said.

 

Source: Antara News

Jakarta (ANTARA) – Foreign investors have shown interest in investing US$16 billion in Indonesia, the Indonesia Investment Authority (INA) has revealed.

“Foreign investors, who have been frequently invited to talk until now and have collaborated with INA or have shown interest, are those from the Government to Government relationship, which we may have often heard, namely from the United Arab Emirates (UAE) US$10 billion, then from the Japan Bank for International Cooperation (JBIC) US$4 billion, and the United States International Development Finance Corporation (DFC) US$2 billion,” INA chief risk officer Marita Alisjahbana said at an online seminar during the 2021 Investor Daily Summit, originating from here on Tuesday.

There are also global financial investors and foreign corporations that are looking to invest in Indonesia, while domestic players who have evinced such an interest include BPJS Employment, Taspen and others, she added.

INA has signed a memorandum of understanding (MoU) with three foreign investors for the toll road platform, she informed.

“There has been a signing of an MoU in which INA has succeeded in inviting three foreign investors, namely the Abu Dhabi Investment Authority (ADIA) of the United Arab Emirates, APG Asset Management (APG) of the Netherlands, and Caisse de dépôt et placement du Québec (CDPQ) Canada for the toll road platform, (which will require an investment of) as much as US$3.75 billion,” she elaborated.

Of the US$3.75 billion, US$750 million will be invested by INA, while each of the foreign investor partners will provide US$1 billion each, she disclosed.

“After the signing of the MoU, the next step is to carry out due diligence so that the transaction can be completed,” she said.

Earlier, Deputy Minister of SOEs, Kartika Wirjoatmodjo, said the government is targeting investment opportunities in three infrastructure sectors — toll roads, seaports, and airports — through INA.

She cited the Trans Java and Trans Sumatra toll road projects as examples. The two toll road projects are operated by three main state-owned toll road operators: PT Waskita Karya, PT Jasa Marga, and PT Hutama Karya.

The government and INA are currently discussing the first 24 lists of toll road concessions with an equity opportunity of around Rp34 trillion, she said.

Meanwhile, four projects are in the pipeline, namely the Belawan Container Port in Medan, CT2 and CT3 in Kalibaru, Jakarta, Teluk Lamong in Surabaya, and the New Port of Makassar, she added.

The government is also collaborating with INA, also known as the Sovereign Wealth Fund (SWF), to bring in new partners for the development of several airports, she said.

Source: Antara News

Jakarta (ANTARA) – All stakeholders believe that implementing e-government (SPBE) will be key to efficient, high-quality, transparent, and accountable public services by making use of efficiently integrated data from both central and regional governments.

The belief was affirmed at the second day of the Satu Data Indonesia WebSummit on e-government for national economic recovery. The WebSummit, held virtually and saw 1,400 participants in attendance, presented Chief of Presidential Staff General TNI Purn. Dr. Moeldoko, Minister of National Development Planning/Head of Bappenas Dr. Ir. H. Suharso Monoarfa, Minister of Administrative and Bureaucratic Reform H. Tjahjo Kumolo, SH., and Indonesian Ambassador to the People’s Republic of China and Mongolia Drs. Djauhari Oratmangun as keynote speakers.

Kicking off the second day of the WebSummit, Chairman of the Indonesian Big Data Association (ABDI), Dr. Rudi Rusdiah M.A, revealed that the e-government infrastructure – which is due in 2021 according to the government’s timeframe – is facing diverse challenges that require solutions from stakeholders. He called for the involvement of ICT providers such as Huawei, XL Axiata, BigBox, and other technology developers to create efficiencies in the implementation of SPBE.

“We hope that Huawei Indonesia and other technology providers’ support will accelerate the integration of the many siloed and scattered data centers. We also expect the right ICT solutions to help the government answer various challenges with regard to the construction of e-government infrastructures such as IT budget savings, utilization, capacities, scalability, and standardization demands as stipulated in the regulations,” said Dr. Rudi.

Considering the increasingly critical role played by e-government and national data integration, Chief of Presidential Staff General TNI Purn. Dr. Moeldoko conveyed his appreciation for the Satu Data Indonesia WebSummit as initiated by ABDI and supported by technology providers and industry players including Huawei, XL Axiata, BRI, Telkom Indonesia, and other companies.

“E-government and integrated data management using the most advanced technologies as dictated by the Satu Data Indonesia policy becomes a necessity to realize the great vision of an Advanced, Innovation-Based Indonesia. This will also navigate important decision- and policymaking to lay the bedrock for efficient, effective, and accountable governance as well as public services,” said Dr. Moeldoko.

He further said such initiatives not only increased the government’s data integrity and pushed for the betterment of public services, but also acted as a momentum for all stakeholders, including the private sector, to reaffirm their commitment towards the leapfrogging that aims for an Advanced Indonesia by the year 2045. In his remarks, he also conveyed his appreciation to Huawei, and in particular to Jacky Chen, the CEO of Huawei Indonesia for the support and commitment.

In response to the call for ICT solutions providers to help make SPBE and the Satu Data Indonesia policy a success, CEO of Huawei Indonesia, Jacky Chen, declared the company’s readiness to contribute; it had been Huawei’s long-term commitment since its establishment in Indonesia over 20 years ago to provide solutions and share its global expertise towards Indonesia’s strong, self-governed data sovereignty as well as integrated data system that enables the country’s digital leapfrog to a global economic powerhouse by 2045.

“We have the most sophisticated technologies, experts in ICT solutions development, and at Huawei ASEAN Academy, the most comprehensive and advanced training facilities in Asia Pacific. With that in mind, we are ready to support stakeholders in egovernment and integration of central and government data in accordance with the Satu Data Indonesia policy. We are certain that the effective implementation of e-government will help the government streamline bureaucratic processes, create transparencies, and most importantly increase the quality of public services which will greatly support national economic recovery efforts, especially due to the global pandemic,” said Jacky.

Indonesian Ambassador to the People’s Republic of China and Mongolia, Drs. Djauhari Oratmangun said, “Satu Data Indonesia and e-government as national priorities are key strategic initiatives to accelerate digital transformation in the 270-million-strong nation.”

“All the support we need can be obtained from global digital leaders that have been present and contributed towards ecosystem development, such as Huawei Indonesia. For over two decades, Huawei has played an important part in developing ICT infrastructures and prepared digital leaders. Its expertise has been proven in many countries – including its country of origin, China.”

“Most importantly, we are leveraging 70 years of diplomatic relations between Indonesia and China and nearly one decade of comprehensive strategic partnership with the nation of 162 unicorns by adopting foremost innovations such as AI, Big Data, IoT, cloud, and 5G developed by Chinese companies to prepare a more mature digital ecosystem in Indonesia,” Djauhari elaborated further.

About Huawei

Huawei is a leading global provider of information and communications technology (ICT) infrastructure and smart devices. With integrated solutions across four key domains – telecom networks, IT, smart devices, and cloud services – we are committed to bringing digital to every person, home and organization for a fully connected, intelligent world. Huawei’s end-to-end portfolio of products, solutions and services are both competitive and secure. Through open collaboration with ecosystem partners, we create lasting value for our customers, working to empower people, enrich home life, and inspire innovation in organizations of all shapes and sizes. At Huawei, innovation focuses on customer needs. We invest heavily in basic research, concentrating on technological breakthroughs that drive the world forward. We have more than 194,000 employees, and we operate in more than 170 countries and regions. Founded in 1987, Huawei is a private company wholly owned by its employees.

Source: Antara News

The largest content B2B market in Korea is held from July 12 to 30

– It introduces ‘SPP connect’, a new business matching platform that provides AI recommendation functions and video conferencing solutions

Seoul, South Korea–(Antara/Business Wire)- The Seoul Business Agency (SBA, CEO Jang Young-seung), an organization supporting SMEs that enhance the competitiveness of Seoul’s cultural content industry, announced that it holds the international content market ‘SPP 2021’ online from July 12 to 30.

‘SPP (Seoul Promotion Plan)’, a market specializing in animations, characters, webtoons, and game content, is the largest market in Korea where various content-related businesses, such as purchasing copyrights, co-production, and investment attractions, are made. Last year, 619 companies, including global companies such as Disney and Tencent, were joined and 4,092 biz-matching cases were made, the greatest achievement in history although it was held online due to the COVID-19 pandemic.

The achievement of this ‘SPP’ was the remarkable performance of the online platform. Preemptively introducing an online system in 2017, SPP has provided high-quality biz-matching opportunities to domestic content companies with its advance scheduling function that allows arranging meetings in advance and online screening function that allows viewing content videos in advance.

The SPP connect, newly established this year, has improved user convenience by implementing key functions necessary for non-contact business such as AI-based recommendation solutions and video conferencing solutions in addition to advance scheduling and online screening.

In SPP 2021, where SPP connect will be introduced for the first time, various B2B programs such as online biz-matching, pitching, showcase, and promotional events will take place.

The Asia Animation Alliance will strengthen the content business network between Asian countries through showcases of new animations from Korea, China, Japan, India, and ASEAN countries and briefing sessions to share animation market trends in each country. In the market briefing sessions, where various Asian countries, including Korea, China, Japan, India, Thailand, Myanmar, Vietnam, Indonesia, and the Philippines participate, you can check the current status and visions of the animation industry in various Asian countries.

In addition, in the Global Ignite, a corporate-led promotional event, beneficial sessions are prepared for production, marketing, technologies, and investments in the field of content including animation. The sessions include young Korean animation studios, which are rapidly growing; briefing sessions by studios specializing in animations; and a session to introduce animation policies and fund status in Canada.

“The newly established SPP connect will become an online platform that can play a key role in exporting domestic content amid prolonged COVID-19 pandemic,” Park Bo-kyung, head of SBA Seoul Animation Center, said. “In SPP 2021, we plan to provide supports to domestic companies to create substantial business results by pitching their projects to leading overseas buyers.”

Source: Antara News