• Sri Mulyani: Indonesia Entitled to S&P's Investment Grade Rating

    Indonesian Finance Minister Sri Mulyani Indrawati is hopeful that credit rating agency Standards & Poor's (S&P) will raise Indonesia's credit rating to investment grade. Hope is based on Indonesia's healthier state budget and the higher degree of fiscal credibility (supported by the ongoing tax amnesty program). Out of the big three global credit rating agencies only S&P is yet to assign investment grade status to Indonesia. In June 2016 S&P kept Indonesia's sovereign debt rating at BB+/positive outlook, one notch below investment grade.

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  • Foreign Ownership Indonesian Property: Minimum Prices Revised

    The Indonesian government revised the price mechanism for property that can be bought by expats under the "right-of-use" category. Through Agrarian and Spatial Planning Affairs/National Land Agency (BPN) Regulation No. 29/2016 on Procedures for the Granting, Relinquishment and Assignment of Ownership Rights over Residential Homes or Housing by Foreigners Resident in Indonesia, it changed a couple of the minimum prices set on property (divided by region and the type of property).

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  • Coal Price Indonesia at 25-Month High in October 2016

    Indonesia's thermal coal price (in Indonesian: Harga Batubara Acuan, or HBA), a monthly price set by Indonesia's Energy and Mineral Resources Ministry and which is based on domestic and global coal prices, surged further in October 2016. The HBA soared 8.04 percent month-on-month (m/m) to USD $69.07 per metric ton from USD $63.93 per ton in the preceding month. Indonesia's HBA price is now at its highest level since August 2014. This rally is mainly supported by rising coal demand in China.

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  • Low Cost Green Car Boosts Indonesia's 2016 Car Sales

    Car sales in Indonesia grew 2.4 percent to around 783,000 vehicles in the first nine months of 2016 from 764,000 units sold in the same period one year earlier. Improving car sales this year are attributed to the launch of new low cost green car (LCGC) models - including the Toyota Calya and Daihatsu Sigra - at the Gaikindo Indonesia International Auto Show 2016, held between 11-21 August 2016 near Jakarta. Demand for both models, distributed by the Astra Group, is high, reflected by the two-month waiting list.

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