• Consumer Price Index Update Indonesia: Deflation in August?

    The central bank of Indonesia (Bank Indonesia) stated that up to the third week of August deflation reached 0.06 percent month-to-month (m/m). Juda Agung, Executive Director at Bank Indonesia's Economic and Monetary Policy Department, said consumer demand has diminished after previously peaking during the Islamic Ramadan and Idul Fitri celebrations in June and July. Usually the month of August sees inflationary pressures (caused by the new school year). This year, however, it may be the first time in many years that August brings deflation.

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  • Indonesia Stocks & Rupiah Update: Asia Down on Hawkish Fed

    As expected, emerging markets in Asia, including Indonesia, were negatively affected by the speech of Federal Reserve Chair Janet Yellen in Jackson Hole last week. Her speech - touching the topics of solid new jobs creation - provided ammunition for analysts and investors to raise speculation about a near-term US Fed Funds Rate hike. Indonesia's benchmark Jakarta Composite Index fell 1.25 percent to 5,370.76 points, while the Indonesian rupiah depreciated 0.42 percent to IDR 13,267 per US dollar (Bloomberg Dollar Index).

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  • Food & Beverage Industry of Indonesia: Positive Outlook

    Turnover in one of the most lucrative industries within the Indonesian economy - the processed food and beverage industry - is expected to reach IDR 540 trillion (approx. USD $40.9 billion) in the second half of 2016, up roughly 8 percent from realization in the same period one year earlier. This solid growth is supported by Indonesia's improving purchasing power amid the accelerating economy and higher commodity prices, and growing output of the nation's processed food and beverage industry.

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  • Google & Temasek Positive about Indonesia's Digital Economy Growth

    Google Inc. and Temasek Holdings Pte released joint research that signals Southeast Asia's digital economy (which includes e-commerce, online games, advertising and other economic activities related to the Internet) will surge to USD $200 billion by 2025. Indonesia's digital market will account for 40.5 percent - or USD $81 billion - of this total market. With an estimated USD $46 billion, Indonesia's e-commerce sector will contribute most to the total.

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