• Bank Indonesia’s Monetary Policy Tight until Current Account Balance Improves

    The central bank of Indonesia (Bank Indonesia) indicated that it will only loosen its monetary policy provided that the country’s current account deficit narrows to a level of 2.5 percent of gross domestic product (GDP), which is considered sustainable, and inflation is kept within the range of 3.5 to 5.5 percent (year-on-year) in line with the central bank’s target range. The current account deficit is one of the main problems being faced by Southeast Asia’s largest economy today and causes concern among foreign and domestic investors.

    Lanjut baca ›

  • Indonesian Constitutional Court Rejects Prabowo Subianto’s Election Challenge

    It took about six hours for Indonesia’s Constitutional Court (Mahkamah Konstitusi) to read out the lengthy 300-page verdict in the case that was filed by defeated presidential candidate Prabowo Subianto, who claimed that the result of Indonesia’s July 2014 presidential election was invalid due to large-scale violations and fraud that allegedly occurred during the voting and counting processes. During the read out it became increasingly clear that the Constitutional Court would reject Subianto’s claims due to a lack of evidence.

    Lanjut baca ›

  • Broader View of Poverty Underscores Critical Long-Term Challenge

    Poverty will remain a critical and big challenge for Asia and the Pacific in the coming decades, requiring a greater focus on efforts to address food insecurity and economic vulnerability, says a new Asian Development Bank (ADB) report, entitled Key Indicators for Asia and the Pacific 2014. Rapid economic growth in the region has led to a sharp improvement in living standards. In Indonesia, the national poverty rate declined from 14.2 percent to 11.3 percent over the past five years.

    Lanjut baca ›

  • Ruling in Prabowo Subianto’s Court Case Expected on Thursday

    The security status in Jakarta has been raised one day ahead of the ruling of Indonesia’s Constitutional Court (Mahkamah Konstitusi) on Thursday (21/08) as the Jakarta administration anticipates public protests. The Constitutional Court will decide on defeated presidential candidate Prabowo Subianto’s claims that the election result of Indonesia’s July presidential election was influenced by massive fraud and violations (in both the voting and counting process). According to the official result Joko Widodo won with 53.15 percent of the votes.

    Lanjut baca ›