• Higher Electricity Price Will Have Limited Impact on Indonesian Inflation

    Indonesian Finance Minister Chatib Basri expects that the higher electricity tariffs which may be introduced per 1 July 2014 (for 400-950 watt capacity) will have a relatively small impact on the pace of inflation in Southeast Asia’s largest economy. “If introduced, the higher electricity price may add 0.1 or 0.2 percentage point to inflation. The limited impact of this price hike on Indonesian inflation means that the government will not revise its inflation target for 2014 yet,” Basri said. The Indonesian government targets an inflation growth rate of 5.3 to 5.5 percent.

    Lanjut baca ›

  • Boosting Automotive Exports to Generate Foreign Exchange Earnings

    Apart from the traditional earnings originating from the export of coal, crude palm oil (CPO) as well as income from the tourism sector, Indonesia aims to increase foreign exchange earnings through boosting exports of cars and automotive parts. The Indonesian Trade Ministry said that it expects the value of exported cars and components to rise to USD $4.8 billion in 2014, a 10 percentage point growth from the USD $4.4 billion worth of earnings recorded in 2013 as Indonesian car producers have been boosting sales abroad.

    Lanjut baca ›

  • Indonesia Investments' Newsletter of 8 June 2014 Released

    On 8 June 2014, Indonesia Investments released the latest edition of its newsletter. This free newsletter, which is sent to our subscribers once per week, contains the most important news stories from Indonesia that have been reported on our website in the last seven days. Most of the topics involve economic topics such as an analysis of the April 2014 trade balance and May 2014 inflation, the 2009 Mining Law, energy subsidies, palm oil export, foreign exchange reserves, Link Net’s IPO, and more.

    Lanjut baca ›

  • Foreign Exchange Reserves of Indonesia Rise to $107B in May 2014

    The central bank of Indonesia (Bank Indonesia) announced that its foreign exchanges reserves had risen to USD $107.0 billion by the end of May 2014, up from USD $105.6 billion at the end of the previous month. This increase primarily stemmed from government oil and gas export earnings as well as an influx of foreign portfolio capital into Southeast Asia's largest economy, which reflects the positive perception of international investors with regard to the economic fundamentals of Indonesia.

    Lanjut baca ›