The Today's Headlines section of Indonesia Investments is a daily updated section which contains the latest information with regard to topics that are currently causing headlines in Indonesia's media. Most of our headlines will cover political, economic and social matters. As a consequence of their recent nature, these topics may not have crystallized fully yet and can, therefore, lack a profound analysis. For publications with a more in-depth understanding of subjects, we refer you to our News, Financial or Business columns.
Risk perceptions on Indonesian debt have risen amid concerns over the fragile rupiah. So far in 2018 the Indonesian rupiah has depreciated around 6 percent against the US dollar due to US monetary tightening and simmering concerns over the outbreak of a global trade war. Waning risk perception is reflected by the rising credit default swap (CDS) of the five-year Indonesian bond.
Local media in Indonesia report that around noon (local time) on Thursday (05/07) three bomb explosions were heard stemming from a rented house in Pasuruan (East Java). A six-year old child was reportedly injured in this incident. Police is reportedly in search of a man - with the initial A. - who fled the scene. It is not confirmed by authorities but considering recent terrorist incidents in Surabaya and Sidoarjo (East Java), the Pasuruan explosions could be related to terrorism.
The occupancy rate of office space in Jakarta in 2018 is estimated to reach its lowest level since 2012. The sliding figure is not caused by a decline in investment realization in Indonesia (which often involves the opening of new offices in the capital city of Jakarta) - in fact investment is rising - nor is it caused by an exodus of companies away from Jakarta (although a modest decline in demand for office space was detected). It is the opening of new large office towers what is troubling the ratio this year.
Seeing various startup companies - across the globe (but also in Indonesia) - having developed into influential unicorns with a valuation of at least USD $1 billion, startup companies deserve some special attention. It is true, however, that most startups end in failure and therefore it is important to fully comprehend all aspects involved when establishing, running, and buying or selling a startup company to turn it into a success.
