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.
Tuesday 1 May 2018 is a public holiday in Indonesia as workers are given a free day to celebrate International Workers' Day (also known as May Day). This day has been a public holiday in Indonesia since 2014. Traditionally, thousands of Indonesian workers take it to the streets in the nation's bigger cities to voice demands for better income and more supportive policies by the government.
Total direct investment (foreign plus domestic investment) in Indonesia rose 11.8 percent year-on-year (y/y) to IDR 185.3 trillion in the first quarter of 2018, showing robust investor appetite and giving rise to optimism that Indonesia's full-year direct investment target of IDR 765 trillion can be achieved. Traditionally direct investment realization is lowest in the first quarter of the year (although the upcoming elections in 2018 and 2019 may make some investors prefer to wait and see).
Indonesia Investments expects to see Bank Indonesia raising its benchmark interest rate at least once in 2018 in order to relieve pressures on the Indonesian rupiah. Rising expectations that the US Federal Reserve will implement four interest rate hikes in 2018, while the 10-year US treasury yield passed beyond the 3 percent line, have resulted in major pressures on emerging market assets, including Indonesia's rupiah and stocks.
On 30 April 2018 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 over the past seven days. Most of the topics involve economy and market-related topics such as the performance of Indonesian stocks and rupiah, the country's debt-to-GDP, interesting expos, and more.
