#Finance
Financial technology gains traction in Indonesia
Financial technology is developing well in Indonesian market. The fintech sector has been expanding in the past three to five years due to, among others, the COVID-19 pandemic, a colossal market, the penetration of internet and the increasing number of smartphone users as well as government support.
Bakrie offers US$5 billion in investment in Indonesia's electric vehicle ecosystem
PT Bakrie and Brothers Tbk (BNBR) - through its subsidiary PT Vektr Teknologi Mobilitas (VKTR) - is developing an upstream to downstream ecosystem for electric vehicles (EV) in Indonesia and will need US$5 billion investment.
Ma'ruf Amin may give Sharia economy a boost
President Joko "Jokowi" Widodo unexpectedly named the Indonesian Ulema Council (MUI) Chairman Ma’ruf Amin as his running mate in the 2019 presidential election. Jokowi's choice surprised the public since many had speculated that former Constitutional Court justice Mahfud MD would be his running mate. He finally picked Amin in the last minute leaders of political parties in his coalition gave their approval.
Bank Indonesia to sign LCT agreement with South Korean Central Bank
The Indonesian Central Bank (Bank Indonesia) is looking forward to signing a local currency transaction (LCT) agreement with the South Korean Central Bank (the Bank of Korea). As previously reported, ASEAN member countries have been focusing to reduce international transactions from using the US Dollar.
Government plans to grant Freeport contract extension, export tax reduction
The government has planned to grant contract extension for PT Freeport Indonesia when the current contract expires in 2041. The extension of the contract is granted earlier than scheduled because the government considers the economic feasibility of Freeport underground mining Grasberg project. The government has also planned to provide export tax reduction to the mining company.
Indonesia establishes largest sharia financial center in ASEAN despite lack of customers
Indonesia will have the largest Islamic Financial Center in ASEAN with the topping of the Syariah Tower in Pantai Indah Kapuk (PIK) 2 in North Jakarta on August 23, 2022. It is, somehow, contradicts to the fact that majority Muslims in Indonesia still use conventional banking, instead of sharia banking.
The portrait of current Indonesia’s economic condition
President Joko Widodo said Indonesia aims to cut its fiscal deficit to less than 3% of its gross domestic product next year for the first time since 2019.
Interest rate is steady according to Bank Indonesia
Governor of Bank Indonesia (BI) Perry Warjiyo gave the latest signal regarding the benchmark interest rate which is currently at its lowest level of 3.50 percent. According to Perry, the national economic condition is still conducive enough to continue the BI rate policy going forward.
BKPM, Indonesia's focal point to bring in investors
The Investment Coordinating Board (BKPM) is a government agency in charge of implementing policy and service coordination in the investment sector in accordance with the regulations. It was founded in 1973, to replace the previous functions undertaken by the Investment Technical Committee, a government institution that was established in 1968. A primary interface between business and government, BKPM was created to boost domestic and foreign direct investments by creating a conducive investment climate. In 2009, the status of BKPM returned to ministerial status and it reports directly to the President of the Republic of Indonesia. Its goal is not only to seek domestic and foreign investment but also to seek quality investments that may drive the Indonesian economy and absorb manpower. Since October 2021, BKPM has been led by Investment Minister Bahlil Lahadalia.
