Monday, October 31, 2011
President to Meet with World Leaders During G20 Meeting
President Susilo Bambang Yudhoyono said when attending the G20 meeting in Cannes, France, later this week he expects to hold private meetings with world leaders such as German Chancellor Angela Merkel and European Union President Herman Van Rompuy. "During my stay in Cannes from October 31 to November 4, I will meet with German Chancellor Angela Merkel, Mexican President Felipe Calderon, President of the European Union Herman Van Rompuy and President of the European Commission Jose Manuel Barroso," President Yudhoyono said here on Monday at a press conference before leaving for France.

IDX Targets 25 New Companies in Stock Market Next Year
The Indonesia Stock Exchange (IDX) is targeting to launch the shares of up to 25 companies on the stock market in 2012. The new issuers are expected to come from the services sector, mining, consumer products and retail companies. IDX president director Ito Warsito said about 432 companies were already publicly listed.

RI a Good Target for Free Trade, Says Hatta
Coordinating Minister for the Economy Hatta Rajasa says Indonesia and its large market are a good target for other countries marketing their products in the era of free trade. Hatta said that Indonesia's trade volume remained in surplus, so the public need not worry. However, he expected local producers to be prepared for the free trade competition. The government must also be cautious about drafting the clauses in the Free Trade Agreement (FTA). Based on past experience, he said, Indonesia could not do anything when the trade was unbalanced.

Indonesia Planning to Have Four Nuke Power Plants by 2025
Under the governemnt's energy development plans, Indonesia should have built four nuclear power plants by 2025, a nuclear energy supervisory official said. "The four plants will have a combined capacity to produce at least 4.000 MW of electricity, " Dr Asnatio Lasman, head of the Nuclear Energy Supervisory Agency (Bapeten), said here on Saturday. The 4000 MW of electricity would be equal to 1.96 percent of the projected electricity demand in 2025 which was s 200,000-350,000 MW.

Enchanting Celebes
It's time for South Sulawesi's Bugis traditional fabrics to make their way to the runway and flaunt their solid colors and rich motifs in a graceful manner. What would it be like if brightly colored and flowing baju bodo married the traditional Javanese kebaya? Fashion designer Era Soekamto answers this question with her latest collection, called "Swargaloka", which means the heavens in Hindu. The effect was unique, daunting and engaging at the same time. It was the history between the Bugis kings and Java's Mataram rulers that ignited the designer's spirit to combine the cultures of these two regions.

CTI Permanent Secretariat To Be Established in Manado
Maritime Affairs and Fisheries Minister Sharif C. Sutardjo has officially announced that Indonesia will set up a building to house the regional secretariat of the Coral Triangle Initiative (CTI) in Manado, North Sulawesi. "One of Indonesia`s commitments is to build a permanent regional secretariat of CTI CFF in Manado, North Sulawesi," Sharif, concurrently chairman of the Coral Triangle Initiative-Coral on Fisheries and Food Security (CTI-CFF) Ministerial Council, said here over the weekend, according to a ministry press statement.

Komodo Receives Over 100 Million Votes Via SMS
Support for Komodo Island to become a New7Wonders of Nature site has reached more than 100 million votes cast through cellular text (SMS) messages to the call number 9818. "Over the weekend, some 14.3 million votes had come in. So up to now, the total number of votes has reached over 100 million. But, we cannot give the exact figure because it`s against the rules," Emmy Hafild, the Komodo Support (P2 Komodo) coordinator, said here on Monday. Until Monday evening (Oct 31), the number of votes is expected to reach 110 million or just 10 million short of the 120 votes needed. "For those giving votes a 100 times or more, they can register their names to be written in the Komodo monument as witnesses of history, in the final of the New7Wonders of Nature in 2011," she said.

Friday, October 28, 2011
Papua Incidents Must Be Viewed With Clear Mind: President
President Susilo Bambang Yudhoyono has asked all parties to view the recent incidents in Papua and West Papua with a clear mind and in their totality so as to avoid developing wrong perceptions. Speaking at the opening of a plenary cabinet meeting here on Thursday, he said the government had since seven years ago abandoned the security approach in Papua in favor of a development approach, and therefore, the law enforcement efforts being made by security authorities to deal with a number of recent incidents there must not be considered as ignoring human rights.

Government to Accelerate Development in Eastern Indonesia: Minister
The government will speed up development in eastern Indonesia and other less developed regions in order to improve the local peoples` welfare , a senior minister said. "President Susilo Bambang Yudhoyono has given directives for the acceleration of development in disadvantaged regions," Coordinating Minister for People`s Welfare Agung Laksono said here on Thursday. The minister said the government needed to issue a special policy, a special budget and a special intensification program to accelerate development and improve the welfare of people in those regions.

EU Summit Results Boost IDX Trading
Positive results of the European Union summit boosted stock trading at the Indonesian Stock Exchange (IDX) on Thursday. First Asia Capital analyst Ifan Kurniawan said European leaders at the summit agreed to increase the amount of bailout funds for debt crisis-hit countries from 440 billion Euros to one trillion Euros. European banks also agreed to give a 50 percent haircut to Greece, he said. The current conditions prompted European banks to increase their capital in order to survive.

RI to Encourage Energy Cooperation Among G-20 Countries
Indonesia will encourage renewable energy cooperation among G-20 member countries in a bid to prevent an energy crisis in the midst of soaring world`s oil prices. Presidential special aide for international affairs Teuku Faizasyah said at the Presidential Palace here on Friday, President Susilo Bambang Yudhoyono at the next G-20 Summit in Cannes, France, would present Indonesia`s views on energy cooperation. "Our position in G-20 and APEC is more or less the same, and therefore we want to have cooperation in renewable energy with both G-20 and APEC member countries," Faizasyah said after accompanying the president to receive a number of foreign ambassadors who presented their credentials to the head of state.

Tony Blair Supports REDD+ Program in C. Kalimantan
Former British prime minister Tony Blair visited Central Kalimantan to demonstrate his support for a REDD+ (Reducing Emission from Deforestation and Forest Degradation Plus) project in the region. His visit in Central Kalimantan had to do with the environment and a REDD Plus program which was now in the world`s spotlight, Blair said when meeting Central Kalimantan Governor Agustin Teras Narang here on Thursday. Governor Narang said the visit of the former British prime minister in Central Kalimantan was to observe the conditions of the environment in the province which was now a focus of the world`s attention.

'Youth Pledge' And the Dream for a Better Indonesia
Eighty-three years ago, on Oct. 28, 1928, a group of young men and women from far-flung islands assembled in Jakarta to pledge that they would be united under one motherland called Indonesia, one nation called Indonesia and one language - Bahasa Indonesia. Since then, we have commemorated Youth Pledge on Oct. 28 every year, because this was the first time in our political history that representatives of the Indonesian youth from different ethnic and religious backgrounds had made a public declaration on the unity of our nation.

Palestine Interested in Expanding Energy Cooperation With RI
The Palestinian government is interested in broadening its cooperation with Indonesia in the energy sector, Palestina`s envoy to Indonesia said. According to a press release from the Foreign Affairs Ministry received here on Thursday, Palestinian ambassador to Indonesia Fariz N Mehdawi had said that Indonesia was the perfect partner for this cooperation. Cooperation with Indonesia in the energy sector was now getting more relevant due to the Palestine`s plan to manage its own energy resources, he said.

Indonesia's Finance Industry Gets a New Watchdog
After a long delay, the House of Representatives passed a bill on Thursday that will create a new superbody to supervise the country's financial sector, including banking and capital markets, by early 2013. To consolidate policies amid global financial turbulence, the Financial Services Supervisory Authority (OJK) will assume the central bank's current supervisory role over the nation's lenders, which are valued at Rp 3,300 trillion ($370 billion). It will also oversee capital markets and non-banking institutions, presently monitored by the Capital Market and Financial Institution Supervisory Board (Bapepam LK), which is attached to the Finance Ministry.

Thursday, October 27, 2011
Indonesia to Build Four Seaports in 2012
The government is planning to build four international standard seaports to speed up national connectivity following the completion of the Master Plan for Acceleration and Expansion of Indonesia`s Economic Development (MP3EI). "We are ready to auction the construction of three to four new seaports in Indonesia next year," Port and Dredging Director of the Ministry of Transportation Kemal Heryandri said here on Wednesday. He was talking to the press during a dialogue on the infrastructure prospect of the Indonesian port in 2012.

US Assistant Secretary Visits Indonesia
Assistant Secretary of State for East Asia Pacific Kurt Campbell visited Indonesia October 25-26 to meet with Indonesian government counterparts and discuss the upcoming East Asia Summit, which President Obama plans to attend next month in Bali. During the visit, Assistant Secretary Campbell met with Foreign Minister Natalegawa and other Indonesian government representatives. He also took time to hold roundtable discussions with international and local press, according to the US embassy here in its official website on Wednesday. The media raised several issues with the Assistant Secretary, some of which included the upcoming East Asia Summit, the grant of U.S. F-16s to Indonesia, the situation in Papua, and U.S. relations with Burma.

Indonesia to Meet With Rights Groups Over Papua
Indonesia's government will meet with rights groups over the issue of jailed Papuan activists to avoid "misconceptions" of their conditions, President Susilo Bambang Yudhoyono said Thursday. Amnesty International called for the Indonesian government in August to release at least 90 political activists in the restive provinces of Papua and Maluku who had been jailed for peaceful political activity. Right groups accuse Indonesia of gross human rights abuses in Papua, a Melanesian-majority region rich in natural resources where poorly armed rebels have been fighting for independence for decades.

West Java Offering Investment Opportunities Through Int'l Expo
West Java's International Expo (WJIE) 2011 is offering a number of the region`s business potentials and opportunities to foreign and domestic investors. "There are 52 investment potentials in West Java showcased in the West Java International Expo 2011," said Agus Gustiar, head of West Java`s Capital InvestmentCoordinating Agency (BKPMD), here Tuesday. Agus said the international level expo aimed to directly bring together and describe a number of potential investments in a number of locations in 26 districts / cities in West Java province.

Bali Also Wants to Become Spiritual Tourism Destination
Bali has spiritual tourism potentials that should be more seriously developed by the government, local community members said. Apart from conventional vacationers, Bali was now already often visited by American and European tourists who meditate at its temples to seek spiritual peace or fulfilment, they noted. "With its temples held sacred by the Hindu population and its many centers of artistic and cultural activity, Bali has all the makings to become a spiritual tourism destination," I Wayan Aksara, marketing manager of Puri Ageng Blahbatuh, said here on Tuesday.

Indonesia Needs to Bolster Its Home Grown Defense Systems: SBY
President Susilo Bambang Yudhoyono said the government has devised a strategy to make Indonesia self-reliant in the provision of its defense systems. The country's military and police, Yudhoyono said, should rely more on weapons and equipment produced by state-owned companies like local munitions company Pindad and aircraft manufacturer Dirgantara Indonesia. "Whenever there is a primary defense system that can be produced by our weapons industry, then it is compulsory [for military and police] to buy domestically," he said.

President Asks Pindad to Produce New Tactical Vehicle Variety
President Susilo Bambang Yudhoyono has asked arms industry PT Pindad to produce a new variety of the 3/4-ton-4x4-type tactical vehicle to meet the needs of the TNI (military) and police. "The new tactical vehicle type will be needed. I have asked that Pindad present a prototype within the next two months," he said when inspecting an armored vehicle produced by Pindad in a hangar of PT Dirgantara Indonesia aircraft-making company here on Wednesday. President Yudhoyono was accompanied by several ministers, National Police Chief General Timur Pradopo, Defense Forces (TNI) commander Admiral Agus Suhartono, the West Java governor and some officials from other strategic state-owned companies.

Wednesday, October 26, 2011
Public-Private Partnership Infrastructure Market in RI
An adequate stock of infrastructure is vital in maintaining an efficient and competitive economy within a country. Indonesia's competitive trend has been declining mainly due to inadequate infrastructure, ineffective bureaucracy and corruption. Based on various motives, governments all over the world are looking increasingly to public-private partnerships (PPP) to bridge their infrastructure gaps. In general terms, a PPP is a contract between a government and a private party in which the private party assumes significant project risk in the design, financing, construction and operation of a project. More succinctly, PPP projects are aimed at providing more efficient public services delivered by private sector actors through an optimal risk-sharing arrangement.

Demand for Indonesian Workers Increases in 2011
Foreign demand for skilled Indonesian labor in the services sector at the Indonesian Trade Expo (TEI) 2011 showed a 66-percent increase compared with the figure recorded at TEI 2010, a senior trade official said. "Demand for Indonesian service sector workers rose 66 percent at this year`s expo. This means the user countries now also trust the capability of skilled Indonesian labor, not only that of our informal sector workers such as house maids," Deputy Trade Minister Bayu Krisnamurthi said here Tuesday. Bayu said the increase was good news because it showed that the capability of skilled Indonesian workers was being increasingly recognized around the world.

News Focus: RI Tourism Ready to Compete in ASEAN Community
As a member of ASEAN, Indonesia, its tourism industry in particular, is ready for the establishment of an ASEAN Community by 2015 when trade, services and manpower will flow freely within the region. "Beginning in 2015, manpower in the tourism sector will flow freely within the Association of South East Asian Nations (ASEAN), but we are optimistic that the competitive edge of Indonesia`s human resources in the tourism sector is already strong," Head of Tourism Resources Development Agency of the Tourism Ministry I Gde Pitana said recently. Indonesia`s human resources in the tourism sector would play a dominant role within the ASEAN region. To support this role, I Gde Pitana`s office had been making various efforts, among others, research, development and training.

Investors Sit Tight, Leaving JCI Mostly Steady
Indonesia's benchmark stock index barely moved on Tuesday as investors waited for positive news from the euro zone. The Jakarta Composite Index gained only 3.69 points, or 0.1 percent, to close at 3,710.48. About 3.93 billion shares worth Rp 3.86 trillion ($436 million) changed hands as decliners beat gainers 110 to 98. Foreign investors bought Rp 192 billion more in shares than they sold. "Investors prefer to wait for a big announcement from Europe than stay in any one position," said Abidan Saragih, an analyst with Pacific 2000 Securities.

SBY: Indonesian Unity Is Not 'Negotiable'
President Susilo Bambang Yudhoyono said on Wednesday that although Indonesia's weaponry system has become outdated, the nation's sovereignty would be upheld. "We love peace, but Indonesian unity is not negotiable," he said in a speech at the launch of cooperation between Dirgantara Indonesia and Airbus Military. Yudhoyono admitted that in the last 20 years the government has not modernized the Indonesian military. This has left Indonesia behind other countries in terms of modern weapon systems. "Firstly because we experienced a big crisis, secondly because the state budget is limited and thirdly because we have to prioritize other needs for the people," Yudhoyono said.

US Completes $57 Mln Maritime Security Project With Indonesia
U.S. Deputy Chief of Mission Ted Osius announced completion of the $57 million U.S. Government-funded Integrated Maritime Surveillance System (IMSS) project with the Indonesian Navy. The system includes 18 coastal surveillance stations, 11 ship-based radars, and 4 command centers, namely in Batam, Manado, Jakarta, and Surabaya, the US embassy said in a press statement here on Wednesday.

CN-295 Expected to Mark Indonesia's Defense Industry: President
President Susilo Bambang Yudhoyono expect the new CN-295 plane productions by a joint cooperation of PT Dirgantara Indonesia (DI) and Airbus Military marks the rise of Indonesian defense industry. "I`m not only convinced, but our policy including the solution on financing and the procurement of primary defense equipment (Alutsista) order and purchasing is a real path for revitalization to the strategic industry," said the president here, Wednesday. As previously experienced by PT DI within the last 15 years that the company was beaten by the monetary crisis in 1997/1998, the company managed to survived until now.

RI Reelected as UN ECOSOC Member
Indonesia and 20 other countries have been elected as members of the Economic and Social Council (ECOSOC), United Nations organ facilitating international cooperation on standards-making and problem-solving in economic and social issues. Indonesia has been a member of ECOSOC for eleven times, since Indonesia was accepted as the 60th member of the United Nations on September 28, 1950. The 21 countries, which were elected in a UN General Assembly session, will serve in ECOSOC for three years, from 2012 to 2014.

RI to Maintain ASEAN's Central Position at East Asia Summit
Indonesia will maintain ASEAN`s central position at the 6th East Asia Summit (EAS) which will be held in Bali next November 19, Foreign Affairs Ministry spokesman Michael Tene said here on Tuesday. "Indonesia will maintain ASEAN`s role as the driving force of EAS by showing good leadership and providing new motivation to other ASEAN member countries at the upcoming meeting in Bali," said Michael. He expressed optimism that EAS cooperation centering around ASEAN would be successful.

61 Foreign Embassies Agree to Fly With Garuda
Sixty one foreign embassies in Jakarta have agreed to use the services of national flag carrier Garuda Indonesia for both domestic and international flights under a new agreement inked Wednesday. The agreement was signed by Garuda president director Emirsyah Satar and representatives of the 61 embassies. "The signing of the agreement is part of Garuda Indonesia's efforts to expand its market. It is also expected to help tighten relations between Indonesia and other countries," Emirsyah said after the signing ceremony as quoted by tempointeraktif.com.

Indonesia Says ASEAN Committed to Nuclear-Free Region
Indonesia says ASEAN countries are committed to making the region free of nuclear weapons after reports that Myanmar is allegedly developing nuclear weapons. "We call on ASEAN countries not to develop or keep nuclear weapons in this region," said the Foreign Ministry's ASEAN cooperation partners director, Jose Tavares, in Jakarta yesterday. Jose said that ASEAN countries' intention not to develop nuclear weapon was very high. Agreement will be produced with the US, Russia, the UK, China and France to prevent the development of nuclear weapons in the ASEAN region.

Tuesday, October 25, 2011
TEI Drew Trade Missions from 44 Countries
Indonesia received trade missions from a total of 44 countries during the 26th Trade Expo Indonesia (TEI) on October 19 through 23 in Jakarta, a government official said. "The delegates didn`t only come to attend the TEI, but also to explore possibilities to build business networks and invest in Indonesia," Deputy Trade Minister Bayu Krisnamurthi said here on Tuesday. He said the trade missions from the 44 countries comprised 1,254 delegates with India represented by the largest delegation or 98 businessmen.

RI Grants US$3.1 Million for ASEAN Flood Victims
The Indonesian government has granted US$3.1 million for ASEAN countries affected by flooding. Recipient countries include Thailand ($1 million), Vietnam ($500,000), Cambodia, Laos, Myanmar and the Philippines (each $400,000). "This is a form of our solidarity as the ASEAN leader," said Coordinating Minister for People's Welfare Agung Laksono when handing the grant to each country's representative at the ministry office in Jakarta yesterday. Agung said the cash assistance was the most practical measure. The Indonesian government, said Agung, had expressed its condolences for the casualties and material losses suffered by the people of Thailand, the Philippines, Laos, Cambodia, Vietnam and Myanmar. Agung added that Indonesia had always received assistance from ASEAN countries in times of disasters, such as during the tsunami in Aceh and the earthquake in West Sumatra.

RI Pledges Rp 50 Bln to Set Up CTI-CFF Secretariat
Indonesia has committed itself to allocate Rp50 billion for the setting up of a secretariat for the Coral Triangle Initiative on Coral Reefs, Fisheries and Food Security (CTI-CFF) in Manado, North Sulawesi, an official said. "The Rp50 billion fund is a form of Indonesia`s commitment to the construction of a CTI-CCF representative office," the director general of fisheries, coastal areas and small islands at the Maritime Affairs and Fisheries Ministry, Sudirman Saad said here on Tuesday. Saad said construction of the CTI-CCF Regional Secretariat office would commence in November 2011 and the office was expected to go into service some time in the next two years.

Nine More IPOs Expected by Year End
Despite recent market volatility, Indonesia will see nine more initial public offerings from companies this year, Investor Daily reported on Tuesday, quoting government and Indonesia Stock Exchange officials. According to data from the capital market supervisory agency (Bapepam), the companies that will have IPOs before the year ends are Golden Energy Mines, ABM Investama, Atlas Resources, Visi Media Asia, Cardig Aero Services, Greenwood Sejahtera, Saranacentral Bajatama, Minna Padi Investama and Erajaya Swasembada. "So far, I haven't seen anyone withdrawing the IPO plan," said Annis Baridwan, Head of the Real Sector Corporate Finance Bureau at Bapepam, as quoted by the Daily, a sister publication of the Jakarta Globe.

Minister Hails Filming of "I, Alex Cross" in Bali
Tourism and Creative Economy Minister Mari Elka Pangestu has welcomed the filming of "I, Alex Cross" in Bali because it will help promote the country`s tourism. "The choosing of Indonesia as a shooting location is a chance to promote the tourism destination. For sure, it gives an opportunity to the film industry, in this chase the creative industry in Indonesia, to participate in the making of this film," Minister Mari Pangestu said in short text message text on Sunday (Oct 24). The minister flanked by the tourism and creative economic ministry`s Film Affairs Director Syamsul Lussa visited the shooting location of "I, Alex Cross" being directed by Rob Cohen, on Pantai Timur isle, Karangasem, Bali.

Moody's Sees More Growth For Indonesian Coal Miners
Indonesia's coal mining industry looks set to grow despite an uncertain global economic outlook, according to Moody's ratings agency. Simon Wong, a vice president and senior analyst at Moody's, said the planned construction of power plants across the region, Indonesia's connections to the energy sector in the Asia Pacific, strong liquidity and an improved debt profile would support the domestic industry's growth. Utility companies in Indonesia, China and India are building more power plants that use thermal coal to satisfy the increasing demand for power in the region, which will in turn help keep coal prices high, Wong said.

Indonesia an Important Part of ASEAN, says the US
President Susilo Bambang Yudhoyono met with the US Defense Minister Leon Panetta at Ayodya Resort, Nusa Dua, Bali, to discuss enhanced collaboration yesterday. "The meeting stressed that Indonesia and ASEAN were important to the US' global strategy," said the Coordinating Minister for Political, Justice and Security Affairs Djoko Suyanto after accompanying President SBY. Djoko said that both countries discussed maritime security, terrorism, disaster victim recovery management and education. President staffer Teuku Faizasyah, said the meeting also touched on bilateral relations, particularly in the defense sector.

RI Negotiating F-16 Aircraft Purchase Deal with US
Indonesia is holding talks with the US on the possibility of it buying F-16 fighter jet planes, Indonesian Ambassador to the US Dino Patti Djalal said here on Monday. Dino made the statement after attending a meeting between President Susilo Bambang Yudhoyono and US Defense Secretary Leon Panetta earlier in the day on the sidelines of the ASEAN Defense Ministerial Meeting in Nusa Dua. "During the 45-minute meeting between President Yudhoyono and Secretary Panetta, the possibility was discussed for Indonesia to buy F-16 aircraft. However, the details such as price and other technical matters need to be further discussed," Dino said.

VP Boediono Calls for Selectiveness in Approving Foreign Investments
Vice President Boediono said the central as well as regional governments need to start being selective in approving foreign investment projects. "We have to think not only of the quantity (number) but also of the quality aspect of investments that come into the country. This is important because what benefits an investment will bring to the state, the region and community concerned will depend on its quality," he said when kicking off activities to mark East Nusa Tenggara`s Investment Day here on Tuesday. Therefore, he said, the egions need to rank investments in terms of their quality. Based on the ranking, development policies that are capable of boosting people`s welfare optimally could be made by the central and regional governments.

Monday, October 24, 2011
JCI Opens the Week Strong on Earnings Reports, Euro News
Indonesia's stocks rebounded on Monday as investors anticipated positive corporate earnings reports this month and on news of a decision to protect European banks from the financial crisis. The Jakarta Composite Index advanced 86.12 points, or 2.4 percent, to 3,706.78, ending a two-day slide. More than 5.86 billion shares valued at Rp 4.89 trillion ($552 million) changed hands. Gainers beat decliners 1191 to 45. Foreign investors bought Rp 405 billion more shares than they sold. "Earning reports boosted the JCI on Monday, and although Europe has not completely finished discussing its rescue plan, it sent a positive message to the market," said Ikhsan Binarto, an analyst at Indo Premier Securities.

RI Economy Less Prone to Crisis than China: Gita
Trade Minister Gita Wirjawan said that the structure of Indonesia's economy is different from China's and is less vulnerable to fallout from the current economic crisis in Europe and the US. "Our economic structure is quite different from China's. China's economy is export-based, contributing to around 60-70 percent of its gross domestic product. On the other hand, our economy is based on domestic consumption," he said Monday following a lecture by American economist Prof Nouriel Roubini in Jakarta, as quoted by kompas.com.

President Hopes RI-US Defense Cooperation Stepped Up
During a courtesy call by US Defense Secretary Leon Panetta in Bali`s Nusa Dua resort, Bali, on Monday morning, President Susilo Bambang Yudhoyono expressed hope that the two countries` defense cooperation could be maintained and stepped up. "I am grateful for the defense cooperation between the two countries and I hope it will continue to be maintained and stepped up," President Yudhoyono said at the closed-door meeting with Leon Panetta. At the 45-minute meeting with President Yudhoyono, Panetta also expressed amazement about Bali`s natural attractiveness, its unique culture and people`s friendliness.

Indonesia Takes in $351m of Deals at Trade Expo for Emerging Countries
Indonesia as of Friday had racked up $351 million in trade agreements from the country's largest trade exhibition for emerging nations in Asia, the Middle East and Africa, with Nigeria leading the way, a government official said. The Oct. 19-23 event, billed as the 26th Trade Expo Indonesia, was about 8 percent short of a $380 million target set on Oct. 17. Nigeria, at $38.6 million, was leading the way, followed by Malaysia contributing $32 million, England with $26 million and Belgium at $20 million. "Nigeria was the biggest buyer, contributing to 11 percent of the total transaction value so far," said Hesti Indah Kresnarini, director general of the National Export Agency (BPEN).

Government Invites Foreign Film Producers to Operate in Indonesia
New Tourism and Creative Economy Minister Mari Elka Pangestu has invited foreign film producers to make films in Indonesia to help promote the country`s tourism. "The government will encourage more international (film) producers to choose Indonesia`s panorama and nature for their films," Minister Pangestu said in a press statement here on Sunday. International films using Indonesia`s panorama as their backgrounds will have significant benefit for the national tourism promotion, she said. "In the future, we will apply one-door process and it`s complete," Mari, former trade minister, said.

News Focus: Indonesians Still Have 18 Days to Vote for Komodo
As of October 15, 2011, Indonesia`s major telecommunication operators such as Telkomsel, XL, Indosat, and Telkom Flexi have provided free SMS (short message text service) for those wanting to give their votes to support Komodo Island as one of the 28 Official Finalists in the New7Wonders of Nature (N7WN). Komodo Island located in East Nusa Tenggara (NTT) is the only island in the world which has komodo dragons, the giant lizards. The Komodo National Park includes the three larger islands Komodo, Rinca and Padar, as well as numerous smaller ones, altogether covering a total area of 1,817 square kilometers. The national park was founded in 1980 to protect the Komodo dragon. Later, it was also dedicated to protecting other species, including marine animals. The islands of the national park are of volcanic origin.

Friday, October 21, 2011
Investment Realization Rises 20 Pct to Rp 181 Trillion
Investment in Indonesia in the year ended September 2011 rose 20.9 percent to Rp181 trillion from Rp149.6 trillion in the same period last year, the Investment Coordinating Board (BKPM) said. "Compared to the same period last year the realization of domestic and foreign investment (in the nine months through September) reached Rp181 trillion or 75.4 percent of the target of Rp240 trillion for this year," deputy for investment control to the BKPM chief M Azhar Lubis said here on Thursday. Azhar said domestic investment in the third quarter of 2011 grew 14.5 percent to Rp19 trillion from Rp16.6 trillion in the same period last year.

RI, WFP Launch Food Security Map
The Indonesian government and the World Food Program (WFP) launched recently a food security and vulnerability map in Indonesia`s 14 food-vulnerable provinces. Agriculture Minister Suswono officially launched the map which constituted a revision of the 2010 food security map in Gorontalo city, the WFP said in a press statement on Thursday. "The map serves as a tool to prioritize the aim of easing food vulnerability as a follow up to attain Millennium Development Goals (MDGs)," Suswono said. The 14 provinces that become the focus of the food security and vulnerability map are East Nusa Tenggara, West Nusa Tenggara, Gorontalo, Central Sulawesi, Southeast Sulawesi, Central Kalimantan, West Kalimantan, South Kalimantan, Lampung, Jambi, Bengkulu, South Sumatra, Maluku, and Nanggroe Aceh Darussalam.

Pertamina to Expand Lubricants Market to US
PT Pertamina will expand its lubricants market to the US in 2012 or earlier than expected , the company`s assistant foreign marketing manager, Nugroho Setyo Utomo, said here on Friday. "The expansion to, to be exact, Seattle, is beyong expectations because the company`s initial target is in 2016," he said. He said the development was surprising because it was the US company that has approached Pertamina to procure lubricants for industries. "Besides quality the US company has chosen our products because Pertamina is considered more flexible," he said.

US to Provide 90 Million Dollars for RI`s Basic Education
The United States (US) through its Agency for International Development (USAID) will allocate 90 million US dollars to launch a basic education program in Indonesia, a USAID official said. Margaret Sancho, director of USAID`s education department, said here Friday, "We are excited and enthusiastic to continue working with the Indonesian government, the Ministry of Culture and Education, as well as the Coordinating Ministry for People`s Welfare." USAID has been funding a program for developing education in Indonesia by establishing a program called Decentralized Basic Education (DBE) since 2005.

Special Autonomy Status for Papua Final: Minister
Chief security minister Djoko Suyanto said that West Papua remains part of the Unitary State of Indonesia while the special autonomy status for Papua was something final. So "any party proclaiming a new state, a new cabinet, a new president, a new government must be dealt with according to the law," he said in a conversation with ANTARA here on Thursday evening. The coordinating minister for political, security and law affairs said "everything has been dealt with according to the law. The police have acted according to the existing law."

Thursday, October 20, 2011
RI's Trade Growth to Increase 144% in 2025
Indonesia's trade is projected to grow 144 percent to US$619.6 billion in 2025 from US$280.4 billion in 2010, with export commodities expected to be the engine of trade growth, a report said. The trade growth would put Indonesia in the fourth place after Egypt, India and Vietnam expected to record an average annual growth of 73 percent, the HSBC's head of trade for Indonesia, Nirmala Salli said in a discussion on trade forecast here on Thursday. Nirmala Salli said the condition would mainly be the result of the Asian trade growth projected to increase 96 percent in 2025, making the continent the main engine of global trade.

Indonesia's Jan-Sept Foreign Investment Up 16 Percent
Foreign direct investment in Indonesia in the first nine months of 2011 was 16 percent higher than a year earlier, and officials are optimistic that their target for this year will be met. The country's investment board on Thursday said FDI in the third quarter was 46.4 trillion rupiah ($5.27 billion), or 15.7 percent more than in the same period of 2010. In the second quarter, FDI totaled Rp 43.1 trillion, or 21 percent above the year-earlier figure. While the slower growth pace in the third quarter than second might raise concern that investor interest could be hit by global economic woes, the investment board said it was confident the level would remain high.

Indonesia Sexiest Place for Investment: Economist
Indonesia will benefit much from the current economic crisis in the US and Europe because the turmoil there will make the country a most attractive place for investment, an economist said. "Right now Indonesia is the sexiest for investment," economist Aviliani said here on Thursday. She said besides its strong domestic market Indonesia`s debt service ratio to the gross domestic product this year is also still healthy at 25.2 percent. She said the global economic crisis had indeed not affected Indonesia so far but it does not mean Indonesia may stay idle.

RI Fourth in World's Trade Volume Growth
Indonesia is fourth in world's trade volume growth (after Egypt, India and Vietnam) with an average of growth expected to be 7.3 percent per year until 2025, a survey said. According to a report from the HSBC Trade Confidence Index (TCI) and HSBC Trade Forecast announced here on Thursday, Indonesia`s trade volume in the next 15 years is expected to increase as much as 144 percent. The increase is said to be mainly supported by export of commodities. According to the forecast, Indonesia`s trade volume in 2025 is expected to reach US$619.6 billion from US$280.4 billion in 2010. Head of Trade HSBC Indonesia Nirmala Salli who attend the Thursday announcement said traders from Indonesia are most optimistic about trade prospects with Greater China and South East Asia in the next six months.

President Calls on Indonesians to Vote for Komodo
President Susilo Bambang Yudhoyono has called on the Indonesian people to vote for Komodo in its race to be included in the New Seven Wonders of the World list. After inaugurating the Lombok International Air Port, here on Thursday, the president also asked ministers and guests attending the ceremony to give their votes for Komodo. "Please type Komodo and send it to 9818," the President said in the event which was also attended by former vice president M Jusuf Kalla who had been named Indonesia`s Komodo ambassador. The head of state hoped Komodo could become one of the New Seven Wonders of the World.

Wednesday, October 19, 2011
RI's Wealth Surges 30% Over Past 1.5 Years: Credit Suisse
Indonesia's wealth has increased by 30 percent to US$1.8 trillion as of June, making it the 14th largest contributor of global wealth growth over the past 1.5 years, Credit Suisse Research Institute reported Wednesday. "From January 2010 to June 2011, Indonesia's total wealth had increased by $420 billion to $1.8 trillion," Credit Suisse says in a press statement sent to Antara. The research institute adds that global wealth has soared 14 percent since 2010 to $231 trillion in June, with the strongest growth recorded in the emerging markets.

President Announces Results of Cabinet Reshuffle
President Susilo Bambang Yudhoyono at the credential room of the Merdeka Palace here on Tuesday night announced the improvement of the 2nd Indonesian United Cabinet members as the result of the reshuffle process. The number of ministries remained 34 in accordance with law no.39/2008 regarding the state ministries, Yudhoyono said, adding that functions of two ministries are changed. On the two ministries change of function, the previous National Education Ministry now becomes the Education and Culture ministry which is equipped with two vice ministries dealing with education and culture. In addition, the previous Culture and Tourism ministry now becomes the Tourism and Creative Economy ministry.

President Calls for Central Government-Regions Synergy to Fight Poverty
President Susilo Bambang Yudhoyono has asked regional governments to make programs to cut the poverty rate in their respective regions in line with the central government's policy. Synergy between the central and regional governments` policies is the key to the success of the poverty eradication programs in Indonesia, the president said when installing the new cabinet lineup at the State Palace here on Wednesday. Poverty eradication programs would be much better if the central government`s policy was supported by regional governments, he said. "In many ways, what we have done is not enough, therefore there must be special programs that have to be implemented and intensified," he said.

President Wants Mining, Oil, Gas Work Contract Re-Negotiations Started
President Susilo Bambang Yudhoyono has asked ministers concerned to immediately begin talks with foreign companies whose mining, oil or gas work contracts would be renegotiated. In a policy speech after installing the newly reshuffled cabinet he said he had received a report that several foreign companies had agreed to discuss contract re-negotiations. "I have received reports that a number of foreign companies are willing to discuss it . Therefore, the ministers concerned must immediately follow it up, especially to make the contracts` more advantageous to the Indonesian nation," he said.

Indonesian Woman Wins Peace Award
An Indonesian woman has won a United Nations Development Program-sponsored peace award for helping to build peace and prevent conflict in North Maluku. Electronita Duan, from Halmahera, was awarded the N-PEACE award along with fellow peace advocates Filomena Barros dos Reis of East Timor, Purna Shova Chitrakar of Nepal and Shreen Abdul Saroor of Sri Lanka. The awards were presented during a ceremony in Bangkok on Wednesday, a UNDP news release said. The N-PEACE Network Web site, according to its Web site, operates in four high-risk crisis countries "that face chronic emergencies due to high-risk of conflict and susceptibility to natural disasters."

Tuesday, October 18, 2011
RI Stock Exchange Index Rises on Global Stocks' Upswing
The Composite Stock Price Index at the Indonesian Stock Exchange registered a rise at the market`s opening on Monday in line with a strengthening of global stocks. The index opened at 3696.65 or 31,97 points (0,87 percent) higher while the index of 45 leading stocks (LQ45) rose 7.95 points, or 1.22 percent to 657.64 points. Meanwhile, regional exchanges such as the Hang Seng index rose 370.50 points (2.00 percent) to a level of 18872.29, the Nikkei-225 index gained 133.46 points (1.53 percent) to a level of 8881.42 and Straits Times rose 22,06 points (0.80 percent) to a level of 2766.23.

RI Healthy Despite Worsening Global Economy: G20
The recent meeting of the G20 grouping of the world's largest economies praises Indonesia's "good economic growth and fundamentals" amid the worsening global economic conditions. "In other emerging economies with rapid growth, there is potential of overheating due to spiking inflation. In Indonesia, inflation remains manageable," said Finance Minister Agus Martowardojo, who attended the G20 finance ministers and central bank governors meeting on Oct. 13-14 in Paris, France. "So, generally, we're ready to tackle the global economic slowdown without reducing our preemptive efforts," he said on Monday. Indonesia's inflation continued sliding to 4.61 percent in September, with stable economic growth of 6.5 percent in the first half of this year, while the projected public debt and state budget deficit for 2011 remained low at 26 percent and 2.1 percent, respectively, of the country's GDP.

Trade Expo Indonesia Targets Developing Markets
Trade Expo Indonesia, the country's largest trade exhibition for emerging countries in Asia, the Middle East and Africa, may generate $380 million in transactions, an official said on Monday. Transactions will be up by 2.9 percent from 2010, Hesti Indah Kresnarini, director general of the National Export Agency (BPEN), said at a press conference. "The purpose of the trade exhibition is to promote high-quality products and services from Indonesia, and to accelerate the growth of the creative industry," she said. Emerging markets will account for 74.4 percent of the approximate 7,800 buyers from overseas trade missions. As many as 850 local participants will display their products at the Jakarta International Expo in Kemayoran, Central Jakarta.

Indonesia Continues Expanding Sea Conservation Areas
Indonesia continues expanding its sea conservation areas to increase water productivity and develop marine potentials with a clear direction in line with international expectations, an official from the fisheries and marine resource ministry said. "The sea conservation areas are continuously expanded and until 2014 minimally five percent of our sea ecosystem will have been designated as conservation areas," the director general for coastal marine resources and small islands, Sudirman Saad, said at the opening of a discussion on small islands` adaptation to climate change here on Monday. He said theoretically 30 percent of the sea ecosystem must be prepared for conservation in order to increase productivity of waters and develop their potential.

US Supports Nuclear Nonproliferation, Safety in ASEAN
The US has reiterated its active support for ASEAN and its member states in the nonproliferation of nuclear and other weapons of mass destruction, as well as in nuclear safety. Thomas Countryman, the US Department of State`s Bureau of International Security and Nonproliferation Assistant Secretary made the statement during his courtesy call on Dr Surin Pitsuwan, the Secretary-General of ASEAN, here on Monday, the ASEAN Secretariat said in a press statement. The support, according to Countryman, is part of the hundreds of activities being undertaken by various US agencies to follow up on President Obama`s remarks in Prague on 5 April 2009, in which he held out the hope of a "world without nuclear weapons" and his vision on how to achieve this noble goal.

Monday, October 17, 2011
Investment in RI to Grow 16.6 Pct Next Year
The Investment Coordinating Board (BKPM) has predicted investment in Indonesia will grow by 16.6 percent to Rp280 trillion next year from Rp240 trillion this year. With the increase in investment, the Indonesian economic growth would remain stable, BKPM Chief Gita Wirjawan said after addressing a seminar on New Asia Rising here on Saturday. "We are optimistic that the domestic economy will continue to grow well and will not be affected by the global crisis triggered by the sovereign debt crisis in the US and Europe," he said.

IMF Predicts RI's GDP to Grow 6.3 Pct in 2012
The International Monetary Fund (IMF) predicts Indonesia's Gross Domestic Product will grow 6.3 percent in 2012. "The prediction is 0.2 percent lower than the prediction for the 2011 GDP which is 6.4 percent," IMF Senior Resident Representative for Indonesia Milan Zavadjil said here on Monday. He said the decline in the GDP prediction was connected with the current global economic crisis. "Right now the global economy is in a dangerous phase and therefore the world economy is slowing down," he said.

SE Asia Stocks, Including Indonesia, at Multi-Week Highs
Southeast Asian stock markets gained on Monday amid hopes that euro zone policy makers will come up with a plan to solve the region's debt woes, with resource shares rising with commodity prices and lower interest rates lifting Indonesian developers. Markets in the region hit multi-week highs, along with regional currencies, as investors flush with cash after a sell-off in the previous quarter plucked up the nerve to return. "This 'risk-on' mood may be sustained for a while," said Yernyong Thepjumnong, Chief of Equities Fund Managers of Krung Thai Asset Management.

IMF: RI Economy Strongest in ASEAN
Indonesia is the strongest in terms of economic fundamentals among ASEAN`s member states with a gross domestic product (GDP) expected to reach 6.4 percent this year, the International Monetary Fund (IMF) said. The figure was the highest among ASEAN member states such as Malaysia, the Philippines, Singapore, Thailand and Vietnam, IMF Senior Resident Representative for Indonesia Milan Zavadjil said here on Monday. "In 2011, Malaysia`s GDP was projected to reach 5.2 percent, the Philippines 4.7 percent, Singapore 5.3 percent, Thailand 3.5 percent and Vietnam 5.8 percent," he said.

US Billionaire Invests in Indonesia's Media Industry
Saban Capital Group, led by United States billionaire Haim Saban, has announced it is purchasing 5 percent of Indonesia's Media Nusantara Citra for Rp 692 billion rupiah ($78.2 million). The Los Angeles-based investment firm that specializes in the media, entertainment and communications industries, also has the option to purchase an additional 2.5 percent in MNC, which is controlled by Global Mediacom, Indonesia's largest media company. Saban, in a news release, said the group was "strong believers in the growth prospects of the Indonesian economy, its positive consumer demographic trends and the growth of its media and content industries."

US to Continue Granting GSP Facilities to Indonesia
The United State is to continue granting General System of Preferences (GSP) facilities to Indonesia in a renewed key trade preference program and free trade agreements recently approved by its Congress. Indonesia was reported to have benefited greatly from the GSP program, which enabled the world largest archipelagic country to export duty-free $1.9 billion worth of goods to the United States in 2010, a release from the US embassy made available to Antara here said on Monday. This week, the US Congress passed the US-Korea, US-Colombia, and US-Panama trade agreements, as well as Trade Adjustment Assistance (TAA) reforms, the Generalized System of Preferences (GSP), and the Andean Trade Preferences Act.

Asian Maritime Geopolitics and Indonesian Security
On Sept. 1, 2011, an Indian naval vessel reported that it had received a warning by someone claiming to be a Chinese Navy official in the South China Sea. Although India and China have played down the report, such a scenario is utterly possible. India and China have been investing immense resources for naval modernization in recent years to secure "blue-water" capabilities that would enable them to operate at long distances from territorial waters. Unlike the past colonialists, Indian and Chinese fleets of the 21st century are craving control over the oceans.

Government Wants RI to Become World's Largest Wood Producer
The government is determined to turn Indonesia into the world's largest wood producer in the next 25 years without destroying natural forests, Forestry Minister Zulkifli Hasan said. To achieve the goal, the government would among others intensify tree-planting campaigns in which each citizen was expected to plant at least 10 trees, he said on the sidelines of a discussion with bloggers here on Friday night. "If the entire people can plant 10 trees each, the Indonesian forests can be restored in 30 years` time. To support the endeavor, I have not issued new permits since 2007," he said. The Forestry Ministry recorded about 30 percent of the country`s forests was damaged in the past 60 years with an annual deforestation rate of 1.08 million hectares.

Friday, October 14, 2011
RI's Annual Food, Beverage Exports to US, Europe US$1.2 Billion
Indonesia`s exports of food products and beverages to the US and Europe reach US$1.2 billion a year or 30 percent of the overall exports of the two commodities to other countries in the world, an industry spokesman said. "Last year the value of the exports to the US was recorded at around US$700 million and to Europe at about US$500 which is 30 percent of the total food and beverage exports in a year worth US$3.2 billion," Adhi Lukman, general chairman of the Federation of Associations of Food and Beverage Producers (GAPMMI), said here on Thursday. So, if the crisis in the two regions continued, the effect would be big on the country, he said.

Ailing US Sees RI As a Safe Place for More Investment
After a two-day visit, the delegation of chamber of commerce of the economically-slowdown United States found out that the growing Indonesia could be a safe place for investment in the midst of the global recession. The Singapore-based American Chamber of Commerce (Amcham) organized a trade delegation, which comprised of 31 business leaders representing more than 20 United States companies, to visit Indonesia to meet the government and business representatives, on Tuesday and Wednesday. The delegation met several high ranking officials, including Industry Minister M.S. Hidayat, Trade Minister Mari Elka Pangestu, Investment Coordinating Board (BKPM) Chairman Gita Wirjawan.

Looking to Plug Deficit, Indonesia Starts Meeting Investors on Sukuk
Government officials leave today for a series of meetings with overseas investors to gauge their interest in an offering of Islamic bonds, or sukuk. "We will start tomorrow [Friday]," said Dahlan Siamat, the Ministry of Finance's director of Islamic finance. He was responding to a question about when the government would begin road shows to drum up interest in the dollar-denominated Islamic notes. Speaking separately, a government official who asked not to be identified said that Ministry of Finance officials would "meet investors only in Middle Eastern countries."

Defense industries: 'Outsmart' limitations
The government's will to modernize Indonesia's weapons system was again highlighted by President Susilo Bambang Yudhoyono at the 66th anniversary of the Indonesian Military (TNI) last week. However, limited defense budgets have always hampered the realization of such an agenda. Indonesia enjoyed 6.5 percent economic growth during the second quarter, reflected in a whopping 35 percent increase in the defense budget for 2012 to Rp 64.4 trillion (US$7.23 billion). Along with supporting economic conditions, a wider space has been created to improve the government's commitment to modernizing weapons systems. To maximize utilization of the defense budget, the government should integrate its acquisition strategy and manage its measures carefully.

Garuda Keeps Up Expansion, Eyes More Domestic Flights
National flag carrier Garuda Indonesia plans to buy 18 small-sized airplanes for $720 million from either Brazil's Embraer or Canada's Bombardier to help add more domestic flights. Garuda's chief financial officer, Elisa Lumbantoruan, said on Wednesday that the state-owned airline was looking for planes that could carry up to 100 passengers as it attempts to replace its aging Boeing 737-300s and 737-500s. "These new planes will be serving cities with small airports, such as Malang and Ternate," Elisa said, referring to cities in East Java and Maluku.

News Focus: Foreign Tourists Fascinated by Samosir's Natural Beauty
Foreign tourists visiting Samosir island in the middle of Lake Toba in North Sumatra are always fascinated by its natural beauty and traditional welcoming ceremonies. Samosir is endowed with beautiful natural sceneries and unique cultural assets as the most potential source of income of the district in the province of North Sumatra. On Thursday, a group of tourists from Singapore arrived in Samosir island where they were greeted with a traditional Tor-tor dance performance.

Thursday, October 13, 2011
Rupiah Regains Some of Its Strength Wednesday
The rupiah regained some of its strength against the US dollar on Wednesday morning in line with Bank Indonesia`s decision to lower its benchmark interest rate or BI rate to 6.50 percent. The rupiah`s exchange rate at the Jakarta interbank market on Wednesday morning rose to Rp8.900 or up 45 points compared to its previous position at Rp8.945. "The BI Rate`s lowering still had a positive impact on the rupiah this morning, although not significantly," said Tony Mariano, currency analyst at Harvest International Futures, on Wednesday.

RI-US Activities in Water Supply, Sanitation Fields
The US Embassy and Indonesian government counterparts held a round table discussion on Wednesday about holding a sanitation month in Jakarta, the US Embassy here said in its official website Thursday. The round table discussion was also about Global Handwashing Day on October 15 and how to work together to increase access to water and sanitation across the archipelago. As part of both nations` Comprehensive Partnership commitment, the USAID Indonesia Urban Water, Sanitation and Hygiene (IUWASH) project will continue working with the Government of Indonesia to increase access to safe water for two million people and provide sanitation for 200,000 people.

9 Years Later, Kuta Bombings Remembered
Nine years after the 2002 Bali bombings, victims and the relatives of those slain in the terrorist attack say they still feel pain and anguish. One survivor, Sri Budi Rahayu, said she was in Paddy's Club in Legian, Kuta, when the bomb exploded. The blast and ensuing fire left her with severe burns that have not completely healed, despite four major operations in Australia funded by humanitarian organizations. "I still have difficulties in moving my arm," Rahayu said.

RI Proposing Higher Occupational Safety Standards for Asia, Europe
The Indonesian government is proposing the raising of occupational health and safety standards in Asian and European countries in an effort to give workers better protection against occupational accidents, a minister said. "The awareness and cooperation of all sides to support the implementation of the occupational health and safety is needed to attract investment for increasing economic development in Asian and European countries," Manpower and Transmigration Minister Muhaimin Iskandar said in written statement here on Wednesday. The minister made the proposal when he opened the Asia-Europe Meeting (ASEM) workshop on National Occupational Safety and Health (OSH) strategies held in Yogyakarta October 12-13, 2011.

RI-Germany Interfaith Dialogue Discussed Multiculturalism, Religious Education
Indonesia and Germany held their second Interfaith and Intercultural Dialogue which discussed multiculturalism and religious education at the German Foreign Ministry in Berlin from October 11 to 12. "Multiculturalism was the main topic of the second Indonesia-German Interfaith Dialogue," Purno Widodo, third secretary at the Indonesian Embassy in Berlin, told ANTARA`s London correspondent on Wednesday. In the dialogue, the Indonesian delegation was led by Bahrul Hidayat, secretary general of the Religious Affairs Ministry. Members of both delegations were academics, journalists and religious organization officials.

Wednesday, October 12, 2011
JCI Surges 2.3 Percent After BI Cuts Rate
The Jakarta Composite Index (JCI), the main price indicator at the Indonesian Stock Exchange (IDX), rose by 2.34 percent on Tuesday following Bank Indonesia (BI)'s move to cut its benchmark interest rate to 6.5 percent earlier in the same day. The index surged to 3,531.75 by closing time on Tuesday, with the LQ45 index, representing the IDX's 45 most liquid shares, rising by 2.79 percent to 622.9. "The market movement today was an impact of the BI's move to cut the BI rate, following BI's projection that the inflation rate will remain low until the end of the year," Panin Sekuritas analyst Purwoko Sartono said on Tuesday in Jakarta, as quoted by Antara.

Government Preparing Financial System Safety Net Bill
The government is ready to submit a financial system safety net (JPSK) bill to the House of Representatives for discussion to anticipate a possible global crisis, chief economic minister Hatta Rajasa said. "To deal with a crisis, we already have a crisis management protocol that regulates exchange of information between the monetary sectors and the government. We have also prepared a response policy. But we also really need a JPSK and now we are preparing it," he said here on Tuesday. Hatta assured that the government would prepare all anticipatory measures to maintain the momentum of Indonesia`s economic growth and the JPSK law would be one of the important elements of the measures," he said.

BKPM Names Seven Most Investor-Friendly Provinces
The Investment Coordinating Board (BKPM) named seven provinces as the top destinations for investment out of 26 provinces evaluated on Wednesday. The "regional champions" are Aceh, Central Java, West Kalimantan, South Sulawesi, Central Sulawesi, North Sulawesi and West Sumatra. They were deemed the most investor friendly, based on a number of indicators related to the regions' preparedness in welcoming investors. The competition excluded last year's champions, namely Riau, South Sumatra, West Java, East Java, East Kalimantan, West Nusa Tenggara and Papua.

ASEAN Agriculture, Forestry Moving Towards 2015, Beyond
As ASEAN moves toward the realization of the ASEAN Community in 2015, and achieving the Millennium Development Goals, efforts are also underway to ensure corresponding commitment and support in advancing measures outlined in the Roadmap to an ASEAN Community, said officials at the 33rd Meeting of ASEAN Agriculture and Forestry (33rd AMAF). Sundram Pushpanathan, the Deputy Secretary-General of the ASEAN Economic Community, highlighted several achievements of the Meeting, the ASEAN Secretariat said in a press statement here on Tuesday.

DPR Passes Bills on Intelligence, Judicial Commission
The House of Representatives (DPR) passed the bills on intelligence and the Judicial Commission at a plenary session here on Tuesday. "With the approval of all DPR members that were present two more bills have been passed by DPR," Priyo Budi Santoso who presided over the session said at the passing of the bills. He said with the passing of the bill on intelligence, intelligence operations in Indonesia could be conducted in better ways as a clear legal corridor for them had now been provided.

Tuesday, October 11, 2011
Investment Grows 15 Percent in Q3
The amount of realized investments in Indonesia rose 10 to 15 percent in the third quarter of 2011 compared with the same period last year, National Investment Coordinating Board (BKPM) Chief Gita Wirjawan said. The growth could be higher if funds withdrawn by foreign investors following the crisis in Europe and the US came back again into the country, he said here Tuesday. Gita said he believed the funds would return again soon. "After the dust (of the crisis) has settled, they will seek markets with good fundamentals. I am convinced Indonesia is one of the economies that is more attractive than the European and US economies," he said.

Indonesia Can Take Comfort From Its Performance in the 2008 Global Crisis
With a crisis in the euro zone and weak growth in the United States, there has been increasing concern about the impact on Indonesia. These worries are justified, but Indonesia's domestic economy proved very resilient during the global financial crisis of 2008-09 and will likely prove equally resolute during the current crisis. During the 2008-09 crisis, growth slowed to 4.6 percent in 2009, before rebounding to 6.1 percent in 2010. The economy remains on track to grow over 6.4 percent this year, and 6.1 percent growth in 2012 looks achievable. The consumption story did not get derailed in 2009. With private consumption accounting for 60 percent of the economy, fluctuations in external demand have a relatively minor impact on GDP growth. As long as consumption is strong, GDP growth will hold up.

Bank Indonesia Lowers Key Interest Rate in Surprise Move
Bank Indonesia lowered its key interest rate by a quarter percentage point to 6.50 percent on Tuesday, in a surprise move to ensure growth in Southeast Asia's biggest economy amid global financial turmoil. The central bank cited easing inflationary pressures in emerging markets, including Indonesia, as reason for the rate cut. It was the first action since February, when BI raised the rate by a quarter percentage point to 6.75 percent. The latest inflationary data gave the central bank reason to remain steady, as headline inflation stayed within the central bank's range of 4 percent to 6 percent this year. The annual inflation rate slowed to 4.61 percent in September from 4.79 percent in August, according to the Central Statistics Agency.

BI to Closely Monitor Global Financial Market Developments
Bank Indonesia (BI) Governor Darmin Nasution said the central bank would remain alert towards the risks and uncertainties in the global financial markets and the sliding trends in the global economy due to the debt and fiscal problems in Europe and the United States. "We will pay special attention to the short-term impacts that will be manifested in financial channels in the form of a decline in the index of the stock exchange, indicators of rising debt risks, pressures resulting in capital reversals from emerging markets including Indonesia by global investors," he said when presenting the results of the central bank`s board of governors` meeting here on Tuesday.

RI Keeps Promoting Climate Technology Center's Establishment
Indonesia continues promoting the establishment of a Climate Technology Center and Network (CTC-N) to accelerate transfer of technology for efforts to anticipate the impacts of global climate change, a spokesman said. "Indonesia is making efforts in the negotiations on the establishment of a Climate Technology Center and Network (CTC-N) which is beneficial to developing nations," Rachmat Witoelar, the head of the Indonesian delegation to the Panama Climate Change meeting, said in a press statement here on Monday. Discussions on the mechanism for the transfer of technology to developing countries was among the main topics of the climate change meeting.

ADB's New Chief for RI Eyes Stronger Partnership
The Asian Development Bank's (ADB) new country director for Indonesia Jon Lindborg expects to sustain and enhance the Manila-based lender's strong partnership with the Indonesian government, private sector, civil society and other development partners. "I am keen to strengthen ADB's role as a responsive and results-oriented partner to Indonesia and will continue to support its pursuit of a better and prosperous country in the years to come," Lindborg, who assumed office on Monday, said in an official press statement. He mentioned the government's Acceleration and Expansion of Indonesia Economic Development (MP3EI) 2011-2025 as an example of an area in which the ADB would collaborate. The master plan, needing thousands of trillions of rupiah in investment to realize, is expected to make Indonesia among the world's ten largest economies by 2025.

Friday, October 7, 2011
JCI Up Again on Europe Debt Optimism
Stocks continued their advance for a second day on Thursday as local investors kept on putting their faith in the local equity market amid optimism that the debt crisis in Western Europe would not worsen. The Jakarta Composite Index rose 149.87 points, or 4.6 percent, to 3,443.11, extending Wednesday's 0.7 percent gain. About 4.6 billion shares worth Rp 5.3 trillion ($594 million) changed hands at the Indonesia Stock Exchange. Foreign investors bought Rp 39 billion more in shares than they sold, having sold a net of Rp 502 billion on Wednesday.

BKPM Optimistic 2011 Investment to Reach Rp 240 Trillion
The Capital Investment Coordinating Board (BKPM) is optimistic realization of investment in 2011 would reach Rp240 trillion as more investors would come to the country, its chief, Gita Wirjawan said here on Thursday. He said in the months ahead it was believed more investors would come to invest in the country. He said based on the results of his meeting with investors in Turkey recently investors believed Indonesia had good economic fundamentals. "I am optimistic we can meet the target," he said.

Investments in Forestry Sector Reach Rp 32 Trillion
A total of 328 wood industries invested a total of Rp32 trillion in the forestry sector in Indonesia over the past two years. a senior forestry official said. "With their investments totaling Rp32 trillion, the forest-based wood industries absorbed a total of 237,824 workers. It`s big number, and it should be noted that those living around forests are poor people," the forestry ministry`s secretary general, Hadi Daryanto, said here recently. Many investors had realized that the forestry business was a sunrise rather than a sunset industry, according to Hadi.

Indonesia and Global Competitiveness
No one doubts the strategic importance of a country's competitiveness in today's globalized and liberalized international trade. Political stability, legal certainty and sound macroeconomic policies remain the necessary elements for a nation to sustain economic growth. In the face of growing global competition, however, competitiveness has now become a determinant of "successful" nations. The question now is, what constitutes national competitiveness? Mr. Harsha V. Singh, deputy director general of the World Trade Organization (WTO), pointed out in the International Conference in Yogyakarta on Oct. 3, 2011, that the domestic economic environment matters very much in ensuring a more productive and competitive economy. Among the areas in which countries need to improve are, the quality of institutions; infrastructure; macroeconomic environment; health and primary education; higher education and training; goods market efficiency; labor market efficiency; financial market development; technological readiness; market size; business sophistication; and innovation.

Mandiri Aspiring To Be Third Best Bank in SE Asia
Bank Mandiri Tbk. is seeking to be the third best bank in Southeast Asia before 2014, the bank`s director said. "Most of the best banks are in Singapore. So we wish Mandiri to become a first-rate bank in the region," the bank`s director for treasury, financial institution and special asset management, Royke Tumilaar, said at a general lecture at Sam Ratulangi University here on Friday. To achieve that position he said Bank Mandiri has already taken various efforts which are in essence aimed at developing the bank in all aspects to become the best.

Nestle Plans to Invest US$200 Million in Cacao
Swiss-based food giant Nestle SA plans to invest US$200 million in a cacao plantation in Indonesia because it believes the industry still offers promise for years to come, a businessman says. Indonesian Cacao Association (Askindo) chairman Zulhefi Sikumbang said the government should support the plan, as it could provide new jobs. "We are optimistic the cacao industry will develop as foreign investors have shown interest in investing in this industry and it will help the stalled industry grow," Zulhefi said Friday as quoted by Antara news wire.

Thursday, October 6, 2011
IDX Faring Better Than Others: Minister
Finance Minister Agus Martowardjojo said on Thursday that the Indonesian Stock Exchange (IDX) was faring better than other countries' stock exchanges affected by the financial crisis in Europe. "The IDX composite index has dropped to 3,269. However, as of Sept. 30, 2011, the IDX yield only reached -4 percent, better than stock exchanges in Malaysia (-18 percent), Singapore (-16 percent), London (-13 percent) and America (-5.74 percent)," he said as quoted by tribunnews.com. IDX market capitalization also declined to Rp 2,963 trillion on Oct. 5 from Rp 3,700 trillion on Aug. 1.

Government to Offer Retail Bonds
The government is planning to offer retail state bonds series ORI008 on October 7-21, 2011 to meet part of financing target in the revised 2011 state budget. The three-year bonds due on October 15, 2014 will be issued at a coupon of 7.30 percent per year, Director General of Debt Management at the Finance Ministry Rahmat Waluyanto said in a statement on Thursday. The allotment date of the bonds will be October 24, 2011 and the settlement date on October 26, 2011.

Government Targets 5-Pct Growth in Annual Rice Production
The government is targeting an annual five percent growth in rice production to achieve a surplus of 10 million tons in 2014-2015, a minister said. "A road map was discussed just now to achieve the production growth with each region setting an average annual five percent growth," chief economic minister Hatta Rajasa said after a coordination meeting on food here on Thursday. Hatta confirmed the government had prepared an investment plan to open new agricultural lands and build dams as an irrigation facility involving state enterprises.

Yudhoyono Says People Must Not Be Threatened
Indonesian President Susilo Bambang Yudhoyono requested the Indonesian Army (TNI) to take part in preventing terrorism, social clashes, horizontal conflict and separatism. The president said that the people must not feel threatened, and that separatist movements must not be allowed to threaten the integrity of the nation. Security officials and the army must be able to protect and serve the community. "Security and integrity are the responsibility of the police. But, the army can take part in preventing violence and terrorism," said Yudhoyono on Wednesday at the commemoration of the 66th Anniversary of the Indonesian National Army (TNI) in the TNI headquarters in Cilangkap.

Chevron to Double Oil Production at Minas Field
PT Chevron Pacific Indonesia said Thursday that it planned to double its oil production at the Minas field in Riau by applying an enhanced oil recovery (EOR) technology. The company's vice president for policy, government and public affairs, Yanto Sianipar, told reporters that Chevron was currently installing necessary infrastructure to apply the technology. He estimated that the company could start the field trial next year. "We'll inject surfactant to erode oil which sticks in reservoirs. We hope to double our production at the field from the current 70,000 barrels per day [bpd]," he said on the sidelines of a discussion session in Jakarta.

Preserving Batik With Love
I used to think creating batik was as easy as drawing landscapes - until I tried my hand painting a simple motif when I attended "Adiwastra Nusantara 2011", a regular cloth expo in Jakarta. A mentor gave me and other batik enthusiasts a small piece of cloth to work on a prepared pattern. To laypeople, it looks easy when you watch artisans do it, but that day's lesson convinced me that doing batik was challenging and tedious that only truly talented and dedicated people would take up the work as a profession.

Wednesday, October 5, 2011
Bapepam-LK Confident RI's Capital Market to Keep Growing
Capital Market and Financial Institution Supervisory Board (Bapepam-LK) Chief Nurhaida said she was optimistic the country's capital market would continue to grow despite the current global crisis. "We are optimistic the capital market will continue to grow although the current global conditions are not conducive. The capital market still gets support from the domestic economy that continues to grow and being marked by issuers` positive performance," she said in her speech at an Investors` Summit 2011 here on Wednesday.

Investor Summit Opened Today
The Investor Summit and Capital Market Expo will be held on October 5-6. This is the sixth time the event is being held by the Indonesian Stock Exchange and it will be attended by 28 companies. "The theme is Investing in Capital Markets: A Journey for a Better Future," said CEO Ito Warsito in a press conference yesterday. The event is expected to attract investment in the capital market. Some 2,000 local and international investors will attend the event. "We targeted 2,000 people, but 2,448 people have registered. It's hard to refuse them," said Ito.

Finance Ministry Launches New Whistle-Blowing System
The Finance Ministry, which is responsible for thousands of trillions rupiah in state funds, launched a new whistle-blowing system on Wednesday to aid the fight against corruption. The system, called WISE, is open to the public, including ministry officials, to report any misdemeanors or unlawful actions by Finance Ministry officials through website www.wise.depkeu.go.id.

Government to Cut SOEs Number to 25 by 2025
The government is to reduce the number of state-owned enterprises (SOEs) from 141 today to 25 by 2025, a minister said here Tuesday. Speaking at a seminar themed "SOEs as Engines of the National Economy", Hatta said there were now too many SOEs and this caused them to lack focus while the businesses of many of them overlapped. "The ideal number is four to five sectoral holding companies handling infrastructure, investment and transportation," Hatta said.

Government to Raise TNI Budget by 35 Percent in 2012
President Susilo Bambang Yudhoyono said the government would raise the Defense Forces (TNI) budget by up to 35 percent in 2012 in line with the increasing complexity of TNI`s tasks. He said at the commemoration of TNI`s 66th anniversary here on Wednesday that the TNI budget would be raised to Rp64.4 trillion next year from Rp47.5 trillion this year. He said "with the budget as big as that let us continue the ongoing modernization and maintenance of TNI`s main hard wares to increase the combat and capability power of all TNI forces."

PT DI, Spain's EADS-CASA to Produce C-295 Planes
PT Dirgantara Indonesia (DI) and European Aeronautic Defense and Space (EADS)-CASA Spain are to cooperate in producing C-295 light military transport planes, a DI official said. "The C-295 plane is the result of CN-235 development with its fuselage extended by three meters while the wings are the same and the engine is bigger," PT DI president director Budi Santoso said after meeting with Airbus Military CEO and deputy minister of defense Domingo Urena Raso here on Tuesday. The two sides agreed to build six to nine units. Some of the planes would be built by EADS-CASA in the aircraft manufacturing facility of Airbus Military in San Pablo, Sevilla, Spain.

News Focus: Komodo Island Promotion Activities Being Intensified
The tourism and culture ministry has decided to withdraw the candidacy of Komodo for inclusion in the New Seven Wonders of Nature (N7WN) list, but an NGO, the P2Komodo (Supporting Committee for Komodo Island) is determined to continue the Komodo campaign for N7WN. Despite their differences, both the government and P2Komodo have been intensifying promotion activities of the unique island, which is home to the Komodo dragon, the world`s largest lizard, internationally and nationally.

Tuesday, October 4, 2011
RI's Economic Growth to Reach 6.6 Pct in Q3: Minister
The Indonesian economy during the third quarter of 2011 is believed to have reached a growth rate of 6.6 percent, Finance Minister Agus Martowardojo said. Speaking at the Asian Round-table on Corporate Governance here on Monday he said the projection was based on growth in the investment and consumption sectors which had been the biggest contributors to economic growth for some time. "I think if growth in the investment and other sectors in Indonesia are maintained at the rates we have seen lately it is likely that Indonesia`s economic growth may reach 6.5 to 6.6 percent in Q3," he said.

September Inflation Expected Below 0.9 Pct: Minister
The government expects the inflation rate in September 2011 to drop to a level below last August`s 0.89 percent, chief economic minister Hatta Rajasa said. "We predict that the inflation rate in September 2011 will not be as high as that in August 2011 which was 0.89 percent or almost 0.9 percent. We hope that inflation in September will be below that figure ," Hatta Rajasa said here on Monday. He said he made the inflation prediction based on the fact that commodity prices had tended to drop. The price of gold for example had now dropped while sometimes in the past it increased by 0.3 percent.

RI Posts Rp 34.29 Trillion Trade Surplus
Indonesia recorded a 63.56 percent trade surplus in the August 2011 period if compared with that in the previous month, a statistical official said. "The 63.56 percent increase in the trade balance surplus was mostly contributed by oil and gas exports," Deputy Chief of the Central Board of Statistics (BPS) for service and statistics distribution affairs Djamal said here on Monday. Indonesia`s trade balance in August was recorded at US$3.76 billion or Rp34.29 trillion, up 63.56 percent compared with that in July 2011 which was US$1.37 billion or Rp12.49 trillion, he said.

BI Issues New Policy on Foreign Exchange Traffic
Bank Indonesia (BI) or the central bank on Monday issued a policy on foreign exchange traffic related to proceeds from export activity (DHEs) and foreign currency disbursements (DULNs) from foreign loans. BI Governor Darmin Nasution said under the new policy, exporters were required to receive DHE (foreign exchange proceeds from exports) and foreign loan recipients obliged to draw on the loans through foreign exchange banks in Indonesia. Darmin said that in accordance with Law no. 24 year 1999 regarding the Foreign Exchange and Exchange Rate System, the policy did not limit the length of time the exporters and foreign loan recipients could keep their foreign exchange funds in the banks nor were they obliged to convert the foreign exchange funds into the Rupiah.

U.S., Indonesia Announce $28.5 Million Debt Swap for Forests
The United States and Indonesia signed a $28.5 million debt-for-nature swap agreement on Monday, the US Embassy here said. The agreement was signed under the U.S. Tropical Forest Conservation Act (TFCA) of 1998 that will reduce Indonesia`s debt payments to the U.S. Government over the next eight years by nearly $28.5 million, the embassy said in its website on Monday. In return, the Government of Indonesia will commit these funds to support grants to protect and restore the country`s tropical forests in Kalimantan. This agreement, in partnership with World Wide Fund for Nature-Indonesia (WWF) and The Nature Conservancy (TNC), will be the second TFCA debt-for-nature swap in Indonesia.

5 Great Holiday Destinations in Indonesia
Hailed as the "ultimate holiday island" by many globetrotters, Bali's magnetic charm is still alluring. With many remote beaches popping up on the map, such as Dreamland and Padang Padang, as the new darlings alongside other novel attractions, Bali remains on everyone's top destinations list. Also thanks to the Eat, Pray & Love movie for securing Ubud as the artsy little town filled with cool galleries and stylish boutiques, and of course, a haven for spiritual seekers, where people can cleanse their soul with a little yoga and meditation in the rice fields and enjoy amazing spa treatments.

RI Promotes Sustainable Green Economic Development
Economic development is in the future to be implemented with due consideration of environmental concerns, Deputy Minister of National Development Plan/Vice Chairman of the National Development Planning Agency Lukita Dinarsyah Tumow said. "President Susilo Bambang Yudhoyono has given directives for the development of the Indonesian economic policies in the future, it should be environmental preservation-based economic development ," Lukita said at a workshop on "The Implementation of the National Action Plan on Greenhouse Emission Reduction for Land-based Field," organized by the Bogor Institute of Agriculture (IPB) on Tuesday. Indonesia should learn the lessons of the past when economic development had targeted growth at the expense of nature.

Indonesia Proposes Bio-Village in SSC International Workshop
Forestry Minister Zulkifli Hasan said the Indonesian government proposed bio-village concept in the second International Workshop of South-South Cooperation/SSC-2 being held in Kampar district, Riau province on 4 to 8 October. "The Indonesia government proposed the development of communities living in the biosphere reserve region with the concept of bio-village which is expected to be a basis in the management of biosphere reserves in Indonesia and the worldwide," Minister Zulkifli explained after the opening of the SSC Workshop here Tuesday.

RI Sends Mily Contingent to Haiti
Indonesia is sending 167 military personnel to Haiti to join the United Nations' Peacekeeping Force (Mission des Nations Unies por la Stabilisation en Haiti/MINUSTAH there, the country`s military commander said. The 167 National Defense Forces (TNI) personnel are grouped in the KIZI TNI Garuda Contingent XXXII-A/MINUSTAH 2011 and were seen off by TNI Commander Admiral Agus Suhartono at the TNI headquarters here on Monday. "This is the first TNI contingent assigned in Haiti and its assignment is proof of the UN`s increasing trust on the capability of the TNI forces," Agus said on the occasion.

Strengthening the Legal Foundation of Indonesia's Foreign Policy
On Sept. 14, 1999, Indonesia adopted Law No. 37 on Foreign Relations. With this adoption, Indonesia became one of the few countries to have a separate law on foreign relations. The law was introduced as the reform era in the country began to unfold. One important purpose of having the legal foundation is to ensure the country's legal security when formulating, producing and implementing foreign policy. The country will be more confident in conducting foreign affairs when it feels that its steps are not legally problematic. Legal security has often become a minimum denominator for the viability of a country's foreign policy. In general, there are four sources that can serve as legal bases for foreign relations and foreign policies of a country, namely the constitution, legislation and other regulations, treaties and executive agreements and international legal instruments to which a country binds itself.