Category: Economy

Indonesia exports refrigerators to Cambodia through PT Panasonic Manufacturing Indonesia (PMI). This is related to the import substitution program and activities to increase exports of domestic products.
“I convey my highest appreciation to all ranks of Panasonic Manufacturing Indonesia for their support for the government’s efforts to encourage export activities of the electronics industry,” said Industry Minister Agus Gumiwang in a statement, Monday (26/9/2022).
According to Agus, this effort is a clear proof that the synergy between the government and industry players is going well. “The receipt of this Panasonic refrigerator product proves that the quality of electronic products made by Indonesian children has been recognized by the international market,” he added.
Refrigerator is one product that has a high export value in Indonesia. In 2021, the refrigerator export value will be US$ 374.4 million or Rp5.65 trillion (exchange rate of Rp15,014) of which 40% comes from the contribution of PT PMI which has exported refrigerators to Asian and Middle East markets.
Cambodia is the 8th country for PT PMI in terms of refrigerator export destinations besides Japan, Hong Kong, Malaysia, Myanmar, UAE, Kuwait and Oman. Apart from refrigerators, PT PMI has also exported other electronic products such as audio products, water pumps and washing machines.

September26, 2022, detikFinance
(https://finance.detik.com/industri/d-6312873/ri-ekspor-kulkas-ke-kamboja-hingga-jepang-rp-5-t)

The cooperation between Indonesia and South Korea resulted in a business agreement worth US$7 million or equivalent to Rp105 billion (exchange rate of Rp15.000). Through this agreement, Indonesia will export several food products to the Ginseng Country. Including sweet potato and cassava chips. The signing of the MoU by the two countries was carried out in Nusa Dua, Badung, Bali, Friday (23/9/2022). Witnessed directly by the Minister of Trade Zulkifli Hasan.
“I welcome the signing of the three MoUs that result in a potential transaction of US$ 7 million. Products that South Korea is interested in are cognac, as well as cassava chips and frozen processed sweet potatoes which are Indonesia’s flagship products,” said Zulkifli Hasan in a written statement, Saturday ( 24/9/2022).
The signing was carried out by three Indonesian business actors and two South Korean business actors. PT Satoria Konjac Industri with With Us Co., LTD signed an MoU for the purchase of cognac products with a potential transaction value of US$ 2 million, PT Indorasa Utama with With Us Co., LTD for cassava chips products with a potential transaction value of US$ 2 million, and PT Seed Origin International and Wellygo Inc for processed sweet potato products (frozen dried sweet potato stick/frozen sweet potato paste) with a potential transaction value of US$ 3 million.
For additional information, the trade value between Indonesia and South Korea for the January-July 2022 period is US$ 14.03 billion. In that period, Indonesia’s exports to South Korea amounted to US$ 7.27 billion and imports US$ 6.77 billion.
Meanwhile, in 2021, the total trade value between the two countries will be US$ 18.41 billion. The value of Indonesia’s exports to South Korea reached US$ 8.9 billion and imports US$ 9.4 billion. South Korea is the 7th home country of foreign direct investment (FDI) for Indonesia. Its investment in 2021 is US$ 1.64 billion with 2,511 projects.

September24, 2022, detikFinance
(https://www.detik.com/bali/bisnis/d-6309728/deal-di-bali-korsel-siap-borong-ubi-keripik-singkong-ri-rp-105-m)

Electric vehicle (EV) company PT Mitra Motor Group (MMG), a subsidiary of coalminer PT Indika Energy, created a joint venture (JV) with EV component producer Foxteq Singapore on Sept. 22. According to an information disclosure released on Friday, the JV will be called PT Foxconn Indika Motor (FIM), which is licensed to build EVs with four wheels or more, produce batteries and provide management consulting services.
“MMG’s participation in FIM is the company’s step toward expanding its business activities into the electric vehicle sector, especially four-wheeled electric vehicles, in Indonesia,” Indika Energy corporate secretary Adi Pramono said in the disclosure.
Focusing on manufacturing commercial electric cars and batteries, the JV was followed by an investment of Rp39 billion (US$2.5 million) from MMG, equivalent to 60 percent of the paid-up capital. An affiliation of Hon Hai Technology Group, known as Foxconn, Foxteq Singapore paid in capital of Rp 29 billion, the equivalent of 40 percent of the paid-up capital.
Indika Energy director and group chief investment officer Purbaja Pantja said that the company saw huge potential in EV development in Indonesia. “This collaboration will create a comprehensive electric vehicle ecosystem that aims to support Indonesia in becoming one of the leading electric vehicle and battery ecosystem developers,” Purbaja said.
Foxconn battery strategy head Troy Wu said that this JV showed the firm’s commitment to developing a sustained EV ecosystem in the country. “Indonesia is the largest economy in Southeast Asia and holds the current G20 presidency and the next ASEAN chairmanship, and has committed to an ambitious net-zero emission target,” Wu added.
Previously, another Indika Energy EV manufacturing arm PT Ilectra Motor Group (IMG) launched the indigenous fully electric Alva One Motorcycle, which will be manufactured in a factory in Cikarang, West Java. In order to develop the two-wheeler brand and its supporting ecosystem, IMG raised a total of US$7.5 million in May from Alpha JWC Ventures, Horizon Ventures, equal to 21.4 percent of the company’s shares, while Indika Energy added another $7.5 million.

September23, 2022, The Jakarta Post
(https://www.thejakartapost.com/business/2022/09/23/indika-foxconn-sign-jv-agreement-on-ev-factory.html?)

Diversified conglomerate Astra International has completed a transaction to acquire a stake in private lender Bank Jasa Jakarta (BJJ) for Rp 3.88 trillion (US$259 million) with a view to forming its own digital bank. The transaction was done through Astra subsidiary PT Sedaya Multi Investama, also known as Astra Financial, alongside WeLab Sky, a consortium led by Hong Kong-based fintech platform WeLab, with each entity to own 49.56 percent of BJJ.
“BJJ as a digital bank will complement many financial products and services that we could offer to our customers,” Astra financial director in charge Suparno Djasmin said in a statement on Monday.
Astra’s acquisition comes after a wave of new digital banks in the country, like GoTo-backed Bank Jago, CT Corp-backed Allo Bank and Sea Group-backed Sea Bank. Digital banks have gained traction in Indonesia, where their investors look to capitalize on the country’s large market with consumers who are accepting of the fintech industry.
Simon Loong, founder and group CEO of WeLab, said the acquisition would allow the fintech firm to expand its digital bank services beyond Hong Kong. In 2018, WeLab partnered with Astra to form a fintech lending company, PT Astra WeLab Digital Arta.
“Our partnership with Astra will support our strategic focus to increase our cooperation and business with partners in expanding the scale and reach to strengthen our network in pan-Asia fintech platforms,” Simon said in the same statement.

September20, 2022, The Jakarta Post
(https://www.thejakartapost.com/business/2022/09/20/astra-invests-259m-in-bjj-to-form-digital-bank.html?)

South Korea’s Jeju Air has inked a deal with the North Sulawesi administration to offer direct flights between Manado and South Korea. Jeju Air CEO Kim E-bae and North Sulawesi Governor Olly Dondokambey signed the agreement at the Indonesian ambassador’s residence in Seoul on Friday.
“I’m very grateful because we are sure that our company can help with Korean and Indonesian economic development. We will try our best to open direct flights to Manado, Bali, Lombok, Jakarta and Yogyakarta,” Kim said, noting that such flights were in the pipeline.
Olly said North Sulawesi was well situated for the deal, being only five hours by plane from South Korea, and he expressed hope that the flight route could boost tourism for both North Sulawesi and South Korea.
“What makes North Sulawesi ideal is how relatively close it is to South Korea. North Sulawesi’s location and geostrategy offer benefits for water transportation to and from Bitung Harbor, which is not far from Sam Ratulangi Airport. Manado people love to travel. So, this deal is beneficial to both parties. I hope Mr. Kim and the Busan Authority can come to North Sulawesi in the near future to see other potential projects we can work on together because Manado and South Korea have a lot of similarities. For example, you have a lot of ginseng plants, and liquors too,” said Olly.
Tourism and Creative Economy Minister Sandiaga Uno said the new route could increase international tourists’ awareness of attractions near Manado, particularly Likupang, a government “super priority” tourist destination. “The Tourism and Creative Economy Ministry fully supports the signing of this deal, as it can have a multiplier effect in the future for tourism and the creative economy in North Sulawesi. This route can serve as an opportunity for local creative industry players to showcase quality products and services to South Korean tourists,” Sandiaga said.

September20, 2022, The Jakarta Post
(https://www.thejakartapost.com/business/2022/09/20/jeju-air-to-open-direct-manado-south-korea-flight-in-tourism-bid.html?)

The latest ASEAN Summit was held in Jakarta, Indonesia on 5-7 September 2023 ago. The 43rd ASEAN Summit was held at the Jakarta Convention Center (JCC) on 5-7 September 2023. This year Indonesia got the opportunity to host the ASEAN Summit again after the 42nd Summit in Labuan Bajo NTT in May 2023. President Jokowi officially opened the Summit on September 5, 2023, at the Plenary Hall, JCC. The theme of the ASEAN 2023 Summit is the ‘ASEAN Matters Epicentrum of Growth,’ which was attended by state leaders and representatives from 10 ASEAN member countries, as well as representatives from ASEAN Partners. The implementation of the Summit for three days held 12 summit meetings and produced 90 important agreement documents and several other agreements with ASEAN partner countries in the fields of security, humanity and economy. The following are the results of several main agreements:

ASEAN Concord IV, also called Jakarta Declaration on ASEAN Matters: Epicentrum of Growth (Jakarta Declaration in the Importance of ASEAN: Growth Center) was agreed upon by ASEAN member countries on September 5, 2023. ASEAN Concord IV became the main document in the 43rd ASEAN Summit Declars 16 points that emphasize the importance of ASEAN for all of its people and become the center of growth in ASEAN and the Indo-Pacific region and its surroundings, including implementing the vision of the ASEAN 2025 community towards the vision of the ASEAN 2045 community.

1. The agreement of the cooperation project between ASEAN members and other state partners.

A total of 93 projects valued at US $ 38.2 billion or equivalent to IDR 580.64 trillion (exchange rate of IDR 15,200). “I appreciate the support and contribution of ASEAN countries and ASEAN partners, so that 93 projects have been collected by US $ 38.2 billion,” said President Joko Widodo in the opening of AIPF 2023 at the Mulia Hotel, Jakarta, Tuesday (5/9/2023) .

2. ASEAN MATTERS

Contains 10 points that include security issues including: Strengthening cooperation to overcome the challenges of drugs in the region in order to build a safe, peaceful, and drug-free environment for the ASEAN community; Preserving the ASEAN region as a nuclear weapon-free zone and other mass destruction weapons as immortalized in the ASEAN Charter and the Seanwfz Agreement (South East Nuclear Weapon Free-Zone); Re -enforcing the International Sea Law (UNCLOS 1982) to maintain and maintain peace, security, stability, safety and freedom of navigation including flights, especially over the South China Sea.

3. Epicentrum of growth

Contains 31 points of the majority action programs including economic, industrial, environmental, education to migrant workers.

4. Implementation of the Asean Outlook on the Indo-Pacific (AOIP)

Contains 8 action program points about increasing the role of ASEAN in the Indo-Pacific region to maintain peace and security related to geopolitics and geostrategic.

5. ASEAN Secretariat Becomes ASEAN Headquarters

ASEAN state leaders agreed to change the status of ASEAN Secretary or the ASEAN Secretariat into the ASEAN Headquarters or ASEAN Headquarters.

6. Middle Eastern Problems

ASEAN leaders expressed concern over the war between Israel and Palestine. ASEAN expressed its support for Palestinian freedom through the realization of the two coexist.

September 5, 2023, detikFinance dan detikEdu

(https://finance.detik.com/berita-ekonomi-bisnis/d-6914376/jokowi-ungkap-buah-hasil-ktt-asean-93-proyek-senilai-rp-580-t)(https://www.detik.com/edu/detikpedia/d-6925505/hasil-ktt-asean-tahun-2023-di-jakarta-asean-concord-iv-myanmar-hingga-timteng)