Indonesia recorded inflation of 2.72 percent in 2019, the lowest level in around two decades, thanks to lower inflationary pressure from government-regulated prices, Statistics Indonesia (BPS) announced on Monday.

The figure is far lower than the government’s 3.5 percent target as stated in the 2019 state budget and is within Bank Indonesia’s target of between 2.5 and 4.5 percent.

The 2019 inflation is the lowest since 2012 when the agency began recording the movement of the consumer price index (CPI) using the current method of 82 cities, said BPS head Suhariyanto. On a longer time frame, last year’s inflation is the lowest since 1999 when the CPI increased by 2.13 percent.

Core inflation reached 3.02 percent last year, slightly lower than 3.07 percent inflation booked in 2018. Administered prices recorded 0.51 percent inflation, drastically lower than 3.36 percent in 2018.

Volatile food inflation stood at 4.3 percent, higher than 3.39 percent a year before.

“In 2019, the 2.72 percent inflation was [caused] by the relatively controlled prices due to the government policies. The administered prices did not make a big contribution [to the headline inflation] because there were no significant policies in 2019 compared to 2018,” said Suhariyanto in Jakarta.

The country’s inflation stood at 3.13 percent in 2018.

The primary commodities that drove inflation last year were gold and red chili, which contributed 0.16 percent and 0.15 percent to inflation last year, respectively. Housing rental rates and shallots have contributed 0.1 percent each to last year’s inflation.

The inflation movers contrast with those of 2018, when they included gasoline, rice and filtered clove cigarettes.

Suhariyanto added that the higher administered prices inflation in 2018 was caused by the government’s policy to increase fuel prices as well as a sharp increase in airfares.

In December alone, inflation was booked at 0.34 percent, primarily driven by price increases in foodstuffs and airline tariffs in line with increased demand during the year-end holiday season.

Source: https://www.thejakartapost.com/

Bali is extremely popular with tourists from Asia, Australia and very recently, America, and with good reason. It boasts a consistently warm and tropical climate, stunning beaches, jungles, a low cost of living and laid-back lifestyle. It is a veritable paradise. As a result of its ever-growing tourist trade, the so-called Island of the Gods has become popular as more than just a holiday getaway destination.

Bali has become the go-to place for individuals who are looking to escape the rat race and establish themselves as entrepreneurs with their own businesses. They have realized that on Bali they can have their cake and eat it, by working and living in paradise.

To show this is not some flimsy whimsical fantasy and very much a reality for many people, we are going to highlight three new entrepreneurs who have been finding success on the Indonesian island.

Sean and Mee Gray, Founders and Owners of Roots

Roots is a renowned restaurant and villa accommodation setup that serves healthy Korean-inspired food made with locally sourced ingredients. They had been living on the island since November 2016 and by April the following year they were building their restaurant business, that would eventually be called Roots. It opened in November the same year and then in January they added to the complex by erecting several villas to the rear of the eatery.

Part of the reason they decided to open a restaurant, something they weren’t interested in initially was down to the help and support they received while in Ubud.

Andrea Loubier – Co-Founder of Mailbird

Mailbird is a business that helps streamline Microsoft Windows and stops it being too clunky and complicated to manage for businesses. Her business may still be just taking off, but it has already attracted positive attention from many of the top publications in the industry like TechCrunch.

Andrea Loubier was originally employed in engineering back home in Ohio and moved to Bali because of a combination of the truly inspiring scenery and the low cost of living. She believes that Bali has all you need to start a business, but people don’t realize it. She makes a good point as erven the internet speeds, which are questionable in most Asian areas and countries, are better in Bali.

Peter Wall – Co-Founder of Hubud

Hubud is the first big co-working space in Bali. Located in Ubud and co-founded by Peter Wall, this is seen as one of the driving forces for the growth of the island’s startup business and creative community. Along with Steven Munroe, they wanted to build the space to provide help for the growing community and it now has more than 200 members.

As Wall has pointed out in interviews, when you work in a big city you are often looking for reasons not to be there. That is not the case with working in Bali. All the entrepreneurs don’t look for ways to get out of going to work and all the individuals living and working there are doing what they want.

Feeling inspired by these entrepreneurs who dared to dream? Check out our quick guide to setting up a business in Bali.

Stop Right Now! Thank You Very Much. It’s time to Spice Up Your Life Like It’s 1996

Jakarta, 30 October 2019 – Hotel Mulia Senayan, Jakarta New Year’s Eve 2020 is one of the most awaited New Year’s Eve events in Jakarta. This year, the five-star hotel presents WANNABE – The Spice Girls Show from the UK, one of the world’s biggest touring Spice Girls production on 31 December 2019, enlivened with a lavish New Year’s Eve dinner.

WANNABE turns back the clock 20+ years to when Sporty, Scary, Ginger, Baby and Posh ruled the global pop world. The show follows the Spice Girls’ glittering careers from their first No.1 to the Spice reunion when they performed at the 2012 London Olympics Opening Ceremony. WANNABE features classic costumes, unique vocal and musical arrangements, iconic dance routines and spectacular visual flair. Expect to hear the favourite hits including: Wannabe, Viva Forever, 2 Become 1, Who Do You Think You Are, Mama and the Girls’ solo singles – from I Turn To You (Mel ‘Sporty’ C) to the show-stopping It’s Raining Men (Geri ‘Ginger’ Halliwell).

After opening in 2017 to rave reviews, WANNABE has toured the UK and Europe, and having played to over 100,000 Spice girls fans, WANNABE is the longest running Spice Girls stage show in the world. “Any true fan will jump from their seat” – by Theatre Weekly.

Apart from hosting the extravagant performance in Jakarta, the award-winning hotel also features a delightful selection of New Year’s Eve dinner at The Café, Table8, Orient8, il Mare, Bleu8, Edogin and Cascade Lounge, in combined with an indulgent stay at Hotel Mulia Senayan, Jakarta.

For more information and reservations, guests can contact +6221 574 7777 or visit www.hotelmulia.com Advance bookings are required.

About Hotel Mulia Senayan, Jakarta
Established since 20 September 1997, Hotel Mulia Senayan, Jakarta is internationally renowned for its finest quality of facilities, impeccable hospitality and unrivalled service excellence. The hotel is adjacent to the only golf course within the city centre, and minutes away from Jakarta Convention Center. Each of its 994 guest rooms boasts unparalleled views of the city’s skyline, while an international art gallery features exquisite art pieces both within the rooms and in public areas. In 2015 the Hotel introduced The Suites at Hotel Mulia Senayan, Jakarta reflecting pure elegance and sophisticated craftsmanship that define Mulia’s signature style of luxury. Every detail in The Suites bears the insignia of Mulia, beginning with personalised greeting from the moment of arrival, with discreet Butler service that is ready to anticipate guest needs and bespoke furnishing with exquisite amenities. Hotel Mulia Senayan, Jakarta is home to one of Southeast Asia’s largest ballroom, which accommodates up to 4,000 guests. With service excellence as its foremost priority, Hotel Mulia Senayan, Jakarta has received various international awards, including ‘The Best Hotels in the world’ 2017, Condé Nast Traveler USA – Reader’s Choice Awards.

For more information, please contact:
Hanny Wahyuni
Director of Communications
Hotel Mulia Senayan, Jakarta
Phone: +62 21 574 7777 ext.4502
Email: [email protected]

Government plans to inject more than IDR 822 billion into the development of Labuan Bajo in 2020 as part of a National Tourism Strategic Area (KSPN).

If local news reports are to be believed the Indonesian government is planning to boost tourism development in East Nusa Tenggara (NTT) with a budget of IDR 822,529,243,000 for the development of Labuan Bajo and the surrounding area.

Hadi Sucahyono, Head of the Regional Infrastructure Development Agency (BPIW) was reported by Kompas as suggesting the budget would be used for water resources, infrastructure, hotels, houses, ports and marinas in efforts to develop NTT as a National Tourism Strategic Area.

Part of a Bigger Picture

Image by Rina Agtiana in Pixabay

The development of NTT is part of a much more ambitious plan to support the development of the country’s infrastructure through highways, clean water facilities, sanitation, ports, and telecommunications in efforts to make Indonesia more attractive to foreign investors and to boost economic growth from within the country.

3If local news reports are to be believed the Indonesian government is planning to f local news reports are to be believed the Indonesian government is planning to boost tourism development in East Nusa Tenggara (NTT) with a budget of IDR 822,529,243,000 for the development of Labuan Bajo and the surrounding area.

Image by Rina Agtiana in Pixabay.

Antara News recently reported Sri Mulyani Indrawati, Indonesia’s Finance Minister as budgeting almost IDR 6.5 trillion for the country’s next development plan from 2020 – 2024.

Regional Competition

Indrawati noted Indonesia’s recent infrastructural development has surpassed that of The Philippines and Vietnam and now needs to catch up with Malaysia and Singapore.

This is largely because state institutions and regional governments have developed infrastructure without excessively depending on state and regional budgets. Instead they have been capitalizing on the government-corporate body cooperation scheme.

Sources: Kompas, Regional Infrastructure Development Agency, Antara News

E-wallets are gaining further traction in Indonesia, although debit cards continue to dominate the country’s cashless transactions.

According to the latest data issued by Bank Indonesia (BI), the debit cards contributed more than half of all cashless transactions in July, holding onto the lion’s share of such transactions by volume. Interestingly, despite the dominance of the debit card, e-wallets gained the second largest share in the same month.

The data shows that 54.6 percent of cashless transactions in July were done using debit cards, while a very close 42.6 percent was by electronic money. The remaining 2.8 percent was done with credit cards.

Electronic money of e-wallet transactions comprise those using e-money cards such as BCA Flazz and Mandiri e-money, as well as those using e-wallet applications such as Go-Pay, OVO and LinkAja.

“Electronic money transactions continue to rise, especially in early 2018, following its rapid adoption in digital ecosystems and its compulsory usage on toll roads,” BI macroprudential policy department head Filianingsih Hendarta told The Jakarta Post in a text message on Oct. 1.

She was referring to the rise of Go-Jek, Grab, Tokopedia, Traveloka, among other e-commerce platforms, which will be a $133 billion industry by 2025, according to a Google-Temasek report released on Friday, last week.

However, debit cards virtually monopolize cashless transactions in terms of monetary value with a 94 percent share of the Rp 717.3 trillion ($50.7 billion) circulated in July. Credit cards, which held a 4.2 percent share, outranked electronic money, which held 1.8 percent, BI data shows.

Customers’ predominant usage of electronic money in paying for car rides, food delivery and toll roads explains why such transactions are smaller in monetary value than debit and credit cards.

Debit cards have also been around longer than electronic money. The central bank issued its first regulation on card-based payment instruments in 2005, 13 years before issuing Regulation No. 20/2018 on electronic money.

“Debit cards are an instrument backed by customer funds and a fundamental banking service.” added Filianingsih.

Meanwhile, e-wallet players frequently say their biggest rival is neither debit cards nor credit cards but cash, which they estimate is used in 90 percent of all transactions in Indonesia.

“We want total debit transactions to remain as they are and more cash transactions to convert to electronic,” said Danu Wicaksana, chief executive officer of state-owned e-wallet LinkAja.

Indonesian e-wallet players are known for championing a ‘cash-burning’ strategy, whereby they offer cash back on purchases made using their respective platforms, in habitualizing customers to use their products.

In line with players’ efforts, electronic money transactions leaped in value over the past three years. Total transactions averaged Rp 71.2 billion each day until July this year, higher than the daily average of Rp 33.9 billion in 2017, but not as high as the average Rp 129.3 billion last year, when e-wallets boosted cashback promotions.

LinkAja’s strategy slightly differs from those of its competitors because it leverages the ecosystem of other state-owned enterprises, many of which are market leaders in their respective industries. The e-wallet already works with state-owned toll operator Jasa Marga and leading fuel retailer Pertamina.

LinkAja even announced on Wednesday a partnership with state-owned train operator Kereta Commuter Indonesia (KCI) in allowing passengers to pay for train rides using the e-wallet.

Source: The Jakarta Post
Author: Norman Harsona
www.jakartapost.com