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Analysis

Technology and digitisation propelling Indonesia's health care sector forward
OBG
plus

With universal health care, known locally as JKN, bringing increased access to services across Indonesia, the country’s health care infrastructure is expanding, triggering unprecedented demand for supplies, from basic laboratory equipment to advanced diagnostic machines. Meanwhile, efforts are under way to modernise the sector and overcome the challenges to bridging the urban-rural gap through advances…

Analysis

Indonesia's rubber producers seek to counter dwindling global demand
OBG
plus

The rubber segment in Indonesia dates to the British colonial days of the 19th century, and the industry has remained a steady contributor to the economy and one of the largest employers in agriculture. In some ways rubber continues to be rooted in its history, and remains dominated by small, often family run, smallholder farms that make up roughly 85% of the industry in Indonesia. More recently lower…

Analysis

Indonesia looking to technology as a means to broaden and improve education delivery
OBG
plus

Indonesians have embraced technology enthusiastically, taking advantage of rising incomes to buy smartphones that give them access to a host of social networking platforms and other services. Like many parts of developing Asia, the country is a “mobile-first” environment, where – thanks to the proliferation of inexpensive phones by manufacturers like China’s Xiaomi – people are more likely…

Analysis

Indonesia's new fiscal policies have boosted investor confidence
OBG
plus

Indonesia’s central bank, Bank Indonesia (BI), shifted its strategy in 2015, moving away from policies that had defended the floundering rupiah against further depreciation after ongoing devaluation between 2013 and 2015. In January 2016 the bank surprised stakeholders with a decision to cut interest rates, making further cuts in February and March, thereby signalling a shift toward more accommodative,…

Analysis

In light of ASEAN integration, Indonesian government focusing on strengthening SMEs' competitiveness
OBG
plus

Standing as a critical pillar of the Indonesian economy, small and medium-sized enterprises (SMEs) are the country’s largest employers and a significant contributor to GDP growth, although they have been hit by Indonesia’s economic slowdown, with many struggling to access credit and export markets, in addition to feeling the pain of a commodities price drop. In light of these challenges, the government…

Analysis

New stimulus packages aim at economic liberalisation in Indonesia
OBG
plus

In a bid to support flagging economic growth, the administration of President Joko Widodo has rolled out a host of stimulus packages in recent months, offering support to critical industries, investment incentives and regulatory reforms aimed at greatly improving the ease of doing business. Arguably one of the most important of these changes was an adjustment to the list of industries closed to foreign…

Analysis

Ongoing efforts to build up infrastructure should improve employment growth in Indonesia
OBG
plus

As Indonesia grapples with an economic slowdown, decreased export revenues and subdued GDP growth, the creation of new jobs – particularly permanent, full-time positions – is not expected to keep pace with the over 2m Indonesians who enter the labour force each year. The country’s greatest potential economic strength, its powerful domestic consumer base, could also prove to become a significant…

Overview

Series of economic stimulus packages to alter Indonesia's investment landscape
OBG
plus

As South-east Asia’s largest economy and the world’s fourth-most-populated country, Indonesia is an important trade partner within ASEAN, as well as for Japan, China and the US. The country has averaged more than 5% annual GDP growth over the past decade through sound macroeconomic policies, rising domestic demand driven by a burgeoning middle class and high commodity prices. However, a gradual…

Overview

Decentralisation paying off for three dynamic regional cities in Indonesia
OBG
plus

During the years of former President Suharto’s rule, Indonesia’s political and economic power was concentrated in Jakarta. But with democratisation has come decentralisation, a trend that has gathered momentum since direct local elections were introduced in 2005, in turn creating a new breed of grassroots politician. After all, it was President Joko Widodo’s success as a mayor, first in Solo…

Overview

Ridwan Kamil, Mayor of Bandung; and Tri Rismaharini, Mayor of Surabaya: Interview
OBG
plus

Interview: Ridwan Kamil, Tri Rismaharini Which areas present the greatest opportunities for investment in 2016/17? RIDWAN KAMIL: We are now focusing on a new way of developing our cities’ economic growth. We recognise its weaknesses, and thus we are reorganising the way we finance infrastructure development. Bandung is working with the Asian Development Bank to push the public-private partnerships…