According to him, coal is an affordable price of energy. However, the coal does not exist in all regions, therefore it needs to be distributed to the areas without coal. “In this case, it does not mean that the price can be cheaper so it needs a balance between the energy and the price. Coal is an affordable price of energy. Compared to renewable energy that can be more expensive than Coal,” he said.

His ministry also confirmed that the government is also committed to developing renewable energy. However, according to energy mix, renewable energy is targeted at 23 percent. While coal is higher than that. “Therefore, coal with renewable energy must be synergized, and coal will still be used and renewable energy will be pushed,” he said.

Reduce Import

Meanwhile the Ministry of Industry has boosted the increase of investment in domestic plastics and rubber industries to strengthen the manufacturing structure to push the positive value and reduce imported raw materials. “Plastics and rubber industry is the backbone that is closely linked to other industries that can support national development,” Secretary General of the Ministry of Industry Haris Munandar said.

In order to attract investors, according to Haris, the government has issued various strategic programs and policies in creating a conducive business condition, and also, providing simplification for some licensing process and starting a business in Indonesia. “For example, incentives for export oriented for labor-intensive industry and the industries that develop innovation and vocation. Ministry of Industry has also facilitated the develop of the several integrated industrial area, especially outside of Java Island, “he said.

The Secretary General has stated that the important role of plastic and rubber products as they are needed by the strategic manufacturing sectors which are integrated among other industries such as food, machinery, automotive, and electronics. “Therefore, based on the regulation ofMinistry of Industry and RIPIN, the government and the stakeholders will synergize in pushing the productivity and competitiveness of the industry,” he said.

The development of plastic and rubber industry in Indonesia is surely quite prospective. Currently the potential of the national plastic industry is supported by 925 companies with total production is reaching 4.68 million tons per year for various plastic products and able to provide jobs for 37,327 people.

“The demand for national plastic products is 4.6 million tons now, increase five percent in the last five years,” Haris said. He also hopes that local plastic products can win the local market and able to compete in international market.

Meanwhile, according to rubber commodities, Indonesia is one of the main producing countries of natural rubber with the production of 4 million tons per year. National natural rubber production can still be increased considering to the potential of the existing land that reaches 3.5 million hectares. Furthermore, supported by research and development (R&D) program conducted by government, educational institutions and private sectors.

Source: Antara

Disclaimer: This article is a summary of news articles obtained from a number of mass media. We are not responsible for the accuracy of data or sources of information presented by the mass media that became the reference.

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The Investment Coordinating Board (BKPM) estimates that Presidential Regulation No. 20 of 2018 on the Usage of Foreign Workers is expected to push the investment until 20 percent. Head of BKPM Thomas Trikasih Lembong said, the permit to usage of foreign workers is one of the main complaints of investors who invest in Indonesia.

"In this foreign workers permit they (investors) have to meet and go around the agencies. If this rule is really on the path of reform that covers ‘Online Single Submission`, I think the increase can be 10-20 percent," he said.

The former Minister of Trade ensures that the increase of investment will encourage the usage of foreign workers. The reason is that the international investors have been putting billions dollars in other countries with full of risk.

"I’m sure they (the investors) wants to bring their people because it would be too risky if something happen. If I were an investor I would want to put my own people or the best people in the world without seeing their citizenship in the investment," he said.

Nevertheless the number of foreign workers in Indonesia only reach one per thousand compared than the number of Indonesian workers currently working abroad. In fact, roughly, from 1,000 workers in Indonesia, only one of them is a foreign worker.

"So it is unreasonable that 999 Indonesians ‘fear’ to be surrounded by a single stranger. This fact has even been recognized by senior figures on the opposition coalition," he said. Although the government supports the simplification of procedures for the usage of foreign workers, the government on the other hand continues to improve the skills and knowledge of local workers.

It is hoped that these efforts can encourage local workforce to develop with better jobs and earn higher income. "Therefore, the government prepares vocational training programs and polytechnics to improve the skills of our workforce in order to develop," he concluded.

Source: Bisnis Indonesia

Disclaimer: This article is a summary of news articles obtained from a number of mass media. We are not responsible for the accuracy of data or sources of information presented by the mass media that became the reference.

INESIA is an Indonesian Legal Process Outsourcing provider. INESIA has assisted Clients in establishing Foreign Direct Company and Representative Office more than 250 entities with 100% success rate. We also assisted local and multinational companies in handling their corporate legal matters, including providing legal retainer services for day to day business operations.

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The public must not worry about the arrangement of foreign worker (FW) license that are designed by the government. Therefore, the structuring of FW license will ease the demand of investment, so quickly developing the economy, and creating more jobs.

The Minister of Manpower, Hanif Dhakiri, said the arrangement of FW license also do not mean to ease all foreign workers to enter or exit of Indonesia. It just arranges for the licensing procedure and work permit in Indonesia to be more simple, faster, and accountable.

Hanif also responds to public concern about the easily possibility of FW entering Indonesia, because of the arrangement of FW license. "Do not worry too much, the arrangement of FW license is for the demand of investment so develop the economy and create more job. And, the arrangement does not mean to make the easy. It just makes the licensing to be more simple, faster and accountable," said Hanif on his written statement.

He explains that the arrangement is done for all of licensing procedure of integrated investment through single submission system, either at central or regional level. A lot of investors are hampered because of difficult licensing process when they want to invest in Indonesia.

According to him, a single submission system, will ease the bussines and invest. So it will create more jobs. "We need a lot of investment, both domestically and internationally to create jobs. It is certainly for Indonesia people, not for others," said Hanif.

"The usage of foreign workers are only necessary and still have to meet the qualification. Blue-collar workers who have been banned from entering since earlier will still be banned. So please do not misunderstand," He added.

On the other hand, according to Hanif, the government continues to boost the quality of Indonesian human resources, especially to fill the lack of the position of upper middle level. But there are excess labor (over supply) on lower level. This group need to be given opportunities to improve their skill.

"Our 128 million active workers are still dominated by people who graduate from elementary or junior high school. We are over supply on lower level, but lack on upper middle level. It is the task of government to upgradethe skill of our human resources, good quality, enough quantity, and spread all over the region," he concluded.

Disclaimer: This article is a summary of news articles obtained from a number of mass media. We are not responsible for the accuracy of data or sources of information presented by the mass media that became the reference.

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It is not wrong to think of Jakarta as a fintech center that will drive the Indonesian business in the future. The fintech investors all over the world tend to be more confident in investing their money for developing countries, especially countries in Asia such as Indonesia, Thailand, Malaysia, etc. Compare to theseSouth East Asia countries, even Asia, Jakarta (as the capital of Indonesia) is the most potential choice of investment for various reasons. The other developing countries in Asia that just aware of the importance of technology of non-cash transactions, are on the next list.

Jakarta has become the city with the most rapid development of infrastructure compared to other cities in Indonesia, even in Southeast Asia. The proof is the appear of towering office buildings and luxury malls that became the favourite place of Jakarta people to have relax.

That proof can be a benchmark for the progress the economic aspect of a city in the world. Even the capital that is also the center of business has also started to improve in terms of transportation, payment, etc., such as online transportation services, and also the application of digital payments (e-money). It’s really help the citizens.

The appear of fintech start up service currently in Jakarta is very useful for the community, especially those who have never connect with bank. It can be the answer why the development of startup or fintech business in Jakarta increasingly becomes the best choice by the investors both domestic and foreign. During 2017 fintech activities is mostly dominated by payment and lending such as e-money at toll gates, Transjakarta tickets, and also shopping mall in Jakarta.

And if there is cooperation between bank with fintech technology (startup fintech), then there will be increased fintech activities in all big cities across Indonesia in 2018, as has been stated by Digital Artha Media (DAM). While the Indonesian Chamber of Commerce (KADIN) predicts, investment in the sector of fintech will exceed Rp 105.6 trillion in 2018.

So it is common if the developing of fintech technology in a country firstly will start by penetrating on segment or market at Jakarta, as the bigggest city, then continue to other big cities, such as Surabaya, Medan, Bandung, Semarang , Makasar, and others.

And when fintech technology has developed especially in big cities of Indonesia, automaticly its technology would have been able to catch up with some major cities in the world, just like Singapore. Nowdays Singapore is becoming one of the successful cities to adopt fintech technology. More over the Singapore state plans to make their country as the fintech center of the world.

So the only homework for start-up fintech entrepreneurs is, spreading their digital services all over Indonesia, so that the majority of Indonesia people (about 270 million of population) can understand and familiar with the service. And then, our country can take over the position as the fintech center of the world.

Disclaimer: This article is a summary of news articles obtained from a number of mass media. We are not responsible for the accuracy of data or sources of information presented by the mass media that became the reference.

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In the near future Indonesian Government plans to develop 10 ‘New Bali’ destinations as special economic zone (SEZ), namely Lake Toba in North Sumatra, Tanjung Kelayang in Bangka Belitung, Tanjung Lesung in Banten, Kepulauan Seribu in Jakarta, Borobudur in Central Java, Bromo, Tengger and Semeru in East Java, Wakatobi in Southeast Sulawesi, Mandalika in West Nusa Tenggara, Labuan Bajo in East Nusa Tenggara and Morotai in North Maluku.

SEZ development is intended to facilitate the regulatory handling which has been a constraint in encouraging the growth of tourism industry in Indonesia. SEZ is believed will facilitate investors in smoothing business permit as all government representatives agency will be placed in one place. This is expected to attract more investors to Indonesia, especially in tourism industry.

The tourism sector is relied upon to support foreign exchange earnings this year at US $ 20 billion, increase 20% from 2017, which is estimated around US $ 16.8 billion. The increase of foreign exchange will come from the 17 million foreign tourists which believed will grow 22% this year.

The number of tourist visits in Indonesia is still dominated by domestic tourists which is targeted at 270 million. However, as foreign exchange will only obtained from foreign tourists, so government needs to ease the entry visa as well as preparing new tourist destinations. Currently, 169 countries have enacted a policy of free visa for foreign tourists for tourism purposes.

Source:
https://finance.detik.com/berita-ekonomi-bisnis/d-3841057/jaring-investor-danau-toba-hingga-morotai-akan-dibangun-kek

Disclaimer: This article is a summary of news articles obtained by Inesia from a number of mass media. Inesia is not responsible for the accuracy of data or sources of information presented by the mass media that became the reference.

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