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Backgrounder
Tenggara Backgrounder August 27, 2021
POLITICS
NasDem snubs Cabinet reshuffle, Constitutional amendment talks
President Joko “Jokowi” Widodo met with leaders of political parties that form the ruling government at the State Palace in Jakarta on Wednesday. The meeting came on the heels of rumors about a Cabinet reshuffle and a plan to amend the Constitution.
Pandemic eases in Jakarta, but experts call for vigilance
Because Jakarta, once Indonesia’s COVID-19 epicenter, has seen major improvements in its pandemic situation, the government will soon ease mobility curbs in Greater Jakarta, lowering the status of the area from level 4 – the strictest of the four-tie...
The sunset of Indonesia’s anticorruption drive continues
Indonesia is seemingly slowly losing its long battle against corruption, as recent court rulings have overturned or reduced penalties for graft convicts despite incriminating evidence of the crime. The weakening of the KPK, which had since its establ...
Taliban return likely to have minimum impact on Indonesia
With the return to power of the Talibans in Afghanistan, how will this impact Indonesia, the country with the world’s largest Muslim population which has struggled against forces attempting to turn the country into an Islamic state by violent means?T...
Draft budget scrutinized, pandemic measures questioned
The central government has disclosed the draft 2022 state budget (RAPBN), which amounts to Rp 2.7087 quadrillion (US$187.65 billion). For many, however, details of the spending indicate the government’s ebbing pandemic measures.
BUSSINES & ECONOMICS
Govt, BI agree on $30b burden-sharing scheme until 2022
Bank Indonesia (BI) and the government have agreed on a third burden-sharing scheme to finance the 2022 state budget (APBN), in which the central bank will buy government bonds (SBN) amounting to Rp 439 trillion (US$30.48 billion) between 2021 and 20...
OJK raises bar for capital rules, eases licensing for digital banking
The Financial Services Authority (OJK) has increased the bar for capital requirements and at the same time eased rules for the establishment of digital banks amid a digital banking frenzy in Indonesia. The regulations are expected to provide a suitab...
Akulaku replaces Asabri as Neo Bank’s controlling shareholder
Asuransi Sosial Angkatan Bersenjata Republik Indonesia (Asabri), a state-owned insurer serving members of the military and the police, is seeking to find a way out of its financial trouble through the rising share price of Bank Neo Commerce (BBYB). A...
House, Erick start SOE restructuring, liquidation process
The House of Representatives’ Commission VI has finally established a working committee (Panja) overseeing the restructuring and liquidation of problematic state-owned enterprises (SOEs) under the supervision of state-owned asset management firm PT P...
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