Indonesia Tenth Economic Policy Package, to Whom Favor?
Indonesia Tenth Economic Policy Package, to Whom Favor?
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JAKARTA - Indonesia government released the tenth economic policy package aimed at boosting investment and protecting small and medium enterprises as well as cooperatives.
The government increased 19 reserved business sectors for small and medium enterprises and cooperatives in the revision of Presidential Decree (Perpres) No. 39 in 2014 on List of Business Fields Closed and Business Fields Open with Conditions to Investment in the investment sector (Investment Negative List/DNI).
"The nineteenth sector is covered in the activities of business services and construction that use simple or medium technology with a value Rp10 billion," Coordinating Minister for Economic Affairs Darmin Nasution said.
He also said, in the previous DNI, around 55 percent of foreign shares are required in business areas such as pre-design and consulting services, architectural design services, and administrative services.
Are these policies will be appropriate in order to help economic growth in Indonesia?Does this policy will be a solution or just want to satisfy the tastes of certain parties only? See analysis economic observer about this policy in below.
Tenth Economic Policy Package, to Whom Favor?
Indonesia tenth economic policy package has been released by government, with a focus on the revision of the investment negative list, has a goal and a priority to protect small businesses and (Small Medium Entrepreneur) SMEs. There are many things which must then be examined, not only businesses but also the impact on consumers and the wider community.
The first investment, our society seems more stuttering, do not know even frightened by the term the investment itself, I think this is the same case with our government. As priority issues of national film which is said only around 13 percent of Indonesia's population to enjoy the cinema as a means of entertainment are mostly based in Java, it then becomes a big question for me because why precisely the problem of cinema, entertainment put forward?
Give it a chance stranger walked in and loot the recesses soul of our nation, while on the other hand the awareness of people to invest in the capital market, for example still is around 0.3 percent of the total population of Indonesia. Not to mention we talk about cultural baggage what will approximately be brought into Indonesia, the ideology of freedom without the norms and rules of religion, the negative impact of pornography, brainwashing, lull it to sleep as if we've become a country that is prosperous.
So, entertainment basic needs, special effects of pornography, according to research contagion even more damaging than drugs. In the brain there is a section called Pre Frontal Cortex (PFC). This PFC made a moral, value, sense, responsible for the planning, organization, regulation of emotions, self-control, the consequences of decisions.
PFC will mature at the age of 25 years. What I'm really worried about are children, adolescents and young adults who become the future market share movies, music, entertainment, games and similar activities are the future of the nation and the country is also, if they are damaged what would happen.
Film healthy and educating will be a necessity, but if just entertainment that obscure and destroy character of the nation, of course this would further undermine the efforts of national life, destroy the foundation of science as well as the efforts and hard work of educators and teachers where most of them working for a wage or salary which is not feasible.
Secondly, I agree with government effort to make quality medicines can be reached by the community, but on the other hand it would be nice if we improve also program Social Security Administrator (BPJS) mostly felt very lame in the plains of operations, the government no longer protects its citizens but precisely levy funds from the public with management that is still very far from expectations.
On the other hand the unpleasant rumors, that the salaries of managers BPJS is so fantastic, and entail the suspicion of how finances are managed in it, people receive services on a limited basis but managers are paid as indefinitely. Why the government is also not encouraging the spirit of education and literacy about the importance of a healthy lifestyle as well as the need for insurance correctly. According to new data about 17 percent of Indonesia's population of 250 million people who take insurance independently, certainly should not presume that people intentionally allowed to continue receiving state in ignorance.
Thirdly, when talking about investments we would not be able to escape from the financial industry in general. There are three main pillars, banking, capital markets and non-bank financial industry. Although in the era of the Asean Economic Community in 2016 has not been implemented in a matter of finance and investment industry still later in 2022, but should reform should be undertaken immediately.
The government agreed with the acceleration of development and economic growth targets. But internally still to be resolved the problem, among others, in the field of supervision between the Bank and the Financial Service Authority (FSA), the concern of a rivalry is not harmony, issue clear division of labor in supervision, because based on the survey in the world, the spin-off of control between FSA-BI success rate 40 percent.
It will be a crucial problem because it relates to the supervision of the three economic pillars above. In banking, for example, taps liberalization has not been fully enforced, even though we know the national banks partially owned by foreigners, but the practices of Unidentified Financial Officer (UFO) has been implicated and disturbing in the community, especially the bankers state-owned and national private sector, it should be wary, the threat of capital flight, and this is happening not only in the center but also has occurred area.
Then the other side of the instigators of Rural Banks shouting that they protected their ownership must be 100% owned subsidiary of the country. Strengthening of small entrepreneurs and SMEs including easier access to go public would not only cease to be a discourse.
So many of our homework, it is not just a policy package alone, but education, literacy strengthening all aspects will be needed. It takes determination and a very strong willingness to be a challenge that could be a great opportunity for us all. Is not a small shark child needs to be put into the aquarium so that the ornamental fish in it more healthy.
Hery Gunawan Muhamad
Stock Market Observers
Head of the Yogyakarta Branch and PIC Sharia Division PT First Asia Capital
Postgraduate student FIAI, UII Yogyakarta
Indonesian government released the tenth economic policy package aimed
at boosting investment and protecting small and medium enterprises as
well as cooperatives.
The government increased 19 reserved business sectors for small and
medium enterprises and cooperatives in the revision of Presidential
Decree (Perpres) No. 39 in 2014 on List of Business Fields Closed and
Business Fields Open with Conditions to Investment in the investment
sector (Investment Negative List/DNI).
"The nineteenth sector is covered in the activities of business
services and construction that use simple or medium technology with a
value Rp10 billion," Coordinating Minister for Economic Affairs Darmin
Nasution said in a press conference here Thursday (11/2).
"In the previous DNI, around 55 percent of foreign shares are
required in business areas such as pre-design and consulting services,
architectural design services, and administrative services, and so on,"
the minister said.
source: http://en.sindonews.com/read/1084576/196/this-indonesia-tenth-economic-policy-package-1455193227
The government increased 19 reserved business sectors for small and medium enterprises and cooperatives in the revision of Presidential Decree (Perpres) No. 39 in 2014 on List of Business Fields Closed and Business Fields Open with Conditions to Investment in the investment sector (Investment Negative List/DNI).
"The nineteenth sector is covered in the activities of business services and construction that use simple or medium technology with a value Rp10 billion," Coordinating Minister for Economic Affairs Darmin Nasution said.
He also said, in the previous DNI, around 55 percent of foreign shares are required in business areas such as pre-design and consulting services, architectural design services, and administrative services.
Are these policies will be appropriate in order to help economic growth in Indonesia?Does this policy will be a solution or just want to satisfy the tastes of certain parties only? See analysis economic observer about this policy in below.
Tenth Economic Policy Package, to Whom Favor?
Indonesia tenth economic policy package has been released by government, with a focus on the revision of the investment negative list, has a goal and a priority to protect small businesses and (Small Medium Entrepreneur) SMEs. There are many things which must then be examined, not only businesses but also the impact on consumers and the wider community.
The first investment, our society seems more stuttering, do not know even frightened by the term the investment itself, I think this is the same case with our government. As priority issues of national film which is said only around 13 percent of Indonesia's population to enjoy the cinema as a means of entertainment are mostly based in Java, it then becomes a big question for me because why precisely the problem of cinema, entertainment put forward?
Give it a chance stranger walked in and loot the recesses soul of our nation, while on the other hand the awareness of people to invest in the capital market, for example still is around 0.3 percent of the total population of Indonesia. Not to mention we talk about cultural baggage what will approximately be brought into Indonesia, the ideology of freedom without the norms and rules of religion, the negative impact of pornography, brainwashing, lull it to sleep as if we've become a country that is prosperous.
So, entertainment basic needs, special effects of pornography, according to research contagion even more damaging than drugs. In the brain there is a section called Pre Frontal Cortex (PFC). This PFC made a moral, value, sense, responsible for the planning, organization, regulation of emotions, self-control, the consequences of decisions.
PFC will mature at the age of 25 years. What I'm really worried about are children, adolescents and young adults who become the future market share movies, music, entertainment, games and similar activities are the future of the nation and the country is also, if they are damaged what would happen.
Film healthy and educating will be a necessity, but if just entertainment that obscure and destroy character of the nation, of course this would further undermine the efforts of national life, destroy the foundation of science as well as the efforts and hard work of educators and teachers where most of them working for a wage or salary which is not feasible.
Secondly, I agree with government effort to make quality medicines can be reached by the community, but on the other hand it would be nice if we improve also program Social Security Administrator (BPJS) mostly felt very lame in the plains of operations, the government no longer protects its citizens but precisely levy funds from the public with management that is still very far from expectations.
On the other hand the unpleasant rumors, that the salaries of managers BPJS is so fantastic, and entail the suspicion of how finances are managed in it, people receive services on a limited basis but managers are paid as indefinitely. Why the government is also not encouraging the spirit of education and literacy about the importance of a healthy lifestyle as well as the need for insurance correctly. According to new data about 17 percent of Indonesia's population of 250 million people who take insurance independently, certainly should not presume that people intentionally allowed to continue receiving state in ignorance.
Thirdly, when talking about investments we would not be able to escape from the financial industry in general. There are three main pillars, banking, capital markets and non-bank financial industry. Although in the era of the Asean Economic Community in 2016 has not been implemented in a matter of finance and investment industry still later in 2022, but should reform should be undertaken immediately.
The government agreed with the acceleration of development and economic growth targets. But internally still to be resolved the problem, among others, in the field of supervision between the Bank and the Financial Service Authority (FSA), the concern of a rivalry is not harmony, issue clear division of labor in supervision, because based on the survey in the world, the spin-off of control between FSA-BI success rate 40 percent.
It will be a crucial problem because it relates to the supervision of the three economic pillars above. In banking, for example, taps liberalization has not been fully enforced, even though we know the national banks partially owned by foreigners, but the practices of Unidentified Financial Officer (UFO) has been implicated and disturbing in the community, especially the bankers state-owned and national private sector, it should be wary, the threat of capital flight, and this is happening not only in the center but also has occurred area.
Then the other side of the instigators of Rural Banks shouting that they protected their ownership must be 100% owned subsidiary of the country. Strengthening of small entrepreneurs and SMEs including easier access to go public would not only cease to be a discourse.
So many of our homework, it is not just a policy package alone, but education, literacy strengthening all aspects will be needed. It takes determination and a very strong willingness to be a challenge that could be a great opportunity for us all. Is not a small shark child needs to be put into the aquarium so that the ornamental fish in it more healthy.
Hery Gunawan Muhamad
Stock Market Observers
Head of the Yogyakarta Branch and PIC Sharia Division PT First Asia Capital
Postgraduate student FIAI, UII Yogyakarta
Indonesian government released the tenth economic policy package aimed
at boosting investment and protecting small and medium enterprises as
well as cooperatives.
The government increased 19 reserved business sectors for small and
medium enterprises and cooperatives in the revision of Presidential
Decree (Perpres) No. 39 in 2014 on List of Business Fields Closed and
Business Fields Open with Conditions to Investment in the investment
sector (Investment Negative List/DNI).
"The nineteenth sector is covered in the activities of business
services and construction that use simple or medium technology with a
value Rp10 billion," Coordinating Minister for Economic Affairs Darmin
Nasution said in a press conference here Thursday (11/2).
"In the previous DNI, around 55 percent of foreign shares are
required in business areas such as pre-design and consulting services,
architectural design services, and administrative services, and so on,"
the minister said.
source: http://en.sindonews.com/read/1084576/196/this-indonesia-tenth-economic-policy-package-1455193227
(rnz)
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