Tenggara Backgrounder July 19

Jokowi-Prabowo meeting more than reconciliation

Overview - Reelected President Joko “Jokowi” Widodo and archrival Prabowo Subianto have finally ended their long-running feud. Prabowo congratulated Jokowi’s victory during the much-anticipated meeting, which took place on Jakarta’s MRT station in Lebak Bulus on July 13. The two reaffirmed the need for national unity, calling for a halt to the bickering between their supporters.

 
Acceptance speech reaffirms Jokowi is a pragmatist

Overview - Many traditional supporters of President Joko “Jokowi” Widodo have every reason to be disappointed after hearing his speech accepting victory of the April election on July 14. Environmentalists and human rights campaigners in particular felt let down as the speech failed to address their causes. Instead the former furniture businessman served his vision for the next five years heavy on the economic and business agenda.

Issue update: Who gets what in the new Cabinet lineup

Overview - Four months prior to his inauguration, reelected President Joko “Jokowi” Widodo is selecting figures who will grace his next Cabinet. Speculation has been rife that the reshuffle is imminent as Jokowi wants his Cabinet to immediately get to work when his second term in office begins on Oct. 20. 
 

Novel's investigation ends with whimper

Overview - After completing its six-month investigation into the acid attack on Corruption Eradication Commission (KPK) senior investigator Novel Baswedan, the Fact Finding Joint Team (TGPF) remains unable to hold anyone responsible for the crime.

Rini Soemarno rumored to get ousted from Cabinet

Overview - Rumors are swirling again that State-Owned Enterprises Minister Rini Soemarno will be ousted from the Cabinet. There has been a struggle among several political parties to take over the lucrative ministerial position. What will be the fate of Rini’s plan to create a super holding company for state-owned enterprises?

Jababeka's founders fight hostile takeover

Overview - The Indonesia Stock Exchange (IDX) has suspended PT Kawasan Industri Jababeka’s stocks following a statement that the company faces a possibility of default on its US$300 million bonds. Jababeka’s $300 million bonds had a 30-day buyback clause that could be invoked when “change of control” occurred, and the change of control occurred in a general shareholders meeting on June 26.

Ex PLN president director Nur Pamudji suspiciously arrested

Overview - The National Police's criminal investigation department (Bareskrim) arrested Nur Pamudji last month for his alleged role in a graft case relating to the procurement of high-speed diesel (HSD) fuel by state-owned electricity firm PLN. Nur was named a suspect four years ago when he was PLN president director.

Indonesia Macro Update: Investors upbeat about rupiah despite poor exports

Overview - Despite its poor export performance, Indonesia still recorded a $196 million trade surplus in June, which reduces the overall trade deficit to $1.93 billion. For the financial market, this performance is good enough. Following the announcement of June’s trade surplus, the rupiah appreciated to below Rp 14,000 per US dollar.