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Backgrounder
Tenggara Backgrounder October 16, 2020
POLITICS
Last minute changes made to jobs law
Amid the massive outcry against the passage of the Job Creation Law by the House of Representatives last week, confusion abounded as at least four different versions of the final draft of the legislation circulated in public. Fueling public concern f...
Measuring the power of the labor movement
The passage of the highly contentious Job Creation Law prompted a colossal backlash with demonstrations rocking more than a dozen of regions across the country. Labor unions spearheaded the widespread protests against the omnibus law, which they say...
Indonesia prepares for mass vaccination campaign
President Joko “Jokowi” Widodo signed on Oct. 5 Presidential Regulation (Perpres) No. 99/2020 on vaccine procurement and vaccination to mitigate the COVID-19 pandemic. The Perpres breaks down the requirements and procedures for the procurement, imple...
US blinks first and invites Prabowo
The stakes are too high for the United States to continue to ignore Defense Minister Prabowo Subianto, whom they loath because of his poor human rights records but who is now in charge of billions of dollars of funds to buy weaponry.
BUSSINES & ECONOMICS
SOE minister intervenes as PLN struggles to pay debts
SOE Minister Erick Thohir recently wrote a letter to fellow Energy and Mineral Resources Minister Arifin Tasrif, asking the latter to help state-owned electricity company PLN’s finances by not issuing licenses to build new power plants as PLN was suf...
MIND ID completes Vale purchase to realize govt’s EV ambition
After a one-year delay, state-owned Mining Industry Indonesia (MIND ID) finally completed its purchase of a 20 percent stake in nickel miner PT Vale Indonesia (INCO). The transaction will strengthen the government’s drive to build a US$20 billion lit...
Omnibus law scraps environmental permits, curbs public participation
The new Job Creation Law embodies President Jokowi’s ambitious mission to cut bureaucratic red tape and attract more foreign investment to Indonesia in a bid to boost Indonesia’s ease of doing business ranking to 40th place. However, as the licensing...
Anies capitulates to central govt, business pressure
On Oct. 11, the Jakarta administration announced a return to a transitional large-scale social restrictions (PSBB) policy, claiming the decision was backed by improvements in the city’s public health indicators. Nevertheless, the claim was made on sh...
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