Backgrounder

Bobby’s mayoral bid shifts power struggle in Medan, PDI-P

The city of Medan is one of 270 regions that will elect new leaders in December. The race in the North Sumatran capital has garnered public attention because Bobby Nasution, the son-in-law of President Joko “Jokowi” Widodo, plans to run. This has fueled suspicions that Jokowi intends to establish a political dynasty, but Bobby’s candidacy may also mark a shift in power dynamics ahead of the election.

Economy shrinks more than expected after fiscal policy failure

Indonesia’s gross domestic product (GDP) is contracted by 5.32 percent year-on-year (yoy), worse than both the government’s most recent prediction and market prediction. GDP contracted more than expected because government spending, which is expected to act as a buffer for the economy during bad times – creating a countercyclical effect – dropped by 6.9 percent yoy.

Edition

July 31, 2020

South Tangerang tough, attractive battleground for mayoral contenders

Among the 270 regions slated to elect new leaders in the simultaneous regional elections in December is South Tangerang municipality, which has attracted a number of electoral hopefuls. With Mayor Airin Rachmi Diany set to wrap up her second and final term, the race is particularly interesting, not only due to the presence of familiar surnames but also the apparent shift of power in the contestation.

Put under a deputy minister, PEN task force deemed to fail

President Joko "Jokowi" Widodo expressed his displeasure during a virtual Cabinet meeting on Monday that the disbursement of the Rp 695.2 trillion (US$46.3 billion) of national economic recovery (PEN) budget has been slow. He told the newly established COVID-19 response and PEN committee to make a breakthrough for quick budget disbursement, but it will be difficult as the PEN task force is led by a deputy minister.

Edition

July 24, 2020

Gibran secures PDI-P greenlight for mayoral bid

The PDI-P has endorsed the nomination of Gibran Rakabuming Raka, the eldest son of President Joko “Jokowi” Widodo, and Teguh Prakosa, the party’s Surakarta chapter secretary, for the regional head election in Surakarta, Central Java, in December. The much-awaited announcement came after months of internal squabbling in the PDI-P stronghold, which initially preferred to give the ticket to incumbent deputy mayor Achmad Purnomo

Erick’s new duty: Prevent the country from falling into recession

President Jokowi and State-Owned Enterprises Minister Erick Thohir share some similarities: Both are businessmen and men of action. Therefore, it was not a surprise when Jokowi chose Erick to be chief executive of the newly established COVID-19 Response and National Economic Recovery (PEN) Committee. Although the team is officially led by Coordinating Economic Minister Airlangga Hartarto, Erick reports directly to the President.

Edition

July 17, 2020

Spike in COVID-19 infections raises alarm, questions about rapid tests

On July 9, Indonesia saw a huge spike in the daily number of people who tested positive for the novel coronavirus that causes COVID-19, raising the prospect that things will get a lot worse in the coming months with no clear prospect of when the number of new infection cases will start to fall.

Shell’s plan to exit Masela leaves Abadi’s future in question

Dutch oil and gas giant Shell has finally decided to exit the gas-rich Masela Block in the Arafura Sea amid pressure from the deteriorating crude oil price and the COVID-19 pandemic. It plans to sell its 35 percent participating interest in the liquefied natural gas (LNG) development project in the Abadi field in the Masela Block.