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Backgrounder

Tenggara Backgrounder is a weekly political and business briefing service combining insights and analysis by in-house experts and those from the Centre for Strategic and International Studies (CSIS) and Universitas Prasetiya Mulya, as well as background information from The Jakarta Post journalists. Tenggara Backgrounder provides you exclusive insights into what’s happening behind the scenes along with insider scoops that are not published in the media.

Edition

February 10, 2023

Surya Paloh, a case of having his cake and eating it too

A few people can defy President Joko “Jokowi” Widodo and get away with it. One of which is Surya Paloh, the media baron and chairman of the National Democratic Party (NasDem) as he pushes ahead with nominating former Jakarta governor Anies Baswedan for next year’s presidential election, against the incumbent’s wishes.

Other Topics
  • Disparities in Constitutional Court ruling on justice dismissal
  • PDI-P presidential candidate selection process a mere formality
  • 2024 elections distraction: whether governors elected or appointed
MIND ID prepares to increase stake in Vale Indonesia

State-owned mining holding Mining Industry Indonesia (MIND ID) is preparing to acquire a larger stake in Vale Indonesia as the government concluded that the state should take the 11-percent divestment of the subsidiary of Brazil-based mining and logistics firm Vale Group. MIND ID previously acquired 20 percent of the firm’s stock in the ongoing 51-percent share divestment to Indonesian shareholders as a requirement for the nickel miner to extend its expiring work contract into a special mining permit (IUPK).

Other Topics
  • Govt adopts another ill policy over scarcity of cheap cooking oil
  • Jokowi to expand metal ore export ban, even as smelters still incomplete
  • Nickel ‘downstreaming’ contributes to reduction in Java-centricity
Edition

February 3, 2023

Authoritarianism begins in villages

Village heads hold a lot of power and influence over their limited jurisdictions, but when they join forces at the national level, they can become formidable. On Jan. 16, thousands of village heads from all corners of the archipelago converged outside the House of Representatives (DPR) building in Jakarta with a single demand: that their term of office be extended from six years under to nine years.

Other Topics
  • Jokowi political dynasty: Kaesang hints at political ambitions
  • Anies likely to obtain a presidential ticket with Coalition for Change
  • Healthcare omnibus bill panics doctors association
IKN offers 'oversubscribing' as part of business gambling

The Nusantara Capital City (IKN) Authority has claimed huge investment interest from the private sector to invest in the capital city within the next two years, but businesses said they were actually taking a gamble by grabbing land in the capital city and would not really invest until a new government was formed after next year’s elections. Until then, investment will come mainly from the government – and state-owned enterprises.

Other Topics
  • Removal of export incentives reduces interest in residential solar panels
  • Police accused of being behind illegal nickel in Morowali smelters
  • Henry Surya, suspect in Rp 106t Indosurya fraud case, acquitted
Edition

January 27, 2023

Ridwan Kamil joins Golkar. Who benefits?

The Golkar Party is looking to receive a boost of power ahead of the 2024 elections with the arrival of West Java Governor Ridwan Kamil as a new member. Chairman Airlangga Hartarto announced Ridwan’s entry to the Golkar fold on Jan. 18, saying the move had allowed the party to look toward the elections with guarded optimism amid the increasingly fierce competition.

Other Topics
  • Indonesians drag feet on improving lot of domestic workers
  • Village heads push for term extension, among other demands
  • Two ministers set their eyes on PSSI’s leadership
Buwas claims “rice mafia” behind high prices despite market operation

Rice prices at the Cipinang Central Rice Market (PIBC) have continued to rise despite ongoing rice imports. State-owned logistics agency (Bulog) president director Budi “Buwas” Waseso said his team had distributed 100,000 tons of rice in a market operation to control price, but the impact of this intervention was limited because of oligopolistic practices by market players he referred to as the “rice mafia”.

Other Topics
  • Erick to launch investigation into SOEs pension funds management
  • Haj pilgrimage back to normal this year, but costs have nearly doubled
  • Global recession looms high in 2023, Indonesia could be affected
Edition

January 20, 2023

Ghosts of victims of human rights violations still haunting Indonesia

The government has finally admitted that 12 incidents or tragedies that happened in the past amounted to gross violations of human rights, but short of offering an apology, President Joko “Jokowi” Widodo last week expressed regret and promised restitutions for the victims. This is a startling development for a nation that has been in denial about the many horrible things that have happened in the past. But we can forget about the prosecution of the perpetrators. It is not on the cards.

Other Topics
  • House to address alleged fraudulent election practices
  • Gerindra-PKB to strengthen coalition following ‘Ijtima’ forum
  • KPK arrests Lukas Enembe on bribery charges, finally
Agrarian reform below target, land conflicts persists

Agrarian reform, one of President Joko “Jokowi” Widodo’s landmark programs to achieve equality and reduce land conflicts, is still far from achieving the target of land redistribution and has still not reduced conflicts pitting small farmers against corporations.

Other Topics
  • RI’s long journey to attract Tesla Gigafactory
  • Govt to raise toll road tariffs amid inflation
  • Indonesia’s poverty rate inches up as wealth equality improves
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