Tuesday, 13 October 2009

KLM, Garuda to resume deal

KLM Royal Dutch Airlines is ready to resume it's interline agreement with Garuda Indonesia, after the Indonesian flag carrier was allowed back into European airspace. The Air France KLM country manager for Indonesia, Axel Colen, said the interline agreement with Garuda had been in place long before the latter was banned from European airspace. He added that both airlines were working to enable their ticketing system "to talk to each other in issuing the e-tickets". An interline agreement allows two airlines to have two different flights on one ticket, thus reducing the hassle for travelers. When asked when would KLM would ink a code-share agreement with Garuda, Colen said it would be the second stage after the interline agreement.
Source: The Jakarta Post, 2 Oct 2009, p.14

Indonesia channels investment to agriculture sector

The world's investment focus starts to shift towards the agriculture sector and three regions in Indonesia are considered to be the most potential to support global food resilience. The three areas are Merauke-Papua, Sulawesi and Kalimantan. The message was conveyed by Deputy to the Coordinating Economic Minister for Agriculture and Marine Affairs Bayu Krishnamurti as the result of the Routable for Promoting Responsible Investment in Agriculture held Friday.
Source: Bisnis Indonesia, 3 October, p.2

Bapepam imposes rules on investor data, origin of funds

The stock market regulator is to introduce a stricter regulation on transparency and accountability that will require financial services institutions in the capital market to verify data regarding their clients. The regulation will oblige securities firms, mutual fund managers and custodian banks to collect and verify all information about their investors before confirming them as clients and allowing them to open accounts. Bapepam will also be able to impose sanctions on those who fail to comply.
Source: PA Asia: The Jakarta Post, 5 October, p.13

Indonesia says inflation remains under control

Bank Indonesia Monday left its policy rate unchanged at 6.5% as the central bank deemed that inflationary pressures remain under control. Markets reacted calmly to the widely expected decision, and inflation projections released by the central bank led one economist to predict that any monetary tightening would be measured. The Central Bank said that the country's economy will likely grow between 4-4.5% this year, slowing from 6.1% in 2008, but forecast economic expansion to accelerate to between 5% and 5.5% next year.
Source: Wall Street Journal, p.11, 6 Oct 2009

KADIN proposed three industrial sectors to be prioritized

The Indonesian Chamber of Commerce and Industry (KADIN) proposed to the new government to focus on three industrial sectors in the next five years. Vice Chairman of KADIN elaborated that the three sectors are telecommunication and information, basic metal and machineries and petrochemical. The proposal was conveyed during KADIN's discussion entitled "National Industries' Vision for 2030 and Roadmap for 2015".
Source: PA Asia: Media Indonesia, p.A18, 7 Oct 2009

European Recovery Optimism Takes Hit

Brussels. Europe hit a recovery setback on Wednesday with the euro-sone economy shringking more than expected, giving substance to widespread warning that talk of a rapid global turnaround might be premature. But the surprise revised results showed that some nations had emerged from recession. The Increasingly upbeat mood accompanying results since the summer was punctured by EU data showing that the economy of the 16-nation euro zone shrank in the second quarter by a greater margin than initially thought.
Source: The Jakarta Globe, p.B3, 8 Oct 2009