2015 at a Glance: the not bad, the Bad, along with the Shocking
2015 was pivotal for Indonesia in many ways, along with the idea’s important to take stock of the 12 months which have passed. We’ve taken the liberty of compiling a list of key events which are likely to shape Indonesia’s business culture, macro-economy, along with political landscape going forward in 2016.
Transport Ministry suspends AirAsia Indonesia
Following the disappearance along with fatalities of 162 passengers on board AirAsia flight QZ8501 through Surabaya to Singapore on Sunday, December 28, 2014, the nation’s Transport Minister Ignasius Jonan temporarily suspended the airline’s Surabaya-Singapore route.
The reason for doing so was which the firm allegedly violated operational hours. Reportedly, the plane did not have a permit to fly on days additional than Mondays, Tuesdays, Thursdays, along with Saturdays. However, AirAsia Indonesia’s safety along with security division claimed the airline complied with all rules along with schedules.
the idea was later discovered which the plane went down from the sea near Kalimantan due to rudder problems.
February 2015
KPK along with national police go to war
The police took revenge on the KPK by targeting its commissioners for criminal investigations. Bambang Widjojanto was accused of forcing a witness to commit perjury in a 2010 election dispute case. The police also questioned the KPK’s Chief of Ethics Abraham Samad, along with released photos of him with women. Adnan Pandu Praja was accused of fraud involving a timber company in 2006.
The list of accusations went on. from the end, the president withdrew his nomination for Gunawan as Police Commissioner General.
March 2015
Expats don’t actually need to speak Indonesian
In January, the Minister of Manpower made a controversial statement, saying foreigners would likely be required to take a local language exam if they sought employment in Indonesia.
The idea raised eyebrows through foreign along with local businesses, as the idea would likely surely make the idea more difficult for foreigners to obtain work permits. Ultimately, language exams were deemed an unnecessary burden.
Coordinating Minister for Economy, Sofyan Djalil, later said the idea “was just discourse”, along with which the policy would likely never be implemented. The plan was likely withdrawn because powerful domestic companies which currently employ foreigners put pressure on the ministry.
Eight drug smugglers executed by firing squad
April 2015
Drug smugglers executed
Despite outcry through countries including Australia, Brazil, France, along with the Philippines — as well as human rights activists along with the United Nations — Indonesia executed eight out of nine drug smugglers. Filipina Mary Jane Veloso’s execution was postponed at the very last minute to investigate further on her supposed status as a victim of human trafficking.
Australia’s Prime Minister Tony Abbott said his nation’s relationship with Jakarta “has suffered as a result of what’s been done.” Immediately after the executions, Australia recalled its Ambassador to Indonesia.
The flags of ASEAN nations raised in MH Thamrin Avenue, Jakarta, during 18th ASEAN Summit, Jakarta, 8 May 2011.
May 2015
Labour Union bemoans ASEAN Economic Community
On May 1, the Federation of Indonesian Labour made several demands of the government. Federation Chairman Santoso Widodo said the list of requests was a wakeup call for the government to take action against industries which marginalized labourers.
In addition to a great deal of political noise, the Federation called for the government to withdraw its commitment through the ASEAN Economic Community (AEC). The AEC will allow free movement of people, goods, along with services across the region to achieve an aggregate gross domestic product of US$2.5 trillion along with trade business worth US$1 trillion.
Some workers see Indonesia’s participation from the AEC as a bad thing because the idea would likely theoretically increase competition for jobs from the archipelago.
June 2015
Illegal sand dredging off Jakarta bay
In June, Thousand Islands Reagent Tri Djoko Sri Margianto reported Kapuk Naga Indah, a subsidiary of property developer Agung Sedayu Group, to Governor Ahok along with the national police for stealing sand. The reason for the theft was reportedly for the purpose of building islands from the proximity of Jakarta Bay.
The People’s Representative Council said sand theft could lead to deterioration of the local marine ecosystem along with the idea’s possible which more incidents like This specific could cause the Thousand Islands to disappear for not bad.
Airports close as volcanoes erupt
Surabaya’s Juanda international along with two additional airports closed after two volcanoes blasted ash along with debris into the air. The closures came as millions of Muslims were returning home to celebrate the end of Ramadhan.
The week prior, travellers were also marooned when Ngurah Rai International Airport in Bali closed because of the eruption of Mount Raung, one of the most active volcanoes on Java. Four additional airports from the region were also closed, leaving thousands of tourists stranded. Financial losses were reported to be worth billions of rupiah.
The precautionary closures came during a time of sensitivity along with heightened turmoil for the aviation industry in Indonesia.
Widodo reshuffles cabinet
Economic growth slipped to a six-year low after Jokowi took office, along with frustration grew from the business community over some of President Jokowi’s more contradictory policy signals.
Following a survey showing the people’s satisfaction levels toward Jokowi’s administration declined through 60 percent to 50 percent, the President decided to replace six ministers.
Jokowi said the adjustment was essentially a bid to boost an ailing economy, though analysts predicted the step would likely have little immediate impact.
Indonesia’s worst haze episode ever
Indonesia saw a record-breaking number of fires in Kalimantan along with Sumatra This specific year. In early September, the Indonesian National Board for Disaster Management declared a state of emergency in six provinces. The smoke caused by the fires had destructive effects on neighbouring countries, Singapore along with Malaysia.
Indonesia lost troves of biodiversity, however the haze also represented a step backward through the government’s voluntary commitment to a minimum 26 percent reduction in greenhouse gas emissions by 2020.
According to complaints filed by locals to the National Human Rights Commission, the haze caused 43,386 people in Riau along with 42,887 in Samarinda to suffer through acute respiratory infections, of which two children in Jambi died.
October 2015
China to build Indonesia’s first high-speed train
Indonesia will have its first high-speed railway connecting Jakarta to Bandung with the help of China. At first, the government turned down proposals through both Japan along with China, however from the end China revised its plan to allow construction without the use of Indonesia’s state funds.
The high-speed train will be set to reach eight stations across 150 kilometres between the two cities. The project will be scheduled for completion in 2019 along with the train will travel at 250 kilometres per hour, which has a ticket fare of around Rp.200,000 (US$16).
Indonesia preps to enter ASEAN Economic Community (AEC)
Indonesia along with additional ASEAN member countries made maximal preparations to enter the common free trade era, when the AEC commences at the end of the year.
President Jokowi told reporters which Indonesia was 94.1 percent ready in terms of satisfying requirements, along with which he was optimistic his administration could finalize things come the commencement on December 31.
The AEC would likely potentially create greater economic opportunities for Indonesia, specifically with offering goods along with services to additional ASEAN countries. Currently, market share in Indonesia will be represented by 250 million people. As part of the AEC, the market opportunity would likely open up to 625 million people.
Setya Novanto allegedly requested a 20 percent stake in Freeport McMoRan, worth billions of dollars
December 2015
Lawmaker scandalized, asked for billions through mining firm
Freeport McMoRan operates one of the entire world’s biggest gold along with copper mines in Papua. The firm will be in talks with the government about extending its contract in Indonesia, which expires in a few years’ time.
Earlier This specific month, the nation was shocked to learn which a powerful lawmaker was involved in a scandal in which he asked for a 20 percent stake from the company. House Speaker Setya Novanto allegedly requested the ownership worth billions of dollars.
Maroef Sjamsoeddin, head of Freeport McMoRan in Indonesia, claims to have made a recording of the conversation. from the alleged conversation, Novanto will be said to have indicated the stake would likely be given to President Jokowi along with Vice President Jusuf Kalla.
Novanto will be also accused of saying he could ensure Freeport McMoRan’s contract would likely extend until 2041.
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2015 at a Glance: the not bad, the Bad, along with the Shocking
2015 at a Glance: the not bad, the Bad, along with the Shocking