Desember 2016 4th Week

30 december 2016

Categories : IR Weekly Review


  • MACRO
    •  Next year is still predicted to full economic uncertainty. Moreover, the US central bank will also raise its interest rates, the Fed funds rate (FFR) three times. This of course seriously affects the position of existing funds in emerging markets such as Indonesia. But unfortunately, in the midst of that uncertainty, monetary instruments could no longer anticipate the impact of the Fed policy. "So in the next year, the Fed will raise interest rates gradually potentially weaken the exchange rate and make the financial markets more vulnerable," said economist INDEF, Bhima Yudhistira Adhinegara, in Jakarta, Tuesday (27/12). Under these conditions, he said, there should be anticipation policies both in terms of fiscal and monetary. The policy instruments are expected to anticipate the impact on the domestic financial sector. In terms of fiscal, budgetary conditions in 2017 experiences a major change with the increasing of local fiscal capacity should be able to make the area unshaken.

    • Yen rose against the US dollar in the trading session on Thursday (29 / December) this afternoon after the release of the Summary of Opinions of the Bank of Japan (BoJ). USD / JPY rolled down to the bottom level of 117.00. The Japanese economy is in a moderate recovery, helped by strong exports and industrial production sectors, according to the BoJ. Summary of BoJ opinions were released a few days after the monetary policy meeting, on 19-20 December, and before the release of the official meeting minutes. The BoJ summary also showed that private consumption remained fairly steady growth and still relatively high due to the fiscal stimulus and a recovery in markets outside Japan. USD / JPY slipped as far as 116.86 after the release of Summary of BoJ Opinion down from the previous 117.12 figure. At time of writing, USD / JPY has been increasingly immersed into the range of 116 382. This week was a holiday weekend, so the lack of liquidity and the number of trading-desk empty need to be considered.

    • Review: 

      Uncertainty regarding the Fed interest rate hikes often made national economy with emerging market are also increasingly uncertain. Although some time ago the government was committed in anticipation of the Fed rate hike, but it was not enough. The importance of the points contained in the effectiveness and efficiency of local budget absorption, due to the number of regional transfer funds greater than the spending ministries should be more impactful.

  • MICRO
    • Five boarding schools in Yogyakarta Province will soon implement a non-cash transaction services. Those five boarding schools included Pondok Pesantren Muhammadiyah Boarding Scholl (MBS), Pondok Pesantren Al Munawir Krapyak, Pondok Pesantren Ali Maksum Krapyak, Pondok Pesantren Nurul Ummah and Kota Gede Pondok Pesantren Mualimin. Head of Representative Office of Bank Indonesia in Yogyakarta, Arif Budi Santosa said the movement of non-cash transaction services was actually a follow-up to the signing of an agreement between Bank Indonesia and the Office of Religious Affairs. Movement of non-cash services in Indonesia actually has been done since 2014 ago. "In Yogyakarta in 2015 and then, we had already applied at boarding Pandanaran Sleman," he said during the soft launching of Non-Cash Services Boarding School MBS, Wednesday (12/28/2016). Various backgrounds into the causes of why it aggressively implements non-cash services in boarding school. The risk of losing money from the students, administrative errors boarding school board until the time of the inefficiency of managing students in managing finances into consideration the application of the non-cash services.

    • The Financial Services Authority (FSA) will issue business licenses Funding Securities PT Indonesia (PEI) and to issue regulations on funding the effects of the first quarter of 2017. Head of the Department of Capital Market Supervisory FSA, Gonthor R Aziz said today that he is seeking to immediately issue an operating license and issued regulations concerning the funding of effects, related to the establishment of PEI by SRO capital markets. "in the first quarter of next year will already their business licenses (PEI), so that it can soon be operational," said Gonthor in Jakarta, Wednesday (12/28/2016). as known, recently BEI with PT Indonesian Central Securities Depository (KSEI) and Clearing Guarantor Securities Indonesia (KPEI) established the PEI for the initial phase will fund margin trading for securities firms that have Net Adjusted Working Capital (NAWC) above Rp250 billion. the company currently has MKBD securities over 250 billion among others: 1. Indo Premier Securities have MKBD of Rp359,26 billion. 2. Materials Sekuritas has MKBD of Rp257.62 billion. 3. BCA Sekuritas has MKBD of Rp337,84 billion. 4. Citigroup Securities Indonesia has MKBD of Rp408,79 billion. 5. CLSA Securities Indoenesia have MKBD of Rp436,31 billion. 6. Credit Suisse Indonesia has MKBD Rp1.1 trillion. 7. Daewoo Securities Indonesia has MKBD Rp382.66 billion. 8. Danareksa has MKBD Rp271,2 billion. 9. Deutsche Securities Indonesia has MKBD Rp299,63 miliar.10. JP Morgan Securities Indonesia has MKBD of Rp681,68 billion. 11. Macquarie Capital Securities Indonesia has amounted to Rp327.08 miliar.12 MKBD. Mandiri Sekuritas has MKBD of Rp516,75 miliar.13. Maybank Kim Eng Securities Indonesia has MKBD of Rp732,63 billion. 14. Merrill Lynch Indonesia has MKBD of Rp287,69 billion. 15. Morgan Stanley Asia Indonesia has MKBD of Rp337,77 billion.

    • Review:                                                                                                                                     

      As it is known that one into consideration regarding the implementation of the non-cash services at boarding school is a business unit. Because through the business units, non-cash transactions will be more developed more rapidly. The service is non-cash movement is essentially for security reasons as well as efficiency.

  • BANKING
    • Bank Tabungan Negara (BTN) Tbk took seven State-Owned Enterprises (SOEs) to increase the association funds and lending by the company. BTN president director Maryono said that cooperation with the seven state-owned company aimed to raise third-party funds (DPK) and also the housing loan portfolio. It is also in line with direction of SOE Minister Rini Soemarno to improve the synergy between state-owned enterprises. "For the long term, this collaboration will be beneficial to increase the credit and collection of funds for the BTN," he said at the Ministry of Enterprise, Jakarta, Thursday (29/12/2016). Seven SOEs that cooperated with Bank BTN were PT Bukit Asam (Persero), PT Reinsurance Indonesia Utama (Persero), PT Pembangunan Perumahan (Persero), PT Semen Indonesia (Persero), PT Permodalan Nasional Madani (Persero), Perum Housing and BPJS Employment. "This partnership is done within the framework of cooperation business to business with potential business partners," he added.

    • PT Bank Mandiri (Persero) Tbk admitted this year has distributed loans for infrastructure projects of up to Rp97 trillion. The total number increased by 50% compared to last year. Senior Executive Vice President (SEVP) Bank Mandiri Alexandra Askandar revealed, infrastructure projects that were financed from the company's loan include toll roads, power plants, and ports. Regarding train itself, the bank has lent nearly around Rp5 trillion. "We have been distributing around almost Rp5 trillion. But the overall infrastructure growth is more significant this year than last year, nearly 50% from last year (growth). So, until now, almost Rp97 trillion," he said at Plaza Mandiri, Jakarta, Tuesday (12/27/2016). According to him, the bank this year has contributed funding national infrastructure projects amounting to 10% of the budget needed. He said he hoped this year's contribution could reach 14%.

    • Review

      Through this synergy, employees of state-owned enterprises, which signed a cooperation has the potential to get all the facilities of Bank BTN. In addition, participants can be active BPJS Employment potential borrowers due to their strong networks.

Disclaimer : This document is for informational purposes only and obtained from a variety of reliable sources, but is not a guarantee the accuracy or completeness and should not be relied on completely. The above conditions may be changed at any time. Forbidden to rewrite anything without written permission from The East Java Regional Development Bank