November 2016 1st Week

04 november 2016

Categories : IR Weekly Review

    • The Executive Board of the World Bank disbursed the Development Policy Loan Reform the Indonesian logistics to improve logistics and facilitate the connectivity of US $ 400 million or IDR 5.2 trillion (assuming an exchange rate of Rp13,000 per US dollar). Rodrigo Chaves, World Bank Representative Director in Indonesia said the two fields is very important to promote growth and reduce poverty in the island nation. "Funding of US $ 400 million will support the Indonesia government to overcome barriers to the supply chain, such as dwelling time or waiting time for the ship in port and the number of trade licenses procedures," he said in an official statement on Thursday (3/11).

    • The US Central Bank, Federal Reserve, held their interest rates unchanged in the uncertainty about the market reaction to the results of the US presidential election. But hinted that the Fed could raise interest rates in December. "The Committee considers that the reasons for increasing the federal funds rate have continued to strengthen but decided, for now, to await some further evidence of the continued progress towards the targets," the committee said Fed policy makers said in a statement which was released after a two-day meeting on Wednesday (02/11/2016). In December last year, the Fed raised its target range for the fed funds rate by 25 basis points to 0.25-0.5 percent, the first rate hike in nearly a decade.

    • Review:

      Dwelling time is how long a container located at the port, before the container is moved back. The longer dwelling time, the more harmful to society. Stacking containers at ports, are not free. There is a fee to be paid per day by the owner of the goods. Values issued by the owner of the goods, then borne by society.

    • Indonesian President Joko Widodo (Jokowi) suggests that national banks are no longer withdraw the administrative costs savings, to encourage more people open a bank account being taken seriously by the Financial Services Authority (FSA). The banking regulator does not want the industry to take advantage of the administrative costs. Banking Chief Executive of the FSA Nelson Tampubolon said his agency would conduct special studies to be able to fulfill the wishes of Jokowi. The study will first be discussed with the banks operating in Indonesia. "Yes, it depends on the banks. It should be able to count the costs that they spent. But it's important not to take profit of the administrative costs," said Nelson, Monday (31/10). Meanwhile Director of the State Savings Bank (BTN) Tbk Maryono said, in fact some banks already offer savings products which are free of administrative costs. But the product is merely a small deposit such as Student Saving (Simpel) and the savings which are used for program distribution Social Assistance.

    • The Central Statistics Agency (BPS) assessed in October 2016 the average price of rice milling has increased, but is still under controlled conditions.BPS data rates of premium quality rice in the milling of IDR 9133 / kg, up by 0.24 percent, while the price of medium quality rice is IDR 8981 / kg, up by 0.17 percent, while the price of low-quality rice at IDR 8,597 / kg, an increase of 0.23 percent. "For the price of rice in October 2016 the average rose, but most of it is in the form of medium. We see that there is a slight increase at 0.17%. This means it is still under control," said BPS Head Suhariyanto in Jakarta, Tuesday (01/11/2016). But for the wholesale price of rice has decreased and the retail level there is a little increase. "This position shows rice prices under control until the consumer level," he said.

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      Fee based income is a benefit of the transaction given by the services of banks or other or instead of spread based. The acceptance of administrative costs in the form of provision / commissions also one of the fee-based income for the bank. In addition to creating a fee-based income, it will encourage banks to be more inovative in creating complementary products and services according to the needs of its customers.

    • Bank Mandiri hold an auction Fiestapoin reward program to encourage an increase in debit card transactions and credit card Mandiri. In the first stage in the 2016's, the auction will be held in turns in 10 major cities in Indonesia where the regional office of the bank is located, which began with Jakarta on Wednesday, November 2nd, 2016. According to Director of Retail Banking of Bank Mandiri, Tardi, auction program is a form appreciation to debit cards customers and credit cards Mandiri has taken advantage of the bank card payment instrument in a variety of daily transactions of customers. "This auction program also focused to increase the amount of redemption (redeem) reached IDR 3.49 billion and the number of active users more than 3 million customers, an increase of 181% yoy from July 2015," said Tardi when handing over prizes to the winners of the auction program in Jakarta, Wednesday (2/11/2016).

    • PT Bank Rakyat Indonesia (BBRI) support the development of SMEs through the digital platform in order to support the 1 Million Domains. This support aims to encourage perpetrators of Micro, Small and Medium Enterprises (SMEs) in Indonesia to immediately go online. "As a bank that focuses on the SME segment, Bank BRI support program 1 Million Free Domain for SMEs initiated by Kemkominfo in order to increase e-commerce transactions in Indonesia," said Corporate Secretary of Bank BRI Hari Siaga Amijarso in Jakarta, Wednesday (2/11/2016). He said the program of 1 million domain are free for one year with a target SMEs that have the potential for online sales. After signing up to get a free domain, the SMEs will be given training to create and manage the websites..

    • Review

      The development of SMEs is still obstructed such issues as capital, business management to marketing strategies. By utilizing the Internet SMEs can further improve its marketing. To increase the sales, SMEs should be heavily promoting. Some of the ways that can be done either through the website. Having a website itself is a must for SMEs that want to move forward. With these sites, SMEs can promote its products to the world.

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