Business peoples and analysts welcomed those, who would occupy these important positions in the next five years - Photo by President Office

JAKARTA (TheInsiderStories) – The individuals who will fill the minister’ seat in the Joko Widodo – Ma’ruf Amin’ cabinet announced today. Business peoples and analysts welcomed those, who would occupy these important positions in the next five years.

PT Reliance Sekuritas’ Analyst Lanjar Nafi said that the prospective ministers could give positive impact to the movement of the financial market. Investors assess, the names of these candidates are quite interesting in carrying out important tasks in the next five years.

Head of Narada Asset Management Research Kiswoyo Adi Joe also saw a possibility the Jakarta Composite Index (JCI) rise if the ministers were chosen according to the market expectations.

“To the market players, the position of coordinating minister for the economy and its derivatives such as the minister of finance, minister of SOEs, and minister of energy and mineral resources are the most important,” he explained.

The seat of the minister of finance is indeed quite crucial for the development of business and investment in the country. So the appointment of Sri Mulyani Indrawati is one thing that investors pay attention to.

Indrawati, who previously served as finance minister for the 2014-2019 period has re-elected as finance minister. Even after meeting with Widodo, she openly revealed that he would return to become finance minister.

Indonesian Stock Exchange senior researcher, Poltak Hotradero, rated that the re-election of Indrawati was a good thing, because she was very capable in the financial sector. On the other hand, Indrawati is also very responsible for her work.

“The re-election of her was the right decision,” he said.

Indrawati also has a strong mentality so she can face the parliament. This is  very important to be able to argue about the determination of state spending.

Holtradero also hoped that the elected ministers could pay more attention to licensing issues and the quality of human resources who administer licenses. At present, Indonesia has an Online Single Submission (OSS), but this is not enough.

Optimism regarding the election of Indrawati, was also expressed by deputy chairman of the Indonesian Employers’ Association Shinta Widjaja Kamdani. She said, the election of Indrawati would make market more optimistic about macroeconomic stability in the next five years.

“Her track record in creating macroeconomic stability is very good, so that market can be confident of the stability of the national business climate,” she noted.

Since Monday, Rupiah and the JCI has strengthened and hit resistance level. On Tuesday, Indonesian Rupiah closed higher 0.28 percent to 14,041 against the US Dollar but the middle rate of Bank Indonesia appreciated 0.52 percent to the level of 14,058 over the Greenback.

The market response tends to be positive towards several prospective ministers who will enter the new government cabinet for the 2019 – 2024 period, said the analysts. This positive sentiment is expected to be continue on Wednesday.

They expect the local currency will move between 13,960 to 3,920 per US dollar. While, the JCI move between 6,178,50 to 6.158,17.

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