JAKARTA (TheInsiderStories) — Good morning! British Prime Minister Theresa May will depart for Brussels again to negotiate backstop policies with the European Union (EU) regarding British exit (Brexit) planned. England is scheduled to officially divorce the EU on March 29, 2019.

Previously, May had postponed the vote in Parliament over the Brexit proposal. The voting was originally held today (12/11). The delay was carried out because of the extraordinary refusal from Parliament that forced May to rethink.

The backstop policy is a policy that guarantees that there will be no redevelopment of physical boundaries on the island of Ireland if future trade relations do not work well.

The Rupiah exchange rate against the US Dollar weakened to 14,517 on Monday, after a recent downturn. This morning the local currency dropped 60 points agains the American dollar compared to yesterday.

This impairment is indicative of not only the United States (US) economic slowdown, but also the world’s. Indonesia also isn’t immune from the weak global sentiment and US economic deceleration.

While, the Jakarta Composite Index slumped 0.24 percent, closing at 6,111.36 with most sectors discounted. Foreign funds recorded a high net sell of Rp 1,05 trillion.

On the same day, Bank of Indonesia (BI) showed a slowdown performance of retail sales survey. October’s real sales index grew by 2.9 percent year-on-year, lower than the 4.8 percent in September.

The figure is supported by retail sales in the clothing commodity subgroup and the fuel commodity group. Real sales index is projected to grow in November. But BI indicates that price pressure on retailers will increase in the beginning of 2019, as general price expectation index survey for the next three months will be 163.9, higher than the previous survey.

Then, Minister of Agrarian and Spatial Planning and National Land Agency Sofyan Djalil is predicting that the Land Law draft will be finished next month. The law draft is now being discussed in the House of Representatives.

Among the 928 inventory lists, more than 300 lists have been discussed. Djalil says the law draft should be completed soon. The Land Law was established in 1960 has never been revised.

Go to other issues. Human Rights National Committee highlighted human rights violations, especially in the agrarian conflict in Papua, due to there being no comprehensive mechanism to manage the issue. The committee received 5,828 documents this year about the agrarian conflict.

Lots of agrarian conflicts in Papua have impacted land rights, rights to life, rights to welfare, and rights of indigenous peoples. The Human Rights National Committee realises that the issues in Papua are very complex, from some violations in the past, the judicial steps, to social inequality between local communities and immigrant communities.

Furthermore, Anti-graft agency has determined that two state-owned enterprises officials are suspects, Head of PT Waskita Karya Tbk (IDX: WSKT) Adi Wibowo and Head of PT Adhi Karya Tbk (IDX: ADHI) Dono Purwoko, relating to an Institute of Domestic Administration construction corruption case.

Other than that, Home Ministry’s official Dudy Jocom is re-stated as a suspect, he was previously sentenced to four years in prison under the corruption act in court last month.

Suspects allegedly asked for a seven percent fee from the construction of two buildings at the Institute of Domestic Administration in South Sulawesi and North Sulawesi. The corruption case resulted in a Rp21 billion (US$14.48 million) loss to the country.

May you have a profitable day!

US$1: Rp14,500
Written by Linda Silaen and TIS Intelligence Team, Please visit our new website to get more insight on Indonesia’s economy: www.tisintel.com

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