JAKARTA (TheInsiderStories) – Good Morning! Today, Indonesian President Joko Widodo will distribute the Budget Implementation Entry List to the ministries and institutions and for the fiscal year of 2020. For next year, the country prepared funds for government spending Rp854 trillion (US$61.00 million).
The government and household consumption its expecting to drive Indonesia’ economic growth. In his second term, Widodo targeting the nation’ GDP could grow faster between 5.4 percent to 6.0 percent in 2024.
While, European Union (EU) and Indonesia has discussed the security issues during their meeting on Nov. 12 in Brussels, Belgium, said the agency today. The dialogue was established under the 2014 Partnership Cooperation Agreement between the both countries.
The implementation of the EU Partnership Instrument project with Indonesia and four other countries in Asia on enhanced security cooperation, was also discussed. The next Dialogue round will be held next year in Indonesia.
Then, Leaders from five major emerging economies incorporated in BRICS (Brazil, Russia, India, China and South Africa) met in Buenos Aires since yesterday. During the summit, the leaders aims to significantly strengthen their cooperation in science, technology and innovation.
The countries will also look to enhance cooperation on digital economy and build mechanisms for counter-terrorism cooperation within the group framework. A BRICS memorandum of understanding between trade and investment promotion agencies is expected to be signed at the meeting.
On the commodity issues, United States (US) Department of Agriculture said, that global rice production during 2019 – 2020 to remain flat, as a large harvest from India is expected to offset lower volumes from Indonesia and the Philippines.
Its reported, India production raised 1.0 million tons to 115 million tons, Indonesia production is lowered 0.9 million tons to 36.50 million tons due to the delayed onset of the monsoon, and the Philippines are lowered 0.2 million tons to 12 million tons as farmers shift production to more profitable crops.
On Wednesday, the statement of US’ President Donald Trump related to the progress of the trade war agreement with China has disappointed market players. Most of global financial market drifted lower over his statement.
In Indonesia, Rupiah weakened 0.17 percent to 14,079 and the middle rate of Bank Indonesia dropped 0.16 percent to 14,082 a US dollar compared to prior day. The Jakarta Composite (JCI) also fell 0.62 percent to 6,142.50 on Wednesday. There were 501,818 transactions involving 9.56 billion shares worth Rp7.13 trillion.
The analysts rated, that declines was dragged down by regional index movements, which also tended to weaken. In addition, the weakening of the JCI and the local currency was also influenced by global sentiment, especially the speech of Trump who re-heated US – China trade relations.
He has stated that if the two largest economy does not reach a trade agreement in December, Washington will rise more import duties on Chinese products. Beside, the financial market is lacking of good sentiment.
Therefore, the observes estimating, the Rupiah and JCI tends to move weaker today. The Rupiah movement is predicted to be in the range of 14,000 14,140 over the Greenback and the stock index between 6,120 – 6,200 compared to yesterday.
Stocks to be watch are PT Puramas Delta Lestari Tbk (IDX: DMAS), PT MNC Vision Networks Tbk (IDX: IPTV), PT Bank Rakyat Indonesia Tbk (IDX: BBRI), PT Trada Maritime Tbk (IDX: TRAM), PT BumI Resources Tbk (IDX: BUMI), PT Medco Energy International Tbk (IDX: MEDC), PT XL Axiata Tbk (IDX: EXCL), PT Telkom Indonesia Tbk (IDX: TLKM), PT Bumi Serpong Damai Tbk (IDX: BSDE), and PT Barito Pacific Timber Tbk (IDX: BRPT).
May you have a profitable day!
Written by Linda Silaen and TIS Intelligence Team, Please Read Our Insight to Get More information about Indonesia