JAKARTA (TheInsiderStories) – Good morning! Gerindra Party chairperson Prabowo Subianto are planned to meet Demokrasi Indonesia Perjuangan Party (PDi-P) chairwoman Megawati Soekarnoputri today, after his first meeting with Indonesian President Joko Widodo on July 15.
The meeting became important as part of the reconciliation efforts between the two elites. While, Widodo is scheduled to welcome the arrival of Crown Prince Abu Dhabi/Deputy Chief Commander of the United Arab Emirates Armed Forces Sheikh Mohammed bin Zayed Al Nahyan at the Bogor Palace. At this meeting Widodo to offer the bilateral agreement between the two countries.
Widodo aims to build a road worth US$70 billion and stretches 5,400 kilometers, three times the length of the current road network. The road projects will be part of a $400 billion plan to modernize Indonesia and drive the economic growth.
In the meeting with Meteorology, Climatology and Geophysics Agency and the National Disaster Management Agency, President Widodo asked the two agencies to emulate Japan which has a modern disaster mitigation system. He also requested that security forces be involved in safeguarding this equipment so that they could continue to be used to monitor potential disasters.
Beside, the government is committed to increasing the electrification ratio in East Nusa Tenggara Province through the acceleration of the electricity infrastructure projects sourced from geothermal energy. For that, PT Perusahaan Listrik Negara signed a memorandum of understanding (MoU) of the exploration and drilling of the production wells in the Mataloko Geothermal Working Area of 2.5 megawatts.
From global side, Britain finally officially has a new prime minister Boris Johnson, after the Conservative Parliament voted for him on Tuesday (07/23). With that, May will officially leave her office today.
After his electability, US President Donald Trump leads the countries in congratulating the Conservative leader. Trump has declared himself a big fan of Johnson.
But, European leaders lead by the new chair Ursula von der Leyen warned Johnson that they would not change the Brexit requirement. Johnson was a Brexiter who campaigned to leave the European Union (EU) with or without an agreement in October.
Meanwhile, Britain, France, Germany, Russia and China will meet Iran in Vienna on July 28, to discuss how to save the 2015 nuclear agreement. The parties will examine the implementation of the Joint Comprehensive Plan of Action in all its aspects.
In this meeting, European countries will announce millions of euros of credit lines to facilitate trade between the EU and Iran, to persuade Tehran not to get out of the 2015 nuclear deal. Whasington has demanded the European countries, especially Britain, France and Germany, to get out of the agreement, and join America to impose sanctions on Tehran.
Moreover, China’ central bank Governor Yi Gang said on Tuesday the country’ current interest rate is right to fend off a sharper the slowdown in the world’ second-largest economy that has been squeezed by a bruising trade war with the Unite States (US). The People’s Bank of China (PBOC) itself will not follow the Federal Reserve in cutting interest rates, he adds.
In the Korean Peninsula, security temperatures heat up after South Korean warplanes fired hundreds of warning shots, accusing Russian reconnaissance aircraft of violating airspace as China and Russia flew nuclear-capable bombers nearby in their first joint air patrol. It became the first violation of airspace by foreign military aircraft since 1950-53 Korean war.
South Korea summoned Russian and Chinese envoys for the incident and said “it could take stronger steps” than warning shots if the attack was repeated. The Russian Defense Ministry didn’t mention the A-50 in its statement, saying only that strategic bombers flew over the Sea of Japan and the East China Sea to “strengthen global strategic stability” and not violate foreign airspace during patrols.
Again, the International Monetary Fund (IMF) cut its growth forecast for the global economy in this year and the coming year. The IMF predicts 3.2 percent growth in 2019, down from April’ estimate of 3.3 percent. Next year’s growth is set to take up to 3.5 percent next year, although that is below the previous estimate of 3.6 percent.
The IMF said, undecided Brexit as one of the main risks for global economic growth. In addition, the main risk factor for the global economy is those adverse developments, including further US – China trade war, Brexit, weaken investment and other issues.
Yesterday, state-owned construction company is a bank of two Hong Kong-based investors to help funds a charging toll road on the island in Java. PT Waskita Karya Tbk (IDX: WSKT) subsidiary, PT Waskita Toll Road, said investors have expressed interest in buying 40 percent of the shares in two segments of the toll road in Java, with a closed vale.
On Tuesday, the Jakarta Composite Index depreciating 0.46 percent to 6,403. The same situation also hampered the Rupiah and bring the value to level 13,983 against the US Dollar, weakened 0.31 percent compared to the previous day.
For today the two market indicators is predicting still under pressure. The composite index is expecting will move in the range 6,302 – 6,488. The recommended stocks are PT Astra International Tbk (IDX: ASII), PT HM Sampoerna TBk (IDX: HMSP), PT Telkom Indonesia Tbk (IDX: TLKM),and PT Unilever Indonesia Tbk (IDX: UNVR).
Then, PT Adhi Karya Tbk (IDX: ADHI), PT Wijaya Karya Tbk (IDX: WIKA), PT Waskita Beton Tbk (IDX: WTON), PT Jasa Marga Tbk (IDX: JSMR), and PT Bank Central Asia Tbk (IDX: BBCA).
May you have a profitable day!
Written by Linda Silaen and TIS Intelligence Team, Please Read Our Insight to Get More information about Indonesia