Country Director of World Bank Indonesia, Rodrigo Chaves - Photo by TheInsiderStories

JAKARTA (TheInsiderStories) – Country Director of World Bank Indonesia, Rodrigo Chaves reminded the government of a potential global economic recession in the meeting with President Joko Widodo and his economic ministers yesterday. He noted there are several points that need to be monitored in the current global situation and he suggested the country prepare the necessary steps.

He recommended Indonesia need to improve its current account deficit with foreign direct investment and provide legal certainty to the global investors. Chavez also mentioned that having a strong basis in macro management will contribute to maintaining financial conditions.

At the same day, deputy governor senior for Bank Indonesia (BI) Destry Damayanti sees Indonesia’ economic growth around 5.0 – 5.4 percent in 2019 and nearly to 5.5 percent in 2020. The forecast is based on analyses on high domestic demand, stable investment, and a notable improvement in export performance.

On Sunday, foreign minister Retno Marsudi inaugurated the first “Migas Corner” at the Republic of Indonesia embassy in Kuwait City to attract investments in the oil and gas. At present, Indonesia is focusing on exploring 10 blocks that are spread from Sabang to Merauke with total oil and gas resources around 10 billion barrels of oil equivalent.

Kuwait is one of the first and largest energy partners in Indonesia, with the value of oil and gas imports from Kuwait reaching US$214 million in 2018. The value of trade between the two countries reached more than $403 million in 2018.

From global, United States (US) President Donald Trump assured that his side would meet China for talks later this month to settle the trade dispute. While, Argentine bond prices fell to record lows and Pesos diverged after the country imposed capital controls in a bid to stem a currency rout that is sharpening the risk of default.

The move by President Mauricio Macri was a sharp about-face for his administration after the conservative leader was pummeled in primary elections in August. The country’ Peso, bonds and equities have since tumbled, forcing the leader to unveil plans to delay payments on around $100 billion of debts as well as the currency controls restricting the purchase of dollars.

In England, prime minister Boris Johnson considered seeking an early general election if member of parliaments (MPs) wanting to block a no-deal Brexit defeat his plan. Yesterday, amid mounting speculation about an election he hold an unscheduled cabinet meeting and will also speak to the wider Conservative parliamentary party later,

The prime minister has said the UK must leave the European Union (EU) on Oct. 31, with or without a deal. The opposition leaders are expected to put forward legislation on Tuesday to stop no deal Brexit. Sources have told the BBC the bill would force the prime minister to seek a three-month extension until Jan. 31 if no withdrawal deal has been passed by Oct. 19 – the day after the next EU leaders’ summit.

In Asia, Afghan President Ashraf Ghani told the US envoy for Afghanistan to share details of a draft deal between the Washington and Taliban with all the leaders. Zalmay Khalilzad, the Afghan-born US diplomat has completed nine rounds of talks with Taliban representatives, met Ghani and is scheduled to hold meetings with all Afghan leaders in Kabul this week.

On the nuclear deal, Iran President Hassan Rouhani and his French counterpart Emmanuel Macron has make a phone call and more closer to reach a deal, said the spokesman Ali Rabiei without giving more details. Since the US pulled out of the 2015′ nuclear deal last year, European parties have been trying to convince Iran to remain compliant by promising to shield its economic interests from the sanctions.

Iranian Foreign Minister, Mohammad Javad Zarif will travel to Indonesia and Bangladesh in coming days. He will meet the Islamic leaders in Indonesia and discuss bilateral, regional also international issues as well as the latest developments in the Muslim world. Before go to Indonesia, he will travel to Bangladesh to hold a meetings with officials of the country and giving a speech at Indian-Ocean Rim Association.

On Monday, Indonesian Rupiah end up to 14,190 against the US Dollar but the Jakarta Composite Index dropped 0.6 percent to 6,290.55 compared to prior day. For today, the major stock index will move in the range 6,187 – 6,372.

The stock to be watch for today are PT Bank Negara Indonesia Tbk (IDX: BBNI), PT Bank Central Asia Tbk (IDX: BBCA), PT Jasa Marga Tbk (IDX: JSMR), PT AKR Corporindo Tbk (IDX: AKRA), PT Wijaya Karya Tbk (IDX: WIKA), PT Adhi Karya Tbk (IDX: ADHI), PT Pakuwon Jati Tbk (IDX: PWON) and PT Kalbe Farma Tbk (IDX: KLBF)

May you have a profitable day!

Written by Linda Silaen and TIS Intelligence Team, Please Read Our Insight to Get More information about Indonesia