American Indonesian Chamber of Commerce

AMERICAN INDONESIAN CHAMBER OF COMMERCE

Virus Update #89 November 15, 2021

Corona Virus Update #89     November 15, 2021

Cumulative number of reported cases: 4,251,048 (as of November 15)

  • Deaths: 143,670
  • Fatality rate: 3.3%

Rupiah to US: 14,206
Jakarta Stock Exchange Index: 6616
Reserves (US$ Billions): $145.461 (October 29)

Overview- New Delta Variant

Case detections dropped 31% over the past week to just 422. Fatalities are averaging 15 a day and yesterday they were only 11. The daily vaccination rate declined 13% to 1.5 million.

The recent discovery in neighboring Malaysia and Singapore of a new subtype of the highly transmissible Delta variant of the coronavirus has rung alarm bells in Indonesia, which is on track to further reopen itself to the world. Fears of a new wave of infection driven by AY.4.2, also known as Delta Plus, which is believed to be slightly more transmissible compared with the original Delta variant, came as Indonesia began to gradually ease COVID-19 curbs and reopen its borders for international arrivals.(Jakarta Post)

 

Travel- 3 Day Quarantine

Indonesia has lowered its required quarantine for foreign visitors to 3 days. Bali and Batam are now open for foreign tourists but direct international flights have not resumed to Bali.

It is now possible again to travel to Indonesia on sponsored business visas. A five day quarantine is required at designated Jakarta hotels. A local Indonesian organization applies online at the Directorate for Immigration. If travelers do not have a local counterpart an AICC member, PT Cekindo (a business facilitation firm, part of Singapore’s InCorp group) can become the sponsor for a $300 fee. 14 days is the approximate processing time.

Contact: Pandu Biasramadhan, pandu.ramadhan@cekindo.com.

View travel restrictions here.

 

Economic

·     Record October Trade Surplus: Indonesia booked further record-high export and trade surpluses in October, bolstered once more by high coal and crude palm oil (CPO) prices, benefiting from a recovery in global trade. Statistics Indonesia (BPS) reported on Monday that exports grew by 53.35 percent year-on-year (yoy) to US$22.03 billion in October. Similarly, imports rose by 51.06 percent to $16.29 billion from a year earlier.

·     Another Pertamina Refinery Fire: For the second time this year fire has broken out at Indonesia’s largest refinery at Cilacap. Although the refinery was not shutdown the incident could potentially effect Indonesia’s plans to upgrade and expand its refinery footprint, softening investor confidence.

·     Formal Sector Employment Unchanged:  The job creation benefits of the Omnibus Bill passed earlier this year remain elusive so far. Informal employment remains large in Indonesia despite some small improvements, with job growth in the formal sector limited even as companies look to rehire after slashing staff during the COVID-19 pandemic. The share of informal workers was recorded at 59.45 percent in August, according to figures published by Statistics Indonesia (BPS) on Nov. 5, down 1.02 percentage points from a year earlier, as the number of employers assisted by temporary workers and the number of unpaid family workers fell, while the number of formal workers increased.

Foreign Affairs

Messaging Confusion on Glasgow Accord: Following the UN Climate Conference (COP26) in Glasgow, subsequent statements by the Minister for the Environment as well as from the Minister and Deputy Minister of Foreign Affairs appear at odds with the 137-nation agreement (signed by Indonesia) pledging to end deforestation by 2030. Environment And Forestry Minister, Siti Nurbaya Bakar caused a stir by saying the pledge that Indonesia agreed to was “clearly inappropriate and unfair”. Vice foreign minister Mahendra Siregar later said the pledge did not mean deforestation would be halted completely but referred instead to “sustainable forest management”. After speaking with British Foreign Secretary Liz Truss Foreign Minister Retno Marsudi told a news conference: “Indonesia’s concrete achievements on forestry sector is beyond doubt…I underlined that Indonesia does not want to be trapped in rhetoric. We prefer to walk the talk.”

 

 

(sources: International and Indonesia news media, Bali Update (from balidiscovery.com), Reformasi Weekly, US Embassy website)