American Indonesian Chamber of Commerce


Virus Update #92, December 6, 2021

Corona Virus Update #92, December 6, 2021

Cumulative number of reported cases: 4,257,709 (as of December 6)

·     Deaths: 143,876
·     Fatality rate: 3.3%

Rupiah to US: 14,876
Jakarta Stock Exchange Index: 6547
Reserves (US$ Billions): $145.461 (October 29)

Overview- Double Digit Decline

After only falling in the single digits last week, Indonesia’s COVID-19 new cases resumed their double-digit decline, falling 12% over the past 7 days. Daily deaths have declined to 10 on a 7-day moving average; new cases are averaging 310, all excellent numbers. However, with the daily vaccination rate below 1.5 million, Indonesia will not reach its goal of 70% fully vaccinated (2 jabs) by the end of the year. At current rates this won’t be achieved until early March 2022. The Health Ministry believes many Indonesians have become complacent and picky about vaccinations since rates have declined. Health Ministry’s COVID-19 vaccination spokeswoman Siti Nadia Tarmizi acknowledged there had been a decreasing number of daily vaccinations. “The current stable condition has led to people postponing vaccination. They are now waiting to get vaccinated with a certain brand of vaccine”.

Travel- Quarantine Now 10 days

After lengthening the mandatory requirement from 3 to 7 days last week, this week Indonesia increased it to 10 days in response to the Omicron variant.

View travel restrictions here.


·     Manufacturing Slowly Recovers: Indonesia’s purchasing manager’s index (PMI) has been up over 50% since September, a sign of growth in manufacturing. “The growth momentum in Indonesia’s manufacturing sector in November declined from October’s record-breaking growth, but the PMI stood strong, showing continued recovery from [the] COVID-19 Delta wave,” IHS Markit economics associate director Jingyi Pan said in a press release on Monday. “Companies are also continuing to expand their workforce capacity and increase purchasing activities amid expectations of a rise in future output, which is a positive sign,”

·     Inflation Rises to Highest Level: Statistics Indonesia (BPS) reported on Wednesday that the annual inflation rate was at 1.75 percent in November, the highest level in 17 months, as food prices and crude palm oil (CPO) prices rose.

·     Jokowi Reassures Investors: After Indonesia’s Constitutional Court sent the ground-breaking 2021 Omnibus Law on Job Creation back to the government for revision, Indonesia’s President Joko Widodo went out of his way to tell investors that all the necessary changes will be made, and they should follow through with their plans. “In a democratic nation that is based on the rule of law, the government respects and will immediately implement what has been ruled by the Constitutional Court,” Jokowi said in a press conference on Monday, in his first official response to Thursday’s ruling. “All material and substance in the law and [existing implementing] regulations remain in effect without any provisions being revoked or declared invalid by the court,” he said. “Therefore, I assure businesses and investors, both domestic and international, that the investments that have been made and investments that are being processed and will be in process are safe and secure.”

·     New PLN Leader: Following a general shareholders meeting, the State-Owned Enterprises (SOE) Ministry promoted on Monday US-trained energy economist Darmawan Prasodjo from vice president director to president director of state-owned electricity distribution monopoly PLN. Darmawan, a member of the Indonesian Democratic Party of Struggle (PDI-P), replaces seasoned banker Zulkifli Zaini, who held the position for nearly two years, or since December 2019. Darmawan took office on Monday.

Foreign Affairs-

China Warns Indonesia on Natuna:  According to an Indonesian parliamentarian, China formally protested oil/gas drilling in an area of the North Natuna sea that is Indonesian territory that China still claims in part of its “9 dash line”. According to a Reuters report China made the protest in mid-2021 in a formal diplomatic note to Indonesia’s Foreign Ministry. Lawmaker Mohammed Farhan said he was told the Ministry kept this secret to not exacerbate tensions. He said China had demanded Indonesia cease the drilling. Indonesia has not issued a response to the story.

Blinken to Indonesia:  United States Secretary of State Antony Blinken is expected to make his first-ever visit to Indonesia next week, in what could signal the start of closer bilateral cooperation amid tense ties in the Indo-Pacific. Blinken is expected to visit Jakarta on Dec. 13-14, the Foreign Ministry’s director general for American and European affairs, Ngurah Swajaya, said on Monday.

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