Following
first, second, third and fourth economic policy package, the Government
will immediately launch the fifth economic policy package.
Cabinet Secretary Pramono
Anung said that President Joko ‘Jokowi’ Widodo had instructed his
Economic Team and Cabinet Secretariat to immediately prepare a limited
meeting to discuss the new package.
Speaking to reporters after
the Government’s Working Meeting (RKP) at the State Palace, Jakarta on
Wednesday (21/10), Pramono said:
“As for the fifth economic
policy package, we’re currently preparing for it and we hope it will
bring positive impacts for the business world and create new job
opportunities.
Pramono also said that the
fifth package would reflect President Jokowi’s strong will to create new
job opportunities. He added that the draft of the new package was ready
and the Government was still calculating when it would be launched by
taking into account the latest development.
“The fifth package is being
prepared by the Economic Team and we hope that it will be as successful
as the third and fourth packages,” he said.
“So it’s not merely providing
opportunities for the business world in order to be friendlier but also
creating new job opportunities,” he added.
Pramono went on to say that
during the meeting with board of directors of state-owned enterprises at
the RKP, the President hopes that more state-owned enterprises would be
world-class players in the construction sector, gas sector and also in
other sectors and the Government will provide eases and facilities for
those sectors.
“If necessary, we’ll do
merging, conglomeration and strengthening those state-owned enterprises
but the most important thing is that it is expected to bring big
benefits for the state-owned enterprises themselves, and of course for
the state,” he added.
In the meantime, commenting on
the RKP attended by governors, regents and mayors from all over
Indonesia, Pramono said that President Jokowi and Jusuf Kalla called on
all governors, regents and mayors to follow the changes (in policies)
because several permits are issued by the regions; thus, if the Central
Government’s policies have changed and the regions cannot follow the
changes, it will also pose problems.
Pramono added that President
Jokowi also asked regional leaders to follow the rhythm of the central
Government and problems that have so far posed in the regions are
expected to be reported to the Central Government and made as a One-Door
Integrated Policy managed by the Investment Coordinating Board (BKPM).
Asked about requests delivered
by the regional leaders, Pramono said that many regions requested for
the assistance in infrastructures such as the extension of runway (of
the airports in the regions).
“They also requested for
assistance in the repair of roads because roads are mostly managed by
the Ministry of Public Works through the existing agencies,” Pramono
said.
In addition, Pramono also said
that there must be a change in paradigm, changes in speed and changes
in terms of which issues that are the responsibility of the Central
Government, regional governments or a ministry.
“We’ll see whether the issue
(repairing roads) would be handled by the Central Government or regional
governments. As we might be aware, there are three kinds of roads:
city/regency roads, provincial roads, national roads. Oftentimes we have
no idea whether a certain road is the responsibility of the Central
Government or a provincial government,” he said.
Jakarta, 23/10/2015 - Government has issued the Fifth
Economic Policy Package on Thursday (22/10). It emphasizes on three policies of
deregulation, namely asset revaluation, eliminating multiple taxation of Real
Estate Investment Fund, Property and Infrastructure, as well as deregulation in
Islamic banking.
The asset revaluation policy is issued since there are still
many companies that have not revalued their assets, with the change in value of
assets, either due to inflation or the rupiah depreciation. This policy is
expected to help the company to improve its financial performance through
improved value of the assets affected by the depreciation of the rupiah and
inflation.
Second, multiple taxation elimination is provided as a
product of the Indonesian capital market remains relatively limited, so that
the capitalization of the Indonesia Stock Exchange (BEI) is relatively small compared
to neighbouring countries. Thus, it is necessary to develop products such as
the Collective Investment Contract (KIK) for Infrastructure, KIK - Real Estate
Investment Fund (KIK-DIRE) and the like, which is in line with the deepening of
financial market.
Finally, since it grows rapidly year to year, the government
is going to encourage the growth of the Islamic finance industry by simplifying
the regulatory and licensing for products of Islamic banking. Later, there will
be codification of Islamic products, in which some certain code licences will
be exempted. This also applies to other products related to the pawnshop by
Islamic banking. However, the government will keep its prudence, especially
gold pawn saved by many people.
For the banking sector, the government will provide facility
to expand the range of Islamic banking in terms of opening branch offices. This
will encourage efficiency so that prices and interest rates will be more
affordable for the community.
Jakarta,
23/10/2015 MoF - Government has issued the Fifth Economic Policy
Package on Thursday (22/10). It emphasizes on three policies of
deregulation, namely asset revaluation, eliminating multiple taxation of
Real Estate Investment Fund, Property and Infrastructure, as well as
deregulation in Islamic banking.
The asset revaluation policy is issued since there are still many
companies that have not revalued their assets, with the change in value
of assets, either due to inflation or the rupiah depreciation. This
policy is expected to help the company to improve its financial
performance through improved value of the assets affected by the
depreciation of the rupiah and inflation.
Second, multiple taxation elimination is provided as a product of the
Indonesian capital market remains relatively limited, so that the
capitalization of the Indonesia Stock Exchange (BEI) is relatively small
compared to neighbouring countries. Thus, it is necessary to develop
products such as the Collective Investment Contract (KIK) for
Infrastructure, KIK - Real Estate Investment Fund (KIK-DIRE) and the
like, which is in line with the deepening of financial market.
Finally, since it grows rapidly year to year, the government is going to
encourage the growth of the Islamic finance industry by simplifying the
regulatory and licensing for products of Islamic banking. Later, there
will be codification of Islamic products, in which some certain code
licences will be exempted. This also applies to other products related
to the pawnshop by Islamic banking. However, the government will keep
its prudence, especially gold pawn saved by many people.
For the banking sector, the government will provide facility to
expand the range of Islamic banking in terms of opening branch offices.
This will encourage efficiency so that prices and interest rates will be
more affordable for the community. (as)
- See more at: http://www.noodls.com/view/91809D340FED5F632354CB8A4804BA2A80E30260?9427xxx1445828488#sthash.5Q1Twwnk.dpuf
Jakarta,
23/10/2015 MoF - Government has issued the Fifth Economic Policy
Package on Thursday (22/10). It emphasizes on three policies of
deregulation, namely asset revaluation, eliminating multiple taxation of
Real Estate Investment Fund, Property and Infrastructure, as well as
deregulation in Islamic banking.
The asset revaluation policy is issued since there are still many
companies that have not revalued their assets, with the change in value
of assets, either due to inflation or the rupiah depreciation. This
policy is expected to help the company to improve its financial
performance through improved value of the assets affected by the
depreciation of the rupiah and inflation.
Second, multiple taxation elimination is provided as a product of the
Indonesian capital market remains relatively limited, so that the
capitalization of the Indonesia Stock Exchange (BEI) is relatively small
compared to neighbouring countries. Thus, it is necessary to develop
products such as the Collective Investment Contract (KIK) for
Infrastructure, KIK - Real Estate Investment Fund (KIK-DIRE) and the
like, which is in line with the deepening of financial market.
Finally, since it grows rapidly year to year, the government is going to
encourage the growth of the Islamic finance industry by simplifying the
regulatory and licensing for products of Islamic banking. Later, there
will be codification of Islamic products, in which some certain code
licences will be exempted. This also applies to other products related
to the pawnshop by Islamic banking. However, the government will keep
its prudence, especially gold pawn saved by many people.
For the banking sector, the government will provide facility to
expand the range of Islamic banking in terms of opening branch offices.
This will encourage efficiency so that prices and interest rates will be
more affordable for the community. (as)
- See more at: http://www.noodls.com/view/91809D340FED5F632354CB8A4804BA2A80E30260?9427xxx1445828488#sthash.5Q1Twwnk.dpuf
