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The Indonesian Update — Volume XIII, No.7 – July 2019 (English Version)

The July 2019 edition of the Indonesian Update raises a main report on the reconciliation after the 2019 presidential elections. This theme is very relevant because after the Constitutional Court (MK) ruling that rejected all review petitions of the Prabowo-Sandiaga Uno pair, reconciliation has become a hot topic.

In the economic field, this edition of the Indonesian Update discusses the monetary policy of Bank Indonesia (BI) to hold the benchmark interest rate at a level of 6%. Although it is not in line with the expectations of many parties, BI has compensated it by relaxing the minimum reserve requirement (GWM). In addition, we also discuss the discourse on the revision of Value Added Tax (VAT) rates. This is quite relevant because the Government is preparing a revision of a number of derivative tax laws, including the Income Tax Law (PPh) and the Value Added Tax Act (VAT).

In the field of law, we discuss the selection of candidates for the Corruption Eradication Commission (KPK) heads. This theme is very important because the selection of the KPK heads is crucial as one of the milestones to eradicate corruption and its derivative implications in the future. In addition, we also discuss the polemics over the discussions on the Draft Criminal Code (RKUHP, or the HP Bill), specifically related to the formulation of corruption offenses.

In the political field, the Indonesian Update discusses the grand design of national bureaucratic reform to strengthen competency-based recruitment and to foster the State Civil Apparatus (ASN). In addition, we also discuss the cabinet formation for the 2019-2014 period. This theme is relevant to be discussed because the cabinet formation process involves the interests of political parties. This is also evident from the maneuvers of political party elites.

In the social field, the Indonesian Update raises the cases of child marriages due to the increasing prevalence of child marriages in Indonesia. In addition, we also discuss cases of sexual abuse that occur in Indonesia. This relevant theme is raised because the legal umbrella in Indonesia has actually led to the criminalization of victims. In the social field, we also discuss strategic efforts to improve health services amid a deficit in the Health BPJS and the importance of its financial management.

The monthly publication of the Indonesian Update with actual themes is expected to help policymakers in government and business institutions – as well as academics, think tanks, and elements of civil society, both domestic and foreign, to obtain actual information and contextual analysis of economic conditions, politics, social, and law in Indonesia, as well as an understanding of public policy in Indonesia.

 

Happy reading

Download The Indonesian Update — Volume XIII, No.7 - July 2019 (English Version)

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