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International
Friday, November 25, 2016
BUSINESS
be content with that. But let us open everything.” The mercurial former mayor has shown no qualms about confronting conglomerates who dominate the Philippines economy, which is growing at one of the world’s fastest rates. Despite jitters among investors that Duterte’s volatility could impact policy, the economy expanded 7.1 percent in the July-September period - the first quarterly data of his presidency. Duterte spoke moments after arriving home from a leaders’ summit in Peru of the Asia-Pacific Economic Cooperation (APEC), whose closing statement committed to fight “all forms of protectionism”. Investors have long been frustrated at being shut out of some sectors in a market of more than 100 million Filipinos, either squeezed by local monopolies or regulations that limit foreign investments, like in telecoms and utilities. The Philippines currently has 21 billionaires, according to Forbes Magazine, with a record number in 2016. The richest had a net worth of $12 billion. (rtr)
REUTERS/Lean Daval Jr
Philippine President Rodrigo Duterte speaks upon his arrival at Davao International Airport in Davao city, Philippines, after returning from a leaders’ summit in Peru of the Asia-Pacific Economic Cooperation (APEC), November 23, 2016.
Indonesia Today
ANTARA FOTO/Akbar Nugroho Gumay
AP Photo/Eugene Hoshiko
A man walks past an electronic stock board showing Japan’s Nikkei 225 index at a securities firm in the snow in Tokyo, Thursday, Nov. 24, 2016. Asian markets were mixed Thursday in quiet trade amid the Thanksgiving holiday in the U.S., with Japan’s bourse buoyed by a lower yen.
Asia stocks slip on spectre of higher US rates, dollar “a freight train”
TOKYO - Most Asian stock markets fell on Thursday as upbeat economic data strengthened the prospect for higher U.S. interest rates, while the dollar’s bull run continued as U.S. bond yields hovered near multi-year highs. Japanese stocks swam against the tide and rose to a near 11-month high as the yen weakened and after Wall Street shares closed at record highs overnight. The dollar index against major currencies rose nearly 0.2 percent to 101.84, not far from 101.91 touched overnight, its highest since March 2003. The greenback drew support from a further rise in U.S. Treasury yields. The two-year yield hit its highest levels since April 2010 on Wednesday as the market continued to bet that the Trump administration will increase debt-funded spending and spur higher growth and inflation. Such a view - which has also lifted expectations for more interest rate hikes by the Federal Reserve next year - was reinforced on Wednesday by data that showed new orders of U.S. manufactured capital goods rebounded in October. Consumer sentiment also
jumped in November in the wake of Trump’s election. “It (the U.S. dollar) is a freight train that seems over limit at the moment, but it may have a long way to go before what looks and feels like a structural adjustment settles down,” said Greg McKenna, chief market strategist at CFD and FX provider AxiTrader. The dollar was up 0.2 percent at 112.740 yen after touching an eightmonth high of 112.980 overnight. It has gained roughly seven big figures against its Japanese counterpart since Trump’s victory earlier this month.The euro was down 0.2 percent at $1.0530 after touching $1.0526 overnight, its lowest since Dec. 4, 2015. The common currency has dropped nearly 4 percent so far in November. The firm dollar kept most emerging market currencies on the ropes, with China’s yuan nearing the 7 per dollar level for the first time since
May 2008. In equities, MSCI’s broadest index of Asia-Pacific shares outside Japan pulled back from a 12-day high scaled the previous day to lose 0.5 percent, facing the prospect of higher U.S. interest rates diverting money from emerging markets. It has lost 3.5 percent this month. Australian shares shed 0.1 percent and South Korea’s Kospi fell 0.5 percent. Shanghai was up 0.1 percent and Hong Kong’s Hang Seng dropped 0.5 percent. Japan’s Nikkei was up 1 percent, touching its highest level since early January. “If you want to hedge or profit from a ‘make America normal again’ trade, the best way is through the Japanese equity market, and specifically the banks,” wrote Chris Weston, chief market strategist at IG in Melbourne. Shares of Japan’s banks, along with some of their global peers, have climbed following Trump’s win, buoyed by the rise in yields and prospects of improved business opportunities under the next U.S. administration. (rtr)
Minister Sri Mulyani to set up reform team for taxation directorate general
JAKARTA - Finance Minister Sri Mulyani has said she will set up and announce a reform team for the taxation directorate general. The reform team is intended not only to deal with corruption but it would concern five strategic aspects, the minister said here on Tuesday. The first concerns human resources and product strategy that is to create more effective, competent and professional methods of fighting corruption, she said. “The second concerns information system and data base that will help us identify the obligation of tax payers more objectively and to reduce the need for inter action between tax officers and tax payers that could lead to illegal transactions such as the one just caught red handed by the Corruption Eradication Commission (KPK),” Sri Muliyani said. The minister referred to a middle ranking official at the taxation directorate caught red handed by KPN on Monday night accepting bribe from a businessman. The third is about the need to
Friday, November 25, 2016
improve business and internal process of the taxation directorate general. The fourth concerns the need to improve institutional structure including organizational structure of the taxation directorate general and its regional offices. “The vulnerability of special staff is not the same in all levels, thereby, the institutional structure needs to be reviewed,” the minister said. The fifth is the need to revise the draft law or the law regulating tax general stipulation and procedure (KUP), income tax (PPh) law, and value added tax (VAT) law, she said. “Now in the process of discussion with the House of Representatives are law on KUP and income tax law and VAT law. They are in the process for amendment,” she said. She said implementation of five strategies of tax reform constitutes a commitment of the finance ministry in a bid to regain the public confidence in the tax institution. On Monday night, KPK arrested a middle ranking official of the taxation directorate general Handang
Soekarno (HS), who was caught red handed accepting a bribe from a businessman R. Rajamohanan Nair (RRN). RRN, Director of PT EK Prima Ekspor Indonesia (EKP) and three of his staff, were also arrested as well HSs driver and adjutant. RRN handed over the bribe money US$148,500 or around Rp1.9 billion in his house in Springhill Residences in Kemayoran, Jakarta to Handang at 20.00 local time. KPK grabbed HS, his driver and adjutant when they were about to leave that place. The KPK officers then enter the house and arrested RRN. The two staff of RRN were picked up from their respective houses in Pamulang, South Tangerang and Pulomas, East Jakarta. KPK chairman Agus Raharjo said the money received by HS was believed to be related to a number of tax problems faced by PT EKP including its tax obligation of Rp78 billion. After investigations 24 hours following the arrest, KPK named HS and RRN as suspects. (ant)
JAKARTA - Facebook CEO Mark Elliot Zuckerberg has offered Indonesia a solution to increase Internet network in remote areas using unmanned aircraft (drone) designed by Facebook to boost the growth of small and medium industries (SMI). The offer was made by Zuckerberg to Indonesian Industry Minister Airlangga Hartanto after attending APEC Business Advisory Council in Lima, Peru. “Indonesia must adapt to the rapid development of technology to keep up by creating sustainable innovation and creativity,” Airlangga said in a written statement received here. Earlier, Airlangga said, Vice President M Jusuf Kalla had a dialogue with Zuckerberg after attending the APEC Business Advisory Council in Lima, Peru, on Saturday (Nov 19) and discussed the Internet connectivity in Indonesia. Airlangga said the connectivity program developed by Facebook can combine economic development in general. The program fits the APECs theme which emphasizes the equality of economic growth. On several occasions, Airlangga said that the current worldwide industrial world is being transformed to welcome the fourth industrial revolution or known as Industry 4.0. “This industry era emphasizes a collaborative manufacturing process with digital world, especially with the Internet of Things platform,” he noted. Airlangga believes, the Industry 4.0 aims to find measures that are more efficient and optimize production processes in order to achieve maximum outputs. “Therefore, the Ministry of Industry is reviewing some of industries that can be developed as an industry pioneer for the development of Industry 4.0 in Indonesia,” he said. Airlangga added that currently, there are many types of internetbased products that can be encountered daily, such as social media, banking, buying and selling and many more applications. (ant)
IBP/ant/Facebook
CEO of Facebook Mark Zuckerberg published his visits for sunrise time at Borobudur temple, Magelang, Central Java, Indonesia, October 14, 2014.
UNHCR names Indonesian philanthropist as eminent advocate for refugees
JAKARTA - The United Nations refugee agency (UNHCR) has named Dato Sri Tahir, an Indonesian conglomerate and philanthropist, as the first eminent advocate for refugees from East Asian region. “I am very pleased to welcome Tahir as part of the UNCHR family and as an eminent advocate for refugees,” Thomas Vargas, UNH-
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Zuckerberg offers Indonesia Internet connection in remote areas
Minister Sri Mulyani
Philippines president says opening economy to new players, tells oligarchs “I owe you nothing”
MANILA - Philippines President Rodrigo Duterte vowed on Wednesday to open up the economy to new corporations to halt graft and protectionism, telling the country’s oligarchs he owed them no favours and to be content with their billions. The outspoken, populist leader said it was high time to change regulations and liberalise sectors like energy, power and telecoms to make the country more competitive, and give Filipinos better services and a share of the wealth. Duterte, who was swept to office in May by a huge margin on a platform tilted towards the poor, said he had consciously shut powerful tycoons out of his election campaign and where his reform plan was concerned they would have to like it or lump it. “The only way for deliverance of this country is to remove it from the clutches of the few people who hold the power and money,” he told a news conference. “I do not owe you anything, that’s precisely why I was avoiding you during the last election. I am not trying to destroy you. You have the advantage, you’re here already,
International
CRs representative in Indonesia, said at the UNHCR office here on Wednesday. Tahir is appointed as the worlds third eminent advocate for UNCHR after Hamdi Ulukaya of the United States and Sheikha Jawaher Al Qassimi of United Arab Emirates. Vargas noted that the appointment of Tahir was in recogni-
tion of his valuable and selfless work on behalf of millions of refugees. One of the main duties as the eminent advocate for refugees, Tahir would work closely with UNHCR in gaining support from the private sector to contribute as a donor source for the agency. “To give is to gain. It is my belief, as it is in all religions, that we
do not own our wealth but we only manage it, and it is up to us to be good managers,” Tahir said. Tahir donated US $1 million, through his Tahir Foundation, during his visit to refugee camps in Jordan, which hosts more than 650 thousand Syrian refugees. In addition, Tahir also pledged a donation of $14 million to support educational programs for refugee
children around the world. “Although we just have smaller funds, I want to use it on a concrete and direct program, which is school building,” he said. Tahir added that when he met the Syrian refugees in Jordan and talked to them, he found that most of them accepted their fate to be never able to return to their home country. (ant)