Issuu on Google+

The President Post T H E

S P I R I T

O F

IDR 20,000

I N D O N E S I A

May 2012 /// N0. 35

www.thepresidentpost.com

www.presidensby.info/Abror

President Susilo Bambang Yudhoyono and First Lady Ani Yudhoyono also joined the Interhash and walked 4.2 kilometers, which started and finished at Tuksongo square, Tuksongo village. The President was accompanied by Governor Bibit Waluyo, Tourism and Creative Economy Minister Mari Elka Pangestu, Sports and Youth Minister Andi Malaranggeng, Minister/State Secretary Sudi Silalahi, Home Affairs Minister Gamawan Fauzi, Coordinating Minister for People`s Welfare Agung Laksono, and Energy and Mineral Resources Minister Jero Wacik.

Borobudur Interhash 2012: The World First Heritage Interhash Interhash 2012 was opened by Tourism and Creative Economic Minister Mari Elka Pangestu, who also proclaimed the launch of the tourism program Visit Central Java 2013. By Jennifer Filly Sumayku

T

he magnificent Borobudur and Prambanan Temples and its surrounding areas in Central Java and Yogyakarta served as beautiful backdrops as thousands of ‘Hashers’ participated in the Borobudur International Hash House Harriers 0012, also called the Borobudur InterHash 2012, which took place on 24-27 May 2012. Interhash is held bi-annually, and is considered as the biggest

OPINION

The Development of Creative Industries in Indonesia

Indonesia is now on track with the developments in the world as it has made its decision to create the Creative Economy. PAGE A2

periodic international Hash House Harriers event, where Hashers from different groups around the world get together to run and join in exciting activities. Borobudur InterHash 2012 was opened at the Prambanan Temple and officially closed at the Borobudur Temple. As the Borobudur Temple is the world’s biggest Buddhist monument, and the Prambanan Temple the world's tallest Hindu temple, Interhash 2012 is proud to dub itself “the World’s First Heritage Interhash”. This year is the third time the Interhash event was held in Indo-

LAWS & REGULATION

Foreign Ownership Law an Obstacle to Developing Tanjung Lesung Special Economic Zone The government has issued Government Decree No. 39/2009 and Law No. 10/2009 on tourism declaring the Tanjung Lesung tourism area as a special economic zone (KEK). PAGE A5

nesia. In 1982, Interhash was held in Jakarta, then in Bali in 1988. Having chosen Central Java as its location, this year the event involved river crossings, riverside walks, mountain hiking, and other thrilling tracks. The participants also got the chance to visit traditional villages, farming areas, as well as small industries around the Borobudur Temple. Interhash 2012 had designated 17 routes, 15 in the regency of Magelang and 2 within the city of Yogyakarta. The starting points of the 15 routes in Magelang include Kaponan, Kintelan, Pakis, Banyutoro, Kete, Wonolelo, Magelang City, Tuksongo, Kembang Limus, Lapang Tembak Plempungan, Banyak Angkrem, Krasak (Salaman), Tempuran Super Long (Pegunungan Menoreh), and Magelang Old Fast Run. The routes

INTERNATIONAL

Indonesia And North Korea Strengthen Bilateral Relations

in Yogyakarta included the Vulcanology Museum and the Watchtower of Sleman. The routes are classified into short routes (4-6 kilometers), medium (6-8 kilometers), long (8-12 meters), super long (12-30 kilometers) and the VIP route of 4.25 kilometers. Interhash 2012 was opened by Tourism and Creative Economic Minister Mari Elka Pangestu, who also proclaimed the launch of the tourism program Visit Central Java 2013. Minister Pangestu said that InterHash 2012 was expected to promote Central Java as a tourist destination. “The event hopefully can help promote tourism in Central Java in particular and Indonesia in general. We are highlighting several tourist attractions such as the Prambanan and Borobudur

BUSINESS

Dangdut Music to Go International

The two leaders resolved to raise political relations between the two countries and agreed to enhance economic and trade cooperation links between the two countries.

Soon, Indonesians will not be the only ones shaking their bodies and swinging their hips to dangdut music, but so will people in America and other countries.

PAGE A10

PAGE B2

temples and surrounding areas, in addition to Bali,” she said. Some 4,500 hashers from 50 countries took part in the activity. President Susilo Bambang Yudhoyono and First Lady Ani Yudhoyono also joined the Interhash and walked 4.2 kilometers, which started and finished at Tuksongo square, Tuksongo village. The President was accompanied by Governor Bibit Waluyo, Tourism and Creative Economy Minister Mari Elka Pangestu, Sports and Youth Minister Andi Malaranggeng, Minister/State Secretary Sudi Silalahi, Home Affairs Minister Gamawan Fauzi, Coordinating Minister for People`s Welfare Agung Laksono, and Energy and Mineral Resources Minister Jero Wacik. The group started walking at 8 a.m. local time and covered a route that included rice fields and kampongs through the rural area of Borobudur Temple. “This has a positive impact on Indonesian tourism. Hashers from dozens of countries relished the panorama of rice fields, villages and rural life,” said Jero Wacik. Meanhile, Andi Mallarangeng said the event could promoe tourism and sports in Indonesia. "It's a great event to evoke sports and tourism in Indonesia," said Andi. Recognized as a mixture of athleticism and sociability, hashing is an exhilaratingly fun combination of running, orienteer-

ing, and partying, where bands of runners, called harriers and harriettes, chase hares on eightto-ten kilometer or longer trails through towns and open fields, all in search of exercise, camaraderie and good time. Interhash 2012 is proudly supported by the Indonesian Hash Clubs and the government. Indonesian Hash Clubs are located in 13 provinces in Indonesia and on September the club will hold another event, named Pan Indo Hash in Manado, North Sulawesi. Up to now, more than 2,000 participants from ASEAN countries have already registered to participate. Pan Indo Hash Manado 2012 will also provide tour programs for participants to enjoy the sights and scenery of Manado’s beautiful seas. Hashing began in Kuala Lumpur, Malaysia, in 1938, when a group of British colonial officials and expatriates founded a running club called the Hash House Harriers. They named the group after their meeting place, the Selangor Club, nicknamed the "Hash House." Hash House Harrier runs were patterned after the traditional British paper chase. A "hare" was given a head start to blaze a trail, marking his devious route with shreds of paper, all the while pursued by a shouting pack of "harriers." Only the hare knew where he was going while the harriers followed its clues to stay on its trail. The excitement of chasing the hare and solving the clues, reaching the end was its own reward.

Recognized as a mixture of athleticism and sociability, hashing is an exhilaratingly fun combination of running, orienteering, and partying, where bands of runners, called harriers and harriettes, chase hares on eight-to-ten kilometer or longer trails through towns and open fields, all in search of exercise, camaraderie and good time. In addition to Interhash, there are also many regional and continental hash events, such as the InterAmericas, InterAfrica, InterGulf, InterScandi, EuroHash and PanAsia. National hash events, or Nash Hashes, primarily bring together hashers from one particular nation, although visitors from other countries are actively welcomed.


The President Post

A2 May 2012

www.thepresidentpost.com

Opinion The Development of Creative Industries in Indonesia www.matanews.com

Indonesia is now on track with the developments in the world as it has made its decision to create the Creative Economy.

question is: can Indonesia become the next in line? Looking at the progress made recently it seems that there are no international rules on the definition of creative industries. Each country has its own way of defining those industries. There are also some countries keeping the term cultural industries which include such sectors as audio-visual, artistic endeavors, cinematographic activities etc.

By Atmono Suryo

I

Background

n this era of globalization one gets the impression that there is the constant need to make policy adjustments affecting development policies, economic systems or business procedures. For developing countries such as Indonesia, these adjustments need time for their implementation. Internally, there are often opposition forces which are stumbling blocks, often for political reasons. It is not fully recognized by developing countries that knowledge and creativity can become powerful engines of growth, in addition to the traditional elements for growth such as capital, machinery or infrastructure. It is only now that the developing world realizes that advanced industrial economies have been making use of the two elements of growth: knowledge and creativity. These two components have enriched their wealth and improve their competitiveness. These countries include Germany, the United States, Italy and even smaller countries such as the Netherlands and the Scandinavian countries, including Finland.

Creative industries

Based on their knowledge, creativity and technology, advanced countries have established their creative industries by producing not only creative goods and products but also creative services. According to a report by UNCTAD (United Nations Conference of Trade and Development) some eigth years ago in 2004, creative industries account for more than 7% of the World GDP, and grew to an average of 10% a year. Presumably these figures must have grown since then. The world economic crisis of

INDONESIA

2008 has also brought new unexpected developments. World trade has declined by some 12% affecting manufactured goods from the traditional manufacturing and industrial sectors in the global economy. Unknown to the world, goods from creative industries withstood the blows and continued to be an important segment of trade. This constitutes a new element in the current trade structure. It must be studied further to look into the future prospects of these rather new sectors of “creative goods”. Among the developed countries some countries are rated among the large producers of goods and services produced by their creative industries. Germany with $70.5 billion, U.S. $48.5 billion,

the Netherlands $41.5 billion and Italy $34.1 billion. Of importance to note is that China is now the largest country with $87.4 billion. We must study how they have been able to make such remarkable achievements.

Data from the Ministry of Trade indicates that fashion takes up 43% of the sub-sector contribution, followed by the handicrafts sector (25%). There are a number of sectors which are coming up such as advertising (7%), design (5%), publishing (4%) and music (3%). Most of them are still at the beginning stage.

DEVELOPING COUNTRIES

In general terms, the developing countries are still holding the position as marginal players. It is good to know that East Asia is the main source of creative industries such as Korea, Taiwan, Singapore and Hong Kong (China). International sources, including UNCTAD, are of the opinion that developing and transition countries have great potential in the area of creative industries. They have their rich cultural heritage and a large pool of talents.

The President Post

Indonesia is now on track with the developments in the world as it has made its decision to create the Creative Economy. Indonesia has for decades or even thousands of years its rich, creative culture and history. In addition Indonesia has its manifold regions and islands (big and small) with its great variety of resources, including in the area of tourism and the craft sectors. Minister of Tourism and Creative Economy Mari Pangestu has stated Indonesia’s creative economy includes fashion, music, theatre, industrial design etc. These activities already accounts for about 7% of Indonesia’s economy. The minister would like to boost that share to over 11% of GDP in the coming decade. Among the 10 members of ASEAN only three has already an integrated program to develop the creative industry, namely Thailand, Singapore and Malaysia.

Minister of Tourism and Creative Economy Mari Pangestu has stated Indonesia’s creative economy includes fashion, music, theatre, industrial design etc. These activities already accounts for about 7% of Indonesia’s economy. The minister would like to boost that share to over 11% of GDP in the coming decade.

The sources of creativity can open up new opportunities for developing countries to increase their share of world trade and to “leapfrog” into new areas of wealth creation. Such assessments are most encouraging for developing countries such as Indonesia. China, as one of the emerging countries, has demonstrated that it can be the biggest producer of creative goods and services, surpassing such countries as the USA and Germany. It has now become a big player in such areas as software, publishing, design, music, video, movie making and electronic games. India, Thailand and the Philippines have also come up. In Africa Nigeria has become a big producer of films following the example of India. The interesting

Data from the Ministry of Trade indicates that fashion takes up 43% of the sub-sector contribution, followed by the handicrafts sector (25%). There are a number of sectors which are coming up such as advertising (7%), design (5%), publishing (4%) and music (3%). Most of them are still at the beginning stage. Although it is still too early to make assessments on the prospects of the Creative economy and Creative Industries I am inclined (rightly or wrongly) to make some early remarks as follows: • The development of the creative economy and their creative industries will have their profound implications. It is the right policy of Indonesia to consider the creative industries as

The President Post

SAVE

6 Issues

Rp. 120,000

-

12 Issues

Rp. 216,000

10%

18 Issues

Rp. 306,000

15%

24 Issues

Rp. 384,000

20%

OFFICE Menara Batavia 25th Fl. Jl. K.H. Mas Mansyur Kav. 126 Jakarta 10220, Indonesia Phone : (021) 572 7337 Fax : (021) 572 7338 Email : ceo@thepresidentpost.com Web : www.thepresidentpost.com

The successful development of the creative economy in Indonesia can help the country to “leapfrog” into new areas of wealth creation as suggested by the United Nations. The writer is former ambassdor to the EU

PERSONAL INFORMATION Name

Mr

Mrs

Ms

Renew Address

Home

Office Postal Code

Date of Birth Position

Phone

Jabodetabek

The President Post

Menara Batavia 25th Floor Jl. K.H. Mas Mansyur Kav. 126 Jakarta 10220, Indonesia Phone: +62 21 572 7337 Fax.: +62 21 572 7338 Email: circulation@thepresidentpost.com

Company

YES! I WOULD LIKE TO SUBSCRIBE

The President Post - Circulation Departments

THE SPIRIT OF INDONESIA

SUBSCRIBE NOW

agents of developments. To undertake economic activities. Based on the creativity and skills of individuals, groups, or business entities to produce goods and services of economic or commercial value. Creative industries are expected to take advantage of the country’s rich culture; Indonesia is blessed with an enormous diversity of culture; they should now be transformed into areas of “wealth creation” (wealth creation is now a key word). The country’s human resources, especially the enormous middle income group, can become an important source for the development of creative industries; these industries need to be developed in a big way for “job creation”. As is being done by the countries which have developed their creative industries these entities are producing goods to increase exports; to have its “trade creation” implications. Indonesia’s policy to have the close link between the creative economy and tourism will have their mutually enforcing effects; tourism will have its positive impacts on the development of creative industries and the other way around. The creation of creative industries in the outer regions will be of considerable boost to accelerate the economic development of the many islands, which urgently to be developed as soon as possible. Recent trends indicate that trade in creative products is a boost in the development of trade among developing countries (South-South Trade). If competitive, Indonesian creative products can also have their increasing effects on South-South trade, including in ASEAN, East Asia and the Asia-Pacific region and also in other regions of the Developing World.

Mobile Email

CEO & EDITOR IN CHIEF Rachmat Wirasena Suryo CONTRIBUTORS Atmono Suryo Cyrillus Harinowo Hadiwerdoyo Thomas W. Shreve Jeannifer Filly Sumayku Eka Putri REPORTER Rians Riuco

PLEASE FAX THIS FORM AND PAYMENT RECEIPT TO +62 21 572 7338 FOR MORE INFO PLEASE CALL +62 21 572 7337

What other business newspaper do you read?

PAYMENT METHODS Please start my subscription from

PUBLISHED BY PT Sarana Pratama Pengembangan Kota ADVISOR Ali Basyah Suryo

Fax

EDITORIAL & CIRCULATION DEPARTMENT Srimay Noviani LAYOUT & DESIGN Mohamad Akmal PHOTOGRAPHER Heros Barasakti HEAD OF SALES & MARKETING Detia H. Rais WEB DEPARTMENT Reza Ganesha Partakusuma

Please transfer to: Bank OCBC NISP Capitol Cikarang Branch 101.010.00016.5 Account Name PT. Sarana Pratama Pengembangan Kota


The President Post

www.thepresidentpost.com

May 2012 A3

Economic Overview Indonesia: Current Developments, Long-Term Projections Indonesia’s primary concern is now shifting, from its concern on the deteriorating outlook of the global economy and financial markets to the recent sharp rise in global oil prices.

ECONOMIC INDICATORS 2012 GDP growth projected at 6.1 percent

The Top 10 Largest Economies in the World (in trillion 2010 PPP USD) Annual

2011

Rank

2012

2013

Main Economic Indicators By Atmono Suryo

A

CURRENT DEVELOPMENTS

s we are presently in the first half of 2011 it is with concern to observe that the world economic crisis is still in the air. It is a recession which started some four years ago, in 2008/09, but which is still having its adverse impact on the economies of the world. It is taking much longer than predicted before. It also affects the economies of the developed and the developing countries alike, including East Asian economies, an important part of the global economy which is on the rise, a region which is projected to become the epicenter of the global economy in this 21st century. As for Indonesia, the World Bank Quarterly of April 2012 rightly states that these international developments continue to affect and shape Indonesia’s economic outlook but with one important difference. Indonesia’s primary concern is now shifting, from its concern

on the deteriorating outlook of the global economy and financial markets to the recent sharp rise in global oil prices. With the global recession still in the air and with the current developments in the oil markets, Indonesia is now caught in a risky international environment. On top of it the country is caught in a complex internal social-economic situation because of the oil subsidy, budget allocation etc. It adds to the numerous problems Indonesia is already facing. With the economic progress made during the past decades Indonesia can say that the country’s economic fundamentals are strong. But with the longstanding and unresolved oil problem the question is whether there will be a change in the country’s economic fundamentals.

ECONOMIC INDICATORS

Despite the complex developments taking place, internationally as well as internally, it is quite amazing to see the positive developments taking place with Indonesia’s GDP. According to World Bank data, Indonesia’s GDP increased from

Total Consumption Expenditure

4.5

4.9

5.0

Private Consumption Expenditure

4.7

4.6

4.8

Government Consumption

3.2

6.8

6.0

Gross fixed capital formation

8.8

Exports of goods and services

13.6

Inports of goods and services

13.3

Gross Domestic Product

6.5

9.8

10.0

7.4

9.5

9.2

9.5

6.1

6.4

Agriculture

3.0

3.4

3.4

Industry

5.3

4.9

5.3

Services

8.5

8.0

8.2

11.9

7.9

12.6

Country

1

US

2

2010

Current account balance (USD bn)

2.1

-4.1

-1.7

Trade balance (USD bn)

23.5

15.4

18.7

Financial account balance (USD bn)

14.0

11.9

14.3

Economic assumptions Exchange rate (IDR/USD)

8773

9000

9000

Indonesian crude price (USD/bl)

111.6

120.0

115.0

3.1

3.3

3.9

Major trading partner growth Source: World Bank

6.1% in 2010 to 6.5% in 2011. It is expected, however, that there will be a decline of growth in 2012 to 6.1% but will increase again to 6.4% in 2013. This strong real growth, com-

bined with GDP deflator growth of 8.4% and the strength of the Rupiah, allowed the GDP per capita to go up from $3,010 in 2010 to $3,540 per capita. There are a number of ma-

Country

2030

14.12

1

China

38.49

China

9.98

2

US

24.62

3

Japan

4.33

3

India

23.27

4

India

3.92

4

Japan

5.55

5

Germany

2.91

5

Brazil

5.28

6

Russia

2.20

6

Russia

4.82

7

Brazil

2.16

7

Indonesia

4.28

8

UK

2.16

8

Germany

4.05

9

France

2.12

9

UK

3.67

Italy

1.75

10

Mexico

3.20

10

No one can guarantee that in the time span of about 18 years from now these projections will come true. It only should give some ideas that the emerging countries, including Indonesia, may have a chance to become one of the ten largest economies in the world. For the year 2030 six emerging countries are expected to be in the Top Ten group, namely the BRIC countries Brazil – Russia – India and China with the addition of Indonesia and Mexico. Indonesia is presently recorded as the 16th largest country in the global economy and expected to be at 7th place.

Note: GDP measured in 2009 PPP USD Source: Citi Investment Research and Analysis

External Indicators Balance of payments (USD bn)

Rank

a study called “Power shifts, Emerging countries and the New World” projecting Indonesia as among the Top Ten largest Economies in 2030.

It is most obvious that consumers’ spending has been quite extraordinary lately, particularly in the area of mobile phones, motor cycles, motor vehicles and clothing. This reflects the enormous growth of the middle-income group coupled with their rise in purchasing power.

Indonesia is presently recorded as the 16th largest country in the global economy and expected to be at 7th place.

Indonesia, however, is most seriously hampered by its own internal factors to make further progress, in particular to achieve the Top Ten position. These internal factors are already known to the public; they are being discussed in every corner of the country and in great details. But for various reasons not much progress has been made so far.

LONGER-TERM GROWTHS

jor drivers of growth. They are In particular investment and consumers spending, combined with manufacturing, which is recently showing the strongest growth since 2004.

Various studies and longer-term projections have been made by international financial institutions concerning Indonesia’s longer term developments. Most of these studies are quite positive. It may be of interest to know that Citibank recently made

The writer is former ambassador to the EU

Your requirement for electricity at

Cikarang Industrial Zone

is Guaranteed Electricity supplied by :

PT. PLN Persero

PT. Cikarang Listrindo

PT. Bekasi Power

7 Industrial Estates (ZONI) in Cikarang-Bekasi :

Kawasan Industri Jababeka

Kawasan Industri EJIP

Lippo Cikarang Industrial Park

Bekasi Fadjar

KOTA JABABEKA home of PRESIDENT UNIVERSITY

MM2100 Industrial Town

Delta Mas

Hyundai

www.jababeka.com


The President Post

A4 May 2012

www.thepresidentpost.com

Laws & Regulations Foreign Ownership Law an Obstacle to Developing Tanjung Lesung Special Economic Zone The government has issued Government Decree No. 39/2009 and Law No. 10/2009 on tourism declaring the Tanjung Lesung tourism area as a special economic zone (KEK).

P

resident Susilo Bambang Yudhoyono signed the decree in February 2012. With the issuance of the decree, it is expected that the Tanjung Lesung Tourism KEK can start operation in three years. Tjahjadi Rahardja, the director of Banten West Java that operates the area, said the KEK status will boost the economy of the area as well as its surroundings. The development process is shared by two authorities. The local administration controls the external area and investors control the internal area. The Tanjung Lesung special economic zone sits on 1,500 hectares of land in Panimbang subdistrict, Pandeglang district, in Banten province. The area will adopt the waterfront city concept which will be integrated with a worldclass hospital, a star-rated hotel, villas and a shopping center. Saprudin, an official at Banten West Java’s permit division said the company’s biggest challenge is to bring in foreign investors. “But our government is still not transparent with foreign investors who want to purchase land with foreign ownership status. This makes it complicated and creates uncertainties,” he said.

The Public Housing Ministry, Home Affairs Ministry, National Land Agency and Finance Ministry are drafting a regulation to enable foreigners to purchase houses with up to 90 years of right to use. However, the regulation only covers the right to lease houses in three KEKs, namely in Batam, Bintan, and Karimun. It’s still not clear about Tanjung Lesung KEK yet. Saprudin added, “Right now, what foreign investors need is legal certainty; if this is not addressed properly, it will become an obstacle to all KEKs, which were supposed to improve the economy and attract foreign investors.” The development of KEK is part of Indonesia’s economic zone development. Since 1970, Indonesia has successfully developed free trade zones and free ports, followed by the development of bonded warehouses in 1972, industrial zones in 1989, integrated economic development zones (KAPET) in 1996 and a special economic zone in 2009. KEK is an area with certain privileges which is aimed to boost the economy. It is basically set up to create a conducive environment to support various economic activities such as investments, exports, and trade to in order to speed up economic reforms.

The Tanjung Lesung special economic zone sits on 1,500 hectares of land in Panimbang subdistrict, Pandeglang district, in Banten province. The area will adopt the waterfront city concept which will be integrated with a world-class hospital, a star-rated hotel, villas and a shopping center.

Merak Cilegon

Bandara Soekarno-Hatta

Serang

KEK, which will eventually reduce state income.

Right now, what foreign investors need is legal certainty; if this is not addressed properly, it will become an obstacle to all KEKs, which were supposed to improve the economy and attract foreign investors.” A KEK status will benefit a region economically both in the national and regional levels. However, the status also has a downside effect. It will reduce the country’s tax revenue due to the fiscal incentive that the region is enjoying and poses a great threat to industrial zones as companies in those areas will be tempted to move to

Rencana Jalan Tol TANJUNG LESUNG

Tangerang

Jakarta

Pandeglang Labuan

The main difference between KEK and other economic regions aside from the facilities it’s enjoying is the regional government’s heavy involvement in its operations and infrastructure and land procurement. This is because a joint cooperation between the government and private sector is necessary due to the huge investment needed to develop the KEK. Studies in several countries showed that KEKs which are fully operated by the private sector grow much faster compared to those operated by the government. A region can apply for a KEK status under certain conditions: it meets the regional spatial planning and it will not disrupt conserved areas, is situated near international trade/shipping lane, it has a clear border, and the provincial/district/city administra-

Bogor Ujung Kulon

PULAU JAWA tions support the KEK plan. There is no regulation stipulating the minimum space area because it is intended to open an opportunity for the development of information technology-based economic region development such as technopark, IT Center, and others. The challenge in developing KEK is stipulated under RPJMN 2010-2014, which sets to establish five KEK locations by 2014. So far, 65 locations from 27 provinces have proposed for the KEK status. This year, the government has granted the status to Tanjung Lesung and Sei Mangkei as they are considered most ready compared

to others. The Sei Mangkei area in North Sumatra has attracted Unilever and PTPN as investors. The investment needed by Sei Mangkai reaches Rp5.7 trillion while Banten needs Rp3.8 trillion. The government will help in developing the infrastructure and with the feasibility study for regions that have the potential to become special economic regions. But to do that, full support is needed from local administrations.

Wider road access is needed to support the Tanjung Lesung KEK, and the road from and to the area that needs to be widened by the government is Serang-Pandeglang-Labuan. The Banten administration has also drafted development plan for transportation to the Tanjung Lesung KEK. The infrastructure development included the Serang-Labuan toll road and Bansel airport.


The President Post

A6 May 2012

www.thepresidentpost.com

Business Public Companies Post Huge Net Profits

ECONOMIC UPDATES Indofarma to Issue Bonds Worth Rp600 b Publicly-listed pharmaceutical company PT Indofarma Tbk (INAF) plans to issue rupiah-denominated bonds of Rp600 billion this year to repay debts and strengthen working capital. "We are thinking of issuing bonds worth Rp600 billion. The first phase of the bonds will likely be issued in the third quarter of this year," Indofarma Finance Director John Sebayang said here on Wednesday. The five-year bonds issued in the first phase would be valued at Rp300 billion, of which Rp175 billion would be used to repay debts to state-owed Bank Mandiri, Rp100 billion to increase investment and Rp25 billion to strengthen working capital, he said. He also said the company was looking into the possibility of establishing a pharmaceutical plant in Kazakhstan as part of efforts to increases sales in East Europe, he said. "We held initial talks with the Kazakhstan president when he visited Indonesia some time ago. On May 22 we will pay a reciprocal visit to Kazakhstan to look at first-hand potentials," he said. Indofarma Research and Marketing Director Elfiano Eizaldi said the potential market for pharmaceutical products in Kazakhstan was still unpredictable. "If we build a plant there, the products will not be sold in Kazakhstan only but also in former Soviet republics. So we have not made up our mind about investment, sale potential, and so forth. These all are still in the initial stage," he said.

Three State Firms to Invest $30 m in Solar Cells: Official

Publicly-listed clove-blended cigarette maker PT Hanjaya Mandala Sampoerna posted a net profit of Rp8.06 trillion last year, up 25.6% from a year earlier.

S

ales in 2011 increased 19% to Rp31.96 trillion from the year, leading to a rise in net profit, PT HM Sampoerna Tbk President Director John Gledhill said after a general meeting of shareholders here on Friday. "Sampoerna`s sale volume increased 16.4% from 78.8 billion pieces in 2010 to 91.7 billion pieces in 2011," he said.

The sales growth was higher than those of other cigarette makers in the country, which according to AC Nielsen data grew around 8.9% last year. The general meeting of shareholders also agreed to distribute Rp7.67 trillion of net profit as dividends, or Rp1,750 per share, including interim dividends of Rp876.6 billion paid to sharehold-

www.pelitaonline.com

Three state firms will cooperate in producing solar cells at a total cost of $30 million, an official said. "In the first phase, the solar cells which will be produced in the first semester of 2012 may have a capacity of 30 megawatts," the deputy for infrastructures and logistics to the state enterprises minister, Sumaryanto Widayatin, said here Thursday. The three state firms are electricity company PT PLN, construction company PT Wijaya Karya Tbk, and highway operator PT Jasa Marga Tbk. Sumaryanto said the cooperation is part of synergy to deal with rising demand for electrical power. "In the first phase, Jasa Marga will serve as off taker (direct user) of the solar cell production," he said. In addition, the solar cells will also help PLN meet electrical power needs in remote areas, outlying islands and hinterlands, he said. The study on the development of solar cells has reached the final stage, he said adding the three state firms will soon set up a kind of subsidiary to carry out the project. He said Indonesia has large potentials to develop solar cells. "We have quartz sand deposits of up to 75 billion tons as raw material to make solar cell crystal or silicon," he said.

Gita Wirjawan, the Capital Investment Coordinating Board (BKPM) chief.

ers on December 23 last year. "So the amount of dividends in the book year 2011 we still have to pay is Rp6.79 trillion or Rp1,550 per share," the company`s finance director, Mark Ingo Niehaus said.

BCA posts profit of Rp2.3 t in Q1

Publicly-listed private lender Bank Central Asia Tbk (BCA) posted a profit of Rp2.3 trillion in the first quarter of 2012, up by 14.3% from the same period last year. "Net interest income grew by 16.1% to Rp4.5 trillion, fueled by credit portfolio growth," BCA President Director Jahja Setiaatmadja

said at a press conference on the bank`s performance in the first quarter of 2012 here Thursday. The overall credit portfolios in the year ended March 31, 2012 grew by 39.2% year-on-year to Rp209.2 trillion, he said. According to BCA data, corporate credits grew by 43.4% to Rp74.8 trillion year-on-year, fueled by high demand from the financial, cigarette and tobacco, and vegetable and animal oil sectors. Commercial and small and medium business credits also rose by 36.3% year-on-year to Rp81.1 trillion, he said.

"Consumer credits grew by 37.8% year-on-year to Rp53.3 trillion, with home loans growing by 56.7% to Rp30.6 trillion. Motor vehicle credits rose by 24.8% to Rp17.9 trillion," according to the data. At the end of March 2012, the bank recorded non-performing loan (NPL) ratio at a low level of 0.6%, with the ratio of reserves to NPLs reaching 308.2%. Meanwhile, the amount of third party funds in the first quarter of 2012 reached Rp335.2 trillion, a 21.5% increase compared to the same period last year.

Q1 Investment Reaches Rp71.2 t Domestic and foreign investments in Indonesia in the first quarter of 2012 totalled Rp71.2 trillion, according to Gita Wirjawan, the Capital Investment Coordinating Board (BKPM) chief. He said here on Monday that the figure showed an increase of 32.8%, compared with Rp53.6 trillion for the same period in the previous year. "The increase in investment was generated by the increasingly equitable distribution of investment throughout the country. The growth of investment is in line with the various policies issued by the government," Gita added.

The total investment in the first quarter of 2012 comprised Rp51.5 trillion of foreign investment (PMA), which increased by 30.3% from Rp39.5 trillion in the previous year, and Rp19.7 trillion of domestic investment (PMDN), which rose by 39.7% from Rp14.1 trillion a year earlier. "The rise in foreign investment in the first quarter of 2012 is the highest [quarterly rise] in the country`s foreign investment history," he noted. The five largest sectors receiving domestic capital investment were mining (worth Rp5.8 tril-

lion), basic chemical, chemical goods, and pharmaceutical industries (Rp2.3 trillion), food crops and plantation (Rp2.3 trillion), paper and printing industries (Rp1.6 trillion), transportation, warehousing, and telecommunications (Rp1.4 trillion). The five main sectors that attracted foreign investment were mining ($1.1 billion), transportation, warehousing, and communications ($0.8 billion), food crops and plantation ($0.5 billion), basic metal industry ($0.5 billion), and other transportation industries ($0.4 billion).


The President Post

www.thepresidentpost.com

May 2012 A7

Business www.okezone.com

Indocement Books Record High Domestic Sales Cement maker PT Indocement Tunggal Prakarsa Tbk. has recorded the biggest sales in history of 15.4 million tons in 2011. "Sales have grown 19.9% higher than the sales in 2010 which were recorded at 12.8 million tons," company`s corporate secretary Sahat Panggabean said to The President Post here on Tuesday evening.

Indosat plans to allocate $700 million (Rp6.6 trillion) for capital expenditures this year. From left to right: Hans C. Morits (Director), Stefan Carlsson (Director), Harry Sasongko (President Director), Erik Meijer (Director), and Fadzri Sentosa (Director) at general meeting of Indosat shareholders and public expose here Monday.

CEO: Indosat's Cellular Subscribers Reach 52 million Indosat held a 21.7% share of the domestic cellular market after Telkomsel.

A

n official of PT Indosat has said that the number of its cellular subscribers in the first quarter of 2012 increased by 14% to 52.1 million from the same period last year. "The increase in the number of Indosat cellular subscribers is attributable to the public`s growing confidence in Indosat products, including income from tower rentals," Indosat President Director

Harry Sasongko said after a general meeting of Indosat shareholders and public expose here Monday. The number of cellular subscribers from March 2011 to March 2012 increased by 6.4 million, he said. With the achievement, Indosat held a 21.7% share of the domestic cellular market after Telkomsel, he added. He said income from cellular services in the first quarter of 2012 rose 3% to Rp4.079 trillion from Rp3.960 trillion in the same period last year. "Cellular services alone contributed 82% or Rp4.079 trillion of the

overall income in the first quarter of 2012 reaching Rp4.977 trillion," he said. Meanwhile, data services reached Rp672.3 billion, a 13.7% increase compared to Rp591 billion in the same period a year earlier, he said. "The income from data services was fueled by an increase in Indosat circuit products," he said. However, income from fixed wireless access (FWA) fell 30.2% to Rp224.9 billion in the first quarter of 2012 from Rp322.4 billion in the same period a year ago, he said. Indosat`s earning before interest, tax, depreciation and amortization (EBITDA) in the year to

Pertamina Raises $2.5b From Global Bond Sales State oil and gas company Pertamina said it has raised $2.5 billion from the sale of 10 and 30 year global bonds. The bonds were oversubscribed more than 3.7 times, Pertamina President Director Karen Agustiawan said in a press statement issued on Thursday night. "This indicates investors` confidence in Pertamina," she said. The 10 year bonds of $1.25 billion due on May 2022 were issued at a coupon of 4.875%, at a price of 99.414 and a yield of 4.95%. The 30 year bonds of $1.25 billion due on May 2042 were issued at a coupon of 6%, at a price of 98.631 and a yield of 6.1%. "The coupon is the lowest among those of all global bonds issued by Indonesian companies in the international money market," she said. She said 47% of the 10 year bonds was bought by Asian investors, 24 percent by European

Karen Agustiawan Pertamina President Director investors and 29% by U.S. investors. In terms of institutions, 62% of the bonds went to investment managers, 15% to the banking industry, 8% to insurance and pension fund institutions, 7% to central banks and state investment managing institutes and 8% to private banks. Meanwhile, 32% of the 30 year bonds was bought by Asian investors, 23% by European investors and 45% by U.S. investors. She said investment managers bought 75% of the 30 year bonds,

the banking industry 7%, insurance and pension fund institutions 10%, central banks and state investment managing institutes 2% and private banks 6%. Pertamina will use proceeds from the issuance of the bonds to finance capital expenditures and operating expenses. The company has appointed Barclays Bank PLC, Citigroup Global Markets Limited, and the Hong Kong and Shanghai Banking Corporation Limited respectively as joint bookrunners" and "joint lead managers". Meanwhile, PT Bahana Securities, PT Danareksa Sekuritas, and PT Mandiri Sekuritas act as co-managers. The bonds have received a BBB- rating from Fitch and Baa3 from Moody`s. The bonds` outlook is stable. Earlier, in May 2011, Pertamina raised US$1.5 billion from the sale of global bonds.

PTBA Exploring Mining in Kalimantan Publicly listed coal firm PT Bukit Asam (PTBA) is exploring a mining site to be acquired in Kalimantan and undertaking a feasibility study for that purpose, its director said. PTBA President Director Milawarma told reporters here on Thursday that his company`s plan to acquire the mining field was now being considered by the management of the company. He said PTBA had enough funds to buy the mining field. He noted that up to December 2011, the company`s internal cash funds amounted to Rp6.7 trillion, and from that, Rp1.4 trillion would be allocated for capital expenditure this year. "During the first quarter of this year, the capital expendi-

PTBA Corporate Secretary Hananto Budi Laksono said the firm posted a net profit of Rp867.35 billion in the first quarter of 2012, compared with Rp760.33 billion in the previous year. The rise in profit was because of a 31% increase in the company`s revenues to Rp3 trillion, from Rp2.32 trillion in the corresponding period a year earlier. PTBA President Director Milawarma ture reached 20%. The remainder of the cash funds is likely to be used for the acquisition," Milawarma said. He explained that PTBA would undertake the acquisition soon if the mining field had the potential to contribute to the company.

The sales volume of PTBA's coal in the first quarter of this year rose by 26% to 3.86 million tons, compared with 3 million tons during the same period last year. "The company's coal production increased 12% to 3.37 million tons in the first quarter of 2012, from 3.1 million tons in the corresponding period of previous year," he added.

March 2012 reached Rp2.337 trillion, up 3.6% from the same period last year, with an EBITDA margin of 47%, he said. Indosat plans to allocate $700 million (Rp6.6 trillion) for capital expenditures this year. To support its cellular and FWA services, Indosat has 19,253 base transceiver stations (BTS) to serve 441 cities (2G), 156 cities (3G/3, 5G) and 162 (FWA) in the country`s 33 provinces.

The company held an annual shareholders` meeting that evening during which the outline of financial performance report for the fiscal year 2011 and the first quarter of 2012 was presented. Sahat said the sales increase was driven by strong domestic demand from the housing sector especially for the middle-class segment which is the main driver of housing sector growth. He said national sales growth was lower recorded at only by 17.7% and so the company`s market share in 2011 had grown higher at 31.5% than 30.9% recorded in 2010. He said the company had also reduced exports by 41.5% to 0.6 million tons in 2011 from 1.0 million tons in 2010 to meet high domestic demand. He admitted the rising cost in almost all aspects of operations especially energy cost from coal and fuel oil in 2011 had had an impact on the company`s performance. However, strong domestic sales, cost efficiency measures and company`s

focus on optimizing purchasing and supply chain in all aspects of operations had given a positive impact to the company`s performance in 2011, thereby enabling the company to maintain its good achievement, he said.

Strong domestic sales, cost efficiency measures and company`s focus on optimizing purchasing and supply chain in all aspects of operations had given a positive impact to the company`s performance in 2011, thereby enabling the company to maintain its good achievement." To balance the rising cost, he said, the company had increased the domestic price in stages by an average of 3% since the second semester. He said supported by high domestic sales and rising domestic price the company`s net income rose by 24.7% to Rp13,887.9 billion from Rp11,137.8 billion in 2010. He added gross profit in absolute numbers rose 15.8% to Rp6,414.2 billion from Rp5,540.8 billion in 2010. The net profit in the current year which could be distributed to the owner also increased by 11.5% to Rp3,596.9 billion from Rp3,224.9 billion in the previous year, he said.

Corporate Communication Department Head Aldo Yuliardy said Indocement which is the producer of "Tiga Roda" cement product now has 12 plants, nine in Citeureup, Bogor, West Java, two in Palimanan, Cirebon, West Java and one in Tarjun, Kotabaru, South Kalimantan. Total installed capacity of the plants is 18.6 million tons a year with total employees by the end of September 2011 at more than 6,200, he said.

Indocement to Pay Dividends of Rp293 per Share

Shareholders of publicly-listed cement maker PT Indocement Tunggal Prakarsa Tbk (INTP) agreed at their annual meeting on Tuesday to pay dividends of Rp1.07 trillion or Rp293 per share this year. The dividends represented 30% of the company`s net profit of Rp3.59 trillion in 2011, Nelson Borch, the company`s director said. "The dividends would be paid starting on July 5, 2012," he said. Nelson said the amount of dividends to be paid by the company this year was almost equal to that of dividends distributed in the previous book year. Indocement posted a net profit of Rp3.59 trillion last year, a 11.5% increase compared to Rp3.22 trillion the year before. The company recorded Rp13.88 trillion in income last year, up by 24.7% from Rp11.13 trillion a year earlier. As per December 31, 2011, the company`s total assets reached Rp18.15 trillion, an increase of 18.27% compared to Rp15.43 trillion a year ago.


The President Post

A8 May 2012

www.thepresidentpost.com

Investment BI: Investment to be Driver of Growth www.republika.co.id

6.3 to 6.7% despite the current global economic slowdown. The central bank has projected household consumption to grow between 4.7 and 5.1%, as the real income of the public is expected to rise in light of civil servants` pay raise and higher wages for workers.

current global economic uncertainties. BI noted the increase in capital spending and foreign direct investment was also expected to have an impact on infrastructure growth, which was still lagging behind. Exports are predicted to slow down this year as the global economy has not yet shown improvement. However, the growth in the sector will still be 10.6 to 11.1%. According to the report, optimism in the sector remains because of its diversified export destinations, such as the emerging markets of China and India, which align their economic growth with domestic demand. Indonesia`s exports to those countries such as energy and agricultural products are used to meet their domestic needs and, therefore, are not so vulnerable to global economic turbulence.

B

ank Indonesia has predicted domestic demand, boosted by strong consumption, and increased investment will be the drivers of the country`s economic growth this year. In its report on economic prospects for 2012, received here on Wednesday, BI said there would be increased consumption in the household and the government sectors, while investments would continue to rise because of the favorable economic climate. In view of that, BI added, Indonesia`s economy would grow 6.3 to 6.7% despite the current global economic slowdown. The central bank has projected household consumption to grow between 4.7 and 5.1%, as the real income of the public is expected to rise in light of civil servants` pay raise and higher wages for workers.

Investment climate had also improved owing to infrastructure development as well as regulations that helped promote investment growth amid the current global economic uncertainties.

According to the report, higher purchasing power, consumer optimism, low household debt, and relatively low rates of interest will also help boost household consumption. Meanwhile, government consumption is estimat-

ed to grow 5.7 to 6.1%. BI said fiscal deficit in 2012 will be kept in check to maintain the country's economic stability. BI said investment would grow 9.6 to 10.1% as mid-term economic prospects were strong and domestic mar-

Indian Investor to Sell Electricity to PLN www.indonesiafinancetoday.com

An investor from India, Madhucon Project Ltd., will sell electricity through an independent power producer mechanism at $5.8099 per kWh to state power company PT PLN, Nur Pamudji said. The PLN president director in a press statement here on Tuesday said the electricity sale was the first done by IPP from India. "The Indian investor will build Mulut Tambang South Sumatra 7 coalfired power plant in South Sumatra with a capacity of 2x150 MW in the sub-district of Keluang, Musi Banyuasin, South Sumatra whose electricity production is to be sold to PLN," he said. PLN has earlier cooperated with companies from the US, Japan and China. Madhucon Project Ltd. is cooperating with Madhucon Sugar & Power Industries Ltd. and PT Madhucon Indonesia to build the PLTU plant. The signing of the power purchase agreement was done on Tuesday by Nur Pamudji and president director of PT Madchun Sriwijaya Power, N Krishnaiah as a representative of the consortium of developers. Nur said the investment for the project reached $455 million. "The project is set to be completed in May 2016 or in 36 months since the financing date," he said. After the power purchase agreement is signed the developer is given a year or until May 2013 for a financing close. The project is planned to receive funding from Indian Bank which is later to be verified by PLN. "If funding and also other requirements set in the power purchase agreement have been met the financing date will be declared and after that construction will be done," he said. The electricity to be produced by PLTU Sumsel (South Sumatra) 7 will be distributed through Tapping T/L interconnection transmission with a capacity of 275 kV between Aurduri and Betung. "I hope the project could be done as soon as possible so that it could increase electricity supply for the southern part of Sumatra," he said. PLTU Sumsel 7 is part of the several PLTU Mulut Tambang

PLN President Director Nur Pamudji projects to be carried out in South Sumatra with a capacity of 4,200 MW.

Indonesia offers opportunities for Indian businessmen

Opportunity is always there for Indian businessmen to do business and invest in Indonesia, according to director general of national export development Gusmardi Bustami. "The Indonesian government has always offered opportunities to Indian businessmen after the signing of the economic cooperation agreement between the two countries," he said when receiving a 35-member Indian business delegation at his office here on Tuesday. The Indian delegation includes businessmen involved in industries such as mining, film, tour and travel, steel, energy, electricity, infrastructure, software, telecommunication, defence, food products (including seafood), and furniture. The visit was a follow-up to the two countries` agreement to increase economic cooperation through trade and investment. The delegation also plans to meet with its Indonesian counterpart and government officials. According to Gusmardi, Indonesia and India have a common desire to increase their bilateral relations. Both countries are multicultural and were pioneers of the Asia-Africa resurrection in 1955. "Right now, Indonesia and

India are both emerging markets that play an important role in the world economy. The two are also quite influential in international forums such as G-20," he said. Gusmardi hoped that the direct meeting between the two countries` businessmen would produce concrete results in the form of investments and trade contracts. Members of the Indian delegation include business executives from Srei Infrastructure Finance Ltd., Mokul Group of Companies, SAFTA Logistic, Monnet Ispat & Energy Ltd., Saru Diamonds Pvt Ltd., and Rohit Ferro. Their Indonesian counterparts will be from PT Bonecom Servistama Compindo, Niramas Utama, Prima Persada Nusantara, Indo Jati Furniture, Kobe Alina Food, PT Sinar Sosro, Sinar Mas, Astra Agro Lestari, Jayakarta Nusatama, and PT Eastern Union, among others. Total trade between the two countries this year has been recorded at $17.6 billion, with Indonesia`s exports to India reaching $13.3 billion and imports from India at $4.3 billion. Based on those figures, Indonesia enjoys a surplus of $9 billion. Bilateral trade between the two countries has risen by 25.3% during 2007-11. Indonesia`s main exports to India are crude palm oil, coal, copper, rubber, and olein, while its imports from that country are cyclic hydrocarbons, corn, motor vehicles, and telephone equipment and accessories.

ket remained attractive for investment. It added the investment climate had also improved owing to infrastructure development as well as regulations that helped promote investment growth amid the

The sector also benefits from low interest rate and controlled inflation in the country. However, BI stated imports of goods and services might still reach 11.6 to 12.0% thanks to increasing though limited domestic demand and consumption. Investment in infrastructure development would increase imports of heavy transportation equipment, it added.

Russian Investor to Build Railroads in Kalimantan A Russian investor will soon build a 160-kilometer long rail road worth $2.5 billion in East Kalimantan, governor Awang Faroek Ishak said, "The new rail road will later connect with that in Central Kalimantan measuring 90 kilometers long to make the total rail road to be built by Kalimantan

Faroek Ishak East Kalimantan Governor Awang

Rail to 250 kilometers long," he said here on Tuesday. He said the rail road to be built in East Kalimantan will pass three districts and one city namely districts of Kutai Kartanegara, Kutai Barat, Penajam Pasar Utara and the city of Balikpapan. In connection with the coal transportation project the governor called for maximum support from the people in the districts to be passed by the network. He said the project would be started from Puruk Tahu, Muara Tuhuk in Central Kalimantan to Balikpapan in East Kalimantan. For the initial stage the rail road will be prioritized for coal transportation but later it could also be used for transporting farm products, cargos and passengers.

Official: ASEAN Explores Investment in S. Sumatra A team from ASEAN has visited South Sumatra to explore investment possibilities in the province, which is rich in natural resources, stated Regional Capital Investment and Promotion Board spokesman Permana here on Friday. He said that the team, sent by the ASEAN Permanent Representative Committee, was led by Ngurah Swajaya. Speaking to the team from ASEAN here on Friday, Permana described South Sumatra as rich in natural resources which

are yet to be managed optimally. "The province is rich in coal, geothermal energy, gas, rubber, oil palms and other natural resources for investors," Permana noted, adding that South Sumatra also contains many historical sites closely related to the Kingdom of Sriwijaya. In an effort to promote the Sriwijaya Kingdom, Permana remarked that his party plans to build a small museum at Benteng Koto Besak for visitors who want to learn more about the kingdom.


The President Post

www.thepresidentpost.com

May 2012 A9

Property Jakarta Property Market Still Far from “Bubble” Jakarta Property prices had been rising over the past few years; the average gross rentals for office space increased in Jakarta by 9.5 % from the previous quarter, which was the highest quarterly increment ever recorded.

T

www.skyscrapercity.com

he property market in the Asia Pacific region is growing impressively in line with the economic growth on the region. Glenn J. Rufrano, President & CEO of Cushman Wakefield, a property consulting firm, said total sales of property investment in the Asia-Pacific region was the highest compared to the U.S., which is only $30 billion or Europe, Middle East, and Africa approximately $50 billion.

after the success of Margonda Residences I, II, III, and IV; and Saladdin Mansion Tower B which was marketed after Tower A was sold out within six months. Though new supply continues to stimulate demand growth, the volume of future supply will bring increasing competition especially in the secondary leasing market (with occupancy predicted to fall to below 60% within the next 2 years). If the future supply continues to increase are, and yields and occupancies continue to decline, the condominium market does have the possibility to experience a bubble in the medium term.

The sales growth also happens in Indonesia, though it is quite slower if compared with other countries in the Asia-Pacific region. Nevertheless, Handa Sulaiman, Executive Director of the consulting firm, explained the Indonesian property market is still attractive as an investment target when compared with Singapore, Hong Kong, or other developed countries. In fact, Jakarta Property prices had been rising over the past few years; the average gross rentals for office space increased in Jakarta by 9.5 % from the previous quarter, which was the highest quarterly increment ever recorded. The high increment of property prices made Bank Indonesia signaled its concerns about a potential “bubble” in the property sector from banks being “too easy” on low-income borrowers. A real estate or property bubble is a type of economic bubble that can occur cyclically in both local and global real estate markets. Characterized by rapid increases in the valuations of real property (such as housing) until they reach unsustainable levels relative to incomes and other economic indicators, followed by decreases that can result in many owners holding negative equity (a mortgage debt higher than the value of the property). Unlike a stock market crash following a bubble, a real-estate “crash” tends to be slower, due to the inherent nature of the process of buying & selling property. According to Cushman & Wakefield, residential, office, and industrial area are the three sectors that safe from the possibility of a property bubble. These three property markets are considered to have high demand from the end user, not investors or speculators. “Over 70% of residential estate buyers are end-users, thus reducing the chance of overpricing

For retail, with the partial completion of Ancol Beach City, a lifestyle retail center in North Jakarta, the total Jakarta retail supply as of March 2012 was recorded at 3,586,700sqm, comprising 2,462,000sqm (or 68.6%) within retail centers for lease and 1,124,700sqm (31.4%) in strata-title centers.

According to Cushman & Wakefield, residential, office, and industrial area are the three sectors that safe from the possibility of a property bubble. These three property markets are considered to have high demand from the end user, not investors or speculators.

caused by an excess of demand from investors,” said Arief Rahardjo, Head of Research & Advisory Cushman & Wakefield. Meanwhile, the market for office and industrial areas will not bubbling since it has high demand but the supply is limited, explained Handa Sulaiman. He said the high demand for office market is currently driven by demand from mining companies, IT, banking and insurance. Majority of the office space buyers are still end users (over 85%). Cumulative demand of CBD offices is forecast to grow by between 8.5%10% in the next two years. Sales prices will continue to rise, with rentals expected to similarly increase with landlords increasingly confident in raising rental levels due to high occupancies within their buildings and a strong demand outlook for the year ahead.

Total cumulative supply of the Jakarta strata-title office market increased during the first quarter 2012, with the addition of Office 8 in Jl. Senopati of 48,900sqm. This brought the total CBD supply of strata-title offices to 693,200sqm (representing 16.1% of the overall CBD Jakarta office stock). Showing a similar trend to the rental rate, the average price of strata-title offices continued to rise due to the limited availability of completed strata-title space. As of March 2012, the average price in the CBD area stood at Rp.22.8 million per sqm, an increase of 12% over the fourth quarter of 2011. During the review period, coal mining companies continued to be the most active industry sector purchasing offices, followed by consultation companies, agribusiness and the insurance industry.

Total cumulative supply of the Jakarta strata-title office market increased during the first quarter 2012, with the addition of Office 8 in Jl. Senopati of 48,900sqm. This brought the total CBD supply of strata-title offices to 693,200sqm (representing 16.1% of the overall CBD Jakarta office stock).

While for industrial area, sales prices are expected to continue to increase due to high demand and lack of supply. With significant amount of ‘pent-up’ demand awaiting new supply delivery, the overall industrial market in 2012 is expected to remain strong. Demand generator may still be driven by foreign industrialist dominated by automotive-related sectors. However, continuing upwards pressure on land prices may be expected in the coming quarters albeit at a slower rate. Industrial estates (IE’s) in Bekasi and in the Karawang & Purwakarta areas continued as the preferred locations, enjoying over 85% of total transaction activity in the quarter. Similar to the previous quarter, IE’s in Serang and the Cilegon areas absorbed most of the remaining transactions due to the related sector.

However, the property consulting firm raised concerns over the possibility of a property bubble in the condominium market. With a growing economy, stable mortgage rates and continuing trend to high-rise living close to the activity centers, the condo market still has growth potential (especially the middle to middle-upper segments). By the end of 2011, there were a total of 106 future condominium projects in the market, with a total of approximately 44,829 units, excluding the low-cost condominium projects (also known as Rusunami). Addition of seven new projects was launched to the market throughout January to March 2012, totaling 3,013 units from lower-middle to upper-middle class. Some of the projects were extension of the former project, such as Margonda Residence V which was launched

Through to the end of 2012, a further 312,100sqm of retail space is expected to enter the market. Almost all (98.4%) of this future supply will be centers for lease, with only 1.6% of strata-title space. Should these proposed new centers meet their completion schedules, total supply within Jakarta will reach 3,898,800sqm by the end of the year. The majority of new supply in 2012 will come from one-stop retail centers within the large mixed-use developments, such as Kota Kasablanka, Ciputra World, and Kemang Village. In advance of retailers in large-scale retail centers due for completion in 2012, completing their fit-outs and commencing trading, however, a short-term decline in occupancy is expected. Leasing transaction will be mix between F&B and other sectors, such as super/hypermarket, fashion, electronics, tools and hardware, etc. With the increase of operation cost, increase of service charge in some centers is anticipated in the following quarters. However, with strong competition in the retail market expected to continue, rentals are likely to remain relatively unchanged.


The President Post

A10 May 2012

www.thepresidentpost.com

International www.presidensby.info/Rusman

President Kim visited Indonesia from May 13 to 16 at the invitation of President Susilo Bambang Yudhoyono. It is the third visit of Kim in his capacity as the North Korean president, to Indonesia.

Indonesia and North Korea Strengthen Bilateral Relations North Korean leader Kim Yong-nam and President Susilo Bambang Yudhoyono resolved to raise political relations between the two countries and agreed to enhance economic and trade cooperation links between the two countries.

K

im Yong-nam, North Korean leader, visited Indonesia, where he reportedly drummed up support for foreign investment in one of the world's most isolated countries. President Kim visited Indonesia from May 13 to 16 at the invitation of President Susilo Bambang Yudhoyono. It is the third visit of Kim in his capacity as the North Korean president, to Indonesia. Foreign Affairs Minister Marty M. Natalegawa after accompanying President SBY in the bilateral meeting said Yudhoyono has specifically asked economic ministers to follow up several things discussed in the bilateral meeting to increase the economic, trade and investment cooperation. He elaborated that the delegation accompanying Kim Yong Nam also discussed with their partners in Indonesia to increase investment of the two countries. "There was determination to raise the bilateral relations to a higher level in a broad range of

areas," said Natalegawa. "For example, the two leaders resolved to raise political relations between the two countries by promoting increased visits by leaders, by ministers, by officials, of the two countries. In addition, the two leaders agreed to enhance economic and trade cooperation links between the two countries." The meeting also discussed cooperation opportunity in culture, sports and traditional medicines. Kim Yong Nam made use of the meeting to provide information to President SBY on the progress of North-South dialog and effort of the launching of North Korean satellite sometime ago. In addition to bilateral issues and respective domestic development, the two presidents also discussed regional and global issues and effort to strengthen support and cooperation in multilateral forums There were other signs of cooperation between both countries in communications and information technology which is present-

ed in the Agreed Minutes of the first Meeting of Joint Information Commission (JIC) in Jogjakarta. Secretary General of the Communications and Information Ministry Basuki Iskandar (Head of Indonesian Delegation) and Jong Yong Chol (Head of North Korea Delegation) co-signed the document. This cooperation will be implemented through exchanges of materials (news, videos, photos as well as television programs) and capacity building through exchange of visits between government officials who deal with communications and information as well as between journalists of both countries. In his opening remark, Secretary General Basuki Yusuf Iskandar extended his appreciation towards and a hope for the two countries to have closer relations in communications and information sector. According to him, the MoU between both countries that was signed in 2009 serves as a strong foundation for technical cooperation which will be later carried out. On a technical level, the meeting agreed on various cooperation programs, such as exchange of materials for TV documenta-

Indonesia, U.S. Enhancing Commitment On Science and Technology Cooperation The United States and Indonesia demonstrated their commitment to enhancing bilateral science and technology cooperation at the inaugural Joint Committee Meeting (JCM) on Science and Technology Cooperation in Jakarta, Indonesia on May 15. Dr. Kerri-Ann Jones, Assistant Secretary of State for Oceans and International Environmental and Scientific Affairs, headed the U.S. delegation. Dr. Amin Soebandrio, Deputy Minister for International Science and Technology Network ad-interim at the Ministry of Research and Technology, led the Indonesian delegation. Assistant Secretary Jones cochaired the inaugural Joint Committee Meeting on Science & Technology between science and research communities of Indonesia and the United States. In addition to the Joint Committee Meeting, the Assistant Secretary met with Minister of Research and Technology Gusti Muhammad Hatta, Acting Minister of Health Dr. Ali Ghufron Mukti, and Minister of Marine Affairs and Fisheries Sharif Cicip Sutardjo to discuss the United States’ cooperation with Indonesia across the spectrum of scientific activities, from biodiversity, marine protection,

and climate change to health and disease prevention. The Joint Committee Meeting addressed ongoing and proposed research cooperation in health, marine, biodiversity, climate and agricultural technologies, and the participants exchanged views on cross-cutting themes such as how to promote innovation, the importance of merit review, and the relative strengths and weaknesses of our scientific enterprises. Assistant Secretary Jones emphasized that U.S. science and technology cooperation was rooted in mutual respect and mutual interest, given the important role that science, technology, and innovation plays in addressing global challenges and in promoting economic development. Ambassador Scot Marciel added that science and technology cooperation stands out as one of the most exciting pillars under the U.S.-Indonesia Comprehensive Partnership inaugurated in 2010 by Presidents Obama and Yudhoyono. Assistant Secretary Jones highlighted the seven recently announced Indonesian winners of the U.S. Agency for International Development (USAID)-funded Partnerships for Enhanced En-

gagement in Research (PEER) grants worth nearly $800,000 that will help sustain marine biodiversity and protect the environment in Indonesia. These awards reflect the increasing collaboration among Indonesian and American scientists. The PEER initiative links National Science Foundation-funded scientists in the U.S. with Indonesian scientists to increase research collaborations between the two nations on key development issues. PEER, a USAID-funded competitive grants initiative implemented by the National Academy of Sciences (NAS), received nearly 500 applications from 63 developing countries. A total of 41 projects from 25 countries were chosen, including seven from Indonesia, based on scientific merit, projected development impact within the country, and the prospects for strong collaboration between local scientists and their American counterparts. Both countries agreed to finalize a U.S.-Indonesia Science and Technology Action Plan, which will include items agreed by working groups. Activities under the Action Plan will be monitored with a formal mid-term review process.

ry, radio broadcast program and Plan of Cooperation for transmission of news, photos and audio files between Antara and KCNA. The Head of TVRI Station in Jogjakarta on behalf of TVRI handed over a number of documentary programs that are expected to initiate the cooperation. The meeting also agreed to organize “TV Documentary Program Production” training in Bali

and Jogjakarta in order to build the capacity of journalists and government officials who are engaged in communications and information. Furthermore, the meeting also addressed the proposal for journalist exchange between the two countries. The second JIC meeting is scheduled in Pyongyang, North Korea in 2013.

Australia Allocates A$578 m to Support Indonesia’s Development Goals In 2012-13, the Australian Government will provide an estimated A$ 578.4 million (Rp 5.37 trillion) in official development assistance to Indonesia. Today’s announcement reaffirms Australia’s ongoing commitment to scale up its development assistance to Indonesia. The Australian Ambassador to Indonesia, Greg Moriarty, said Indonesia is one of Australia’s closest neighbors and has had success in achieving economic growth but still faces complex development challenges. “Australia is proud to be partnering with Indonesia in its efforts to overcome poverty,” said Ambassador Moriarty. “This year’s budget is A$20 million more than last year’s and I’m pleased to say that our aid program has consistently increased over the last three years.” “Australia is Indonesia’s largest grant donor. The two countries have a successful development partnership that is helping save lives, opening up opportunities for the poor and promoting sustainable economic development.” Managed by the Australian Agency for International Development (AusAID), Australia’s aid program in Indonesia will continue to focus on education, health, infrastructure and social protection. “Australia is giving Indonesian children access to high quality education, increasing access to health services, safe water and sanitation and providing support to protect the poor and marginalized,” added Ambassador Moriarty. Australia will also continue to provide assistance that will boost

Greg Moriarty, The Australian Ambassador to Indonesia

Australia is proud to be partnering with Indonesia in its efforts to overcome poverty” economic growth, reduce the impact of disasters and strengthen democracy, justice and governance. The Australian Government also released a new Comprehensive Aid Policy Framework on 8 May 2012. The Framework articulates a four-year vision of how much aid Australia will deliver, where, and why by 2015-16. This will enable the Australian Government to work together with Indonesia to better plan and implement aid investments more effectively, delivering better results for the people of Indonesia. Australia’s aid programs work in close partnership with the Indonesian Government and civil society organizations to achieve a prosperous, democratic and safe Indonesia.


The President Post

www.thepresidentpost.com

May 2012 A11

Breakfast Dialogue “Indonesia Mengajar: Teaching for a Year, Inspiring for a Lifetime” PHOTOS: The President Post/Heros Barasakti

The President Post and Financial Club held a Breakfast Dialogue supporting “Indonesia Mengajar”, an education movement initiated by Anies Baswedan. By Jeannifer Filly Sumayku

A

s an educator, Anies sees the people as the biggest asset of the country. “Once we see the people as the biggest asset, we can start to talk about education. The issue is to make our biggest asset become the real asset of the republic,” he said. Anies explained that the list of problems on our education is endless. "Therefore we need to start thinking education not as a program, but as a movement. We often debate on it seriously, but we only assume someone will do it, or we give a list of solutions to the government and assume they will do it. But it won’t happen,” he said. "Indonesia Mengajar is not intended to solve all education problems in Indonesia: it invites everyone to get their hands on education. Let’s look education as an agenda of everyone." Anies further explained two main education problems in Indonesia. First is the teachers’ geographical coverage. 21% of schools in cities don’t have enough teachers, 37% of schools in rural areas

and 66% of schools in remote areas don’t have enough teachers. "Actually we do have a lot of teachers. In South Korea, the ratio of teachers and students is 1:30, while in Indonesia the ratio is 1:18. Our distribution is very bad. It’s not about figures but the coverage." "The second problem is the quality of teachers. From the total number of of 2,92 million teachers, around half have Bachelor’s degree or higher." “We decided to do something on this. Indonesia Mengajar helps to fill the shortage of teachers especially in remote areas by sending best university graduates in Indonesia as teachers for a year. The problem is that it is tough to graduates from best universities to even be a teacher, let alone to teach in remote villages where there is no electricity, minimum running water, no phone signal, etc,” he said. Anies continued, “We thought differently. We often assume that being a teacher is a lifetime commitment. We only need the best individuals to be in that classroom, not the same individuals for twenty years in the classroom. So let’s make it shorter, one year or two years. We invite everyone to be a teacher in more interest-

FINANCIAL CLUB J AK AR T A

ing ways. We invite them to serve. We give them these questions: Do you want to get the experience that you will never forget? Do you want to inspire young Indonesians in those places which forever they can say, I am here because of this person teach in my class? Do you want to have new families? Do you want to have a second hometown, a second home village? Do you want to have that pride when you say I have served my country?” Indonesia Mengajar is designed for five years, and every year they send different teachers to 16 districts in Indonesia. 51 individuals were sent on the first batch. Anies said that the message for the teachers is to be there, make a

difference, and be the dream that all parents want their kids to be like them. It’s not about quantitative achievements, but to inspire everyone. This year is the fifth year and the registration for teachers or Pengajar Muda has just closed. It is called Pengajar Muda because the teachers are young with a maximum age limit of 25 years and unmarried. Pengajar Muda must have the willingness to serve, strong leadership, good communication skills, and academic grades or GPA at least 3 on scale 4. Pengajar Muda will get seven weeks of training covering three aspects: teaching skills, leadership, and survive ability.

Anies said that the message for the teachers is to be there, make a difference, and be the dream that all parents want their kids to be like them. It’s not about quantitative achievements, but to inspire everyone.

Financial Club Jakarta & The President Post cordially invite you to:

Breakfast Dialogue “NO REGRETS LEADERSHIP” Speaker Thursday, 14 June 2012 08:00 - 10:00 am (Registration & Breakfast start at 7:00 am) Registration Fee: Member: Rp 150,000 Guest: Rp 250,000

TANRI ABENG Chairman Executive Center for Global Leadership

Payment can be transferred to: The Financial Club BCA Cabang Sudirman 035 30 28437 Dress code: Business Attire RSVP: Financial Club Jakarta Lita Hidayati - 021 250 5090 lita@finacialclub.co.id The President Post Detia Hutami - 021 572 7337 ldetia@thepresidentpost.com

Financial Club Jakarta

Graha CIMB Niaga 27th Floor, Jl. Jend. Sudirman Kav. 58 Jakarta


The President Post

A12 May 2012

www.thepresidentpost.com

Education Looking at the Prospects of Universities of Applied Sciences in Indonesia Provided UAS concept can be adopted in Indonesia’s higher education system and fully socialized to prospective students before entering a university, the intellectual unemployment may be prevented or at least reduced significantly.

By Jhanghiz Syahrivar

A

verage students may dream of entering some prestigious universities in their countries or abroad without ever knowing whether the chosen universities have the same values and orientations with the respective students; whether the universities they choose are able to cater their long term interests soon after they complete their studies. Thanks to globalization era, greater awareness towards international educations, and intense rivalries between state and private universities – between local and abroad universities – a growing number of universities in the world were seeking differentiations from the rest. Some universities go one step further by walking out their comfort zones – quality education or fancy words, such as international education – and trying to figure out and accommodate the long term needs of their students. What are these long term needs? Students may have different long term needs depending on internal and external factors; however, more and more university graduates nowadays prefer to earn their livings by becoming a white collar employee in some reputable company as soon as they graduate from their universities, hence one can assume that work-

ing in a reputable company is one of these long term needs. Ensuring graduates fully absorbed by the industries is quite a challenge considering that it was previously seen as out of universities’ scope and context. Many universities in Europe seek to make their academic degree standards and their quality assurance procedures more comparable and compatible throughout Europe. This process is known as Bologna Process or Bologna Accords. For instance, German type of tertiary educations are divided into two: Universitäte(n) and Fachhochschule(n) (also known as Hogeschool in the Netherlands). While Universitäte(n) are the traditional universities that focus on research, Fachhochschule(n) are the universities that focus on application and practical orientation. The later is widely known as University of Applied Sciences. The most common misconception about Bologna Process is that it is the European Union (EU) initiative. There are only 27 Member States of the EU, meanwhile the Bologna Process has 47 participating countries. Some nations outside the European Higher Education Area also take interest in the Bologna Process and they remodel their own national systems by taking into account the Bologna Process reforms. For instance, on 18th April 2007, the Australian Minister signed an agreement with the European Union

www.daad.de

DAAD Head Office in Bonn, Germany.

DAAD Opens Scholarships 2013/2014 with Relevance to Developing Countries The German Academic Exchange Service (DAAD) Deutscher Akademischer Austausch Dienst - supports a range of postgraduate courses at German universities which aim at providing academically educated young professionals from Developing Countries with further specialized studies. The DAAD supports these selected programs with a certain quota of scholarships and with financial assistance for a special tutoring system. At the end of the course (programs run 12 to 36 months, depending on the particular institution) participants can obtain an internationally recog-

nized Master’s or in some courses PhD degree. University teaching staff, researchers and professionals holding an academic degree and with at least two years of experience in the public or private institutions in the following areas: Economic Sciences/Business Administration/ Political Economics, Development Co-operation, Engineering and related sciences, Mathematics, Regional Planning, Agricultural and Forest Sciences, Environmental Sciences, Medicine/Public Health, and Veterinary Medicine, Social Science, Education and Law, Media Studies.

Other criteria are required including a maximum of 36 years old, have a minimum of two years work experience after graduating scholars, as well as GPA 2.75 for the master program, and GPA 3.00 for doctoral program. For postgraduate courses held in English request an international TOEFL (minimum score: 550 paper based, 213 computer based, 80 internet based) or IELTS (band 6). Some courses may expect a different level. The application deadline is 31st July 2012. For more information please visit www.daadjkt.org

Art Scholarships from Korea Now Open for Registration! Ministry of Culture, Tourism and Sport Republic of Korea offers a scholarship programs for the art and a master degree program to prospective students from Asian countries. Courses offered including school drama (acting), film, TV and multimedia, school dance, visual arts, as well as traditional Korean arts. The study period will

last four years for undergraduate program and three years for master program. The recipients will receive the entire cost of study, the Korean language course program, living expenses, airfare, up to the cost of extracurricular activities. To receive this scholarship applicant must have good academic point as well as having an out-

standing talent in art. Another requirement is to attach a letter of recommendation from university, government, or other relevant institutions. Applicants who can speak Korean are preferred. Registration will close on July 31, 2012. For further information please contact or visit global@ karts.ac.kr

Commissioner for Education to improve the education links between the two federations and allow for a more rapid unification of the two education systems out of a concern that they could lose overseas fee-paying students to European universities if it did not adapt to the reforms of the Bologna Process. In Germany – followed by other European countries, such as Finland and the Netherlands – recognizes that Universities of Research (UR) and Universities of Applied Sciences (UAS) award legally equivalent academic Bachelor's and Master's degrees; however, UAS do not award doctoral degrees themselves as this privilege still belongs to UR. Moreover, professors teaching in UAS are obligated to have a professional career of at least three years outside the university system – this remains their major difference from traditional universities. The main advantage of studying in UAS over traditional universities is the shorter route to a career. UAS are highly practiceorientated in a sense that the courses taught in the class are orientated to job requirements. The semester holidays are normally shorter than a university hence students may complete their studies faster than traditional universities. It does not mean that UAS are lack of academic or scientific orientation; as a matter of fact, UAS also conduct and in-

volve in various industry-funded researches which are primarily geared to practical relevance and largely applications-based.

these universities align their curriculums to the industry’s special needs – this is exactly what UAS do!

Sadly, many Indonesian students are not well informed about the two types of universities hence they more likely to choose universities with a well-established name and later on end up knowing that the universities they choose do not fit to their long term interests, such as to be able to work in some prestigious companies with adequate skills and knowledge. In worst scenario, they may end up queuing in the long line of unemployment in the country, not because the chosen universities are not qualified but because they have chosen the wrong universities to begin with.

Indonesia education system, however, recognizes polytechnic as an alternative for tertiary educations. Polytechnic may adopt some characteristics of UAS; nevertheless, it is a less popular choice in Indonesia. Many students still prefer to study in “university” than “polytechnic” partly because the “prestige” associated from being admitted in one. With the education system as adopted by a growing number of European countries, this problem may be solved. Because now there are only two choices: university of research and university of applied sciences – the names already reflect their orientations.

Failing to choose the “right” university in Indonesia is pretty understandable considering that the education system in the country does not differentiate universities in European’s manner while in fact, a growing number of universities in Indonesia, especially private universities, have turned their institutions into a professional-maker factory – far from the traditional concept of a university that emphasizes more on research and less practical knowledge. Some private universities, like President University, have a good collaboration with domestic and foreign companies to ensure their graduates could be absorbed by the industry. For that purpose,

Provided UAS concept can be adopted in Indonesia’s higher education system and fully socialized to prospective students before entering a university, the intellectual unemployment may be prevented or at least reduced significantly. Our local universities will not only produce theoretically-bright graduates but also superior human power who can lead our nations through high professionalism and relentless innovations. All in all, Universities of Applied Sciences, which have been established for 30 years or so, emerge as a ground-breaking movement towards international educa-

Sadly, many Indonesian students are not well informed about the two types of universities hence they more likely to choose universities with a well-established name and later on end up knowing that the universities they choose do not fit to their long term interests, such as to be able to work in some prestigious companies with adequate skills and knowledge.

tion and a more globally accepted teaching methodologies around the world. More importantly, they emerge from the awareness that prospective students may have long term needs and interests apart from quality educations – in which most traditional universities may have failed to offer. Jhanghiz Syahrivar is a Lecturer at Faculty of Economics of President University, Indonesia.


Living

www.thepresidentpost.com May 2012 /// N0. 35

Menthol Smokers Have More Strokes: Study ILLUSTRATION: www.fastcompany.com/Chris Labrooy

Among smokers, people who prefer mentholated cigarettes tend to have more strokes than nonmenthol smokers - and this seems to be especially true for women and nonAfrican Americans, according to a North American study.

T

he author of the study said that while no cigarettes are good for the health, the findings - published in the Archives of Internal Medicine - suggest people should especially stay away from mentholated varieties. "They`re all bad, but having said that, from a harm-reduction perspective this study does lend to the view of avoiding - at a minimum - mentholated types," said Nicholas Vozoris, a clinical associate at St. Michael`s Hospital in Toronto. For the study, Vozoris used information taken from U.S. health and lifestyle surveys that included 5,028 adult smokers. The surveys were conducted from 2001 through 2008. Overall, about 26% of those participants said

they usually smoked mentholated cigarettes, and the rest smoked non-mentholated ones. Some experts say menthol makes it easier to start smoking and harder to quit because its taste masks the harshness of tobacco. Of menthol smokers, 3.4% said on the surveys they`d had a stroke. That compared to 2.7% of the non-menthol smokers. After taking into account smokers` age, race, gender and number of cigarettes smoked, Vozoris found mentholated cigarette smokers had more than double the risk of stroke compared to those who opted for non-mentholated cigarettes. The difference was especially clear in women and people who reported a race other than African American on their surveys.

B

The President Post

Among those study participants, strokes were over three times more common in menthol smokers. Vozoris said that the study couldn`t prove that the mentholated cigarettes themselves caused the extra stroke risk, rather than some unmeasured difference between menthol and non-menthol smokers. He added that women and non-African Americans seemed to be driving the link between mentholated cigarettes and strokes, but he wasn`t sure why and the study didn`t answer that either. Choosing mentholated cigarettes wasn`t tied to an increased risk of high blood pressure, congestive heart failure, chronic lung disease or heart attack compared to standard cigarettes.

Gordon Tomaselli, president of the American Heart Association and chief of cardiology at Johns Hopkins University School of Medicine, said it was interesting that the study showed an association between smoking mentholated cigarettes and strokes but not high blood pressure. Vozoris said it`s possible the menthol in cigarettes has an effect on the blood vessels that supply the brain in particular. According to the U.S. Centers for Disease Control and Prevention, smoking any type of cigarettes increases a person`s risk of heart disease two- to four-fold compared to non-smokers. Tomaselli, who wasn`t part of the study, added, "(This) reminds us that the effects of cigarette smoke is pretty broad-based and (it affects) a number of organ systems."

Berries May Delay Memory Decline As the number of Americans living with Alzheimer's disease continues to rise, researchers are investigating various ways that people can prevent memory decline through nutrients in foods we might eat often anyway. So far, nothing has been proven to work for sure, but there's no harm in eating healthy foods. The latest target of interest is berries. A study of more than 16,000 women over age 70 suggests there is a connection between berries and memory problems. Specifically, women who ate the most berries per week were likely to have up to a 2.5-year advantage in terms of when they showed signs of memory decline. There's no reason think that results would be different in men, said the study's lead author, Elizabeth Devore, researcher at the Channing Laboratory at Brigham and Women's Hospital in Boston. But note that this study, published in Annals of Neurology, received funding from the California Strawberry Commission - a potential conflict of interest. The data analysis, writing and results were done completely independently of this sponsor, however, Devore said, and

www.pantryspa.com

did not have anything to do with the concept of the study. Participants were asked about food consumption every four years since 1980, and their memory was tested every two years between 1995 and 2001. Researchers found that the women who ate at least 1/2 cup of blueberries per week, or two 1/2 cups of strawberries, showed the greatest benefits. "I’d recommend that both men and women eat more berries," Devore said. Here's how berries might help: mitochrondria are energy generators of brain cells, and have been thought to also produce substances toxic to the brain that lead to Alzheimer's disease. These toxic compounds are called "free radicals," which damage brain cells and impair cellular processing. Berries are rich in flavonoids, which can act as antioxidants, interacting with free radicals before they cause damage. But read the results of the new study with caution, says Dr. William Hu, assistant professor of neurology at Emory University School of Medicine. The study authors did not control the diets of

the participants - the information about berry intake is based on their own recollections. And it's hard to directly translate the effect of berries on cognitive decline when other lifestyle factors may also contribute to prevention. The berries themselves may have only a modest role to play. Hu also noted that the study authors did not control for the presence of a particular genetic variant, called ApoE4, that predisposes people to develop Alzheimer's disease. Devore said her team didn't consider it because genetic variants wouldn't be associated with berry intake. And a separate study looking at a group of women in the Nurses' Health Study found the frequency of the Alzheimer's associated gene similar to what's been reported in older Caucasian women in other large studies. Exercising, doing puzzles and other mind-stimulating activities, having a social support network and eating a healthy, balanced diet have all been suggested in previous research to contribute to preventing cognitive aging. "I don't think that any one of these factors is the silver bullet," Hu said. Still, it doesn't mean you should stop eating berries, either. Hu and his wife eat strawberries every night.


The President Post

B2 May 2012

www.thepresidentpost.com

Culture

Dangdut Music to Go International Soon, Indonesians will not be the only ones shaking their bodies and swinging their hips to dangdut music, but so will people in America and other countries.

I

ndonesia`s dangdut musicians are planning to propose that dangdut be included on the UNESCO`s cultural heritage list. In Washington DC, Indonesian Ambassador to the United States Dino Pati Djalal has launched a reality show called "Dangdut Goes to America" to introduce the music to Americans. Dangdut is a genre of Indonesian popular music that is partly derived from Malay, Arabic, and Hindustani music. Dangdut is largely composed of cheerful rhythms and is very popular among Indonesian grass roots fans. In the third congress of the Association of Indonesian Dangdut Malay Musicians and Singers (PAMMI) in Surabaya, East Java, in early March 2012, Dangdut artists suggested that the unique musical genre be proposed for inclusion on the UNESCO cultural heritage list. "I am initiating the idea to propose dangdut to UNESCO. Let the world know that dangdut music belongs to Indonesia. It must be fought for, and of course we need support," Rhoma Irama, the PAMMI chairman and `King of Dangdut`, said. Ikke Nurjanah, who was elected new executive chairman of PAMMI at the Surabaya meeting, also promised to do her best to send the proposal to UNESCO. "After our batik received recognition from UNESCO, it`s now time for dangdut because it is a musical genre found only in Indonesia.

No other country plays dangdut music but Indonesia," the attractive, young dangdut singer said. PAMMI`s idea was supported by Coordinating Minister for People`s Welfare Agung Laksono. "We agree with the suggestion to have dangdut recognized by UNESCO as being part of Indonesia`s heritage. All prerequisites should be met. The government is ready to support it," Minister Laksono said on the sidelines of the PAMMI congress in Surabaya on March 3. He is optimistic that if dangdut receives international recognition, it will also bring economic benefits to Indonesia. The minister believes that, at present all Indonesians and global communities are aware that dangdut music is exclusively Indonesian. The minister encouraged dangdut musicians to contact related ministries, such as the ministries of education and culture, youth affairs and sports, as well as people`s welfare, to help prepare the proposal for UNESCO. Items of Indonesia`s cultural heritages included in UNESCO`s Representative List of the Intangible Cultural Heritage of Humanity are the Angklung bamboo music instrument (2010), Batik traditional textile 2009, and Kris blade and Wayang Puppet Theatre (2008). Saman dance, globally popular as the `Thousand Hands` dance from Indonesia`s western most province of Aceh, was included in UNESCO`s List of Intangible Cultural Heritage in Need of Urgent

Safeguarding in 2011. Borobudur Temple was added to the World Cultural Heritage List in 1991, along with the Prambanan Temple compounds. In 1996, UNESCO included the Sangiran Early Man Site in Solo, Central Java, where the first hominid fossil of mammals walking upright was discovered during excavations conducted from 1936 to 1941. As for Indonesian natural sites, the World Heritage List includes Komodo National Park (1991), Lorentz National Park (1999), Tropical Rainforest Heritage of Sumatra (2004) and Ujung Kulon National Park (1991). In 2012, Indonesia plans to nominate the Noken traditional bag from Papua, a Balinese dance, the Beautiful Indonesia in Miniature Park (TMII), and the Sasando traditional musical instrument of East Nusa Tenggara to be included on UNESCO`s list of intangible world cultural heritage.

"Dangdut Goes To America"

Even before PAMMI had the idea of proposing dangdut to UNESCO, Ambassador Dino has been actively promoting dangdut in the United States with the "Dangung Goes To America" reality show. "Music is not just something to enjoy, it can also be used to strengthen the relations among people in different countries," Dino said in the US, early this year. He chose dangdut because the musical genre is identified with the Indonesian people. "Dangdut Goes to America" is

www.lightgalleries.net

Muslim China Cultural Night Held in Medan Medan hosted a Chinese Xinjiang Cultural Night, presenting songs and dances of ethnic Muslim Gurneys on Friday evening. The cultural night was held at the Foreign Language InstituteAsian International Friendship (STBA-PIA) and acting North Sumatra Governor Gatot Pujo Nugroho was in attendance. Gatot Pujo Nugroho Acting North Sumatra Governor

The event demonstrated the close ties between China and Indonesia, particularly between Xinjiang and North Sumatra.

tural night had been organized in Medan. The event demonstrated the close ties between China and Indonesia, particularly between Xinjiang and North Sumatra. North Sumatra lawmaker Brilian Moktar, who was also present, said the cultural night was expected to help continue strengthen relations between China and Indonesia. Meanwhile, Chinese Consul General in Medan Yang Ling Zhu, in a written statement, noted that China and Indonesia are both multi-cultural and multi-ethnic nations. According to Zhu, China has 56 ethnic groups, including 10 Muslim ethnic groups such as Uygurs. There are about 20 million Muslims in China.

Rhoma Irama `King of Dangdut` PAMMI Chairman

"Dangdut rhythm lures people to shake their bodies. I cannot dance, but I just shook my hands and body to keep up with the dangdut rhythm on the dance floor," Tina Ho of the Asia Society Texas Center, who attended the "Evening with Friends of Indonesia" event, said, as quoted in a statement issued by the Indonesian consulate general in Houston. The Indonesian embassy in Washington DC has planned to organize dangdut music performances in several American cities by presenting noted Indonesian dangdut singers.

www.kompasiana.com

Balinese Dancers to Perform in Japan Balinese dancers from Badung region in Bali, have been invited by International Art and Culture Children Festival Foundation to perform traditional Balinese dances in Tokyo, Japan. The invitation was delivered to Regent of Badung Anak Agung Gde Agung by the chief of Bualu Village I Ketut Rundeg and Head of Japan International Art and Culture Children Festival Foundation Kimura Naomi at Mangu-

Baris dance

Among those performing were noted Xinjiang singer Izzat Ilyas, the Nazirkum dance group, and the Hayrat Azi acrobatic group.In addition to singing Uygur`s "Qebiyat Mukam" songs, Izzat Ilyas also sang a famous Indonesian song entitled "Bengawan Solo". Gatot, in his remarks, said he was pleased that the Xinjiang cul-

aimed at promoting the country`s musical heritage in the United States and encouraging interactions between the people of the two countries, Dino noted. He said "Dangdut Goes to America" would become the pilot project to globalize Indonesian music. In January this year, at an event called "Evening with Friends of Indonesia" organized by Al Busyra Basnur, the Indonesian consul general in Houston, Texas, around 120 Indonesians and Americans gyrated to popular dangdut songs such as "Begadang", "Darah Muda", "Terlena", and "Kocok-kocok". "In fact, the Americans in Houston like dangdut. They enjoyed the dangdut music and swung their hips following the dangdut rhythm," Al Busyra Basnur said recently.

I am initiating the idea to propose dangdut to UNESCO. Let the world know that dangdut music belongs to Indonesia. It must be fought for, and of course we need support."

pra in Bali, Monday. Rundeg said he will bring ten children from Bualu Indigenous Village. "We will depart for Japan in early July this year," he said. Rundeg noted those ten children have mastered three basic dances that will be performed in Japan, namely Puspanjali dance, Baris dance and Sekar Jepun dance. Regent Agung said this opportunity would strengthen partner-

Balinese Musician Holds HIV/AIDS Music Parade

ship between Indonesia, especially Bali, and Japan. "The event will also give a positive impact on Bali tourism, especially Badung region," he said. According to Agung, Japan is one of the major markets of Bali tourism, but since the tsunami that hit the country, the number of Japanese visitors to Bali has been declining. "On the commemoration of one year anniversary of the tsunami

last March, we attended prayer events at the Japanese Consulate General in Denpasar and in Luhur Pucak Mangu Temple," he said. On behalf of the people of Badung, Agung advised the dance group to take care of their health so they can perform maximally to promote Bali in Japan. "I wish they will not only perform in Japan, but also in other countries as well," he said

Bali's Arts Institute Educate Foreign Students

www.beatmag.com

Balinese musician Kadek Ayu Sri Handayani has held a charity music parade to assist in combating HIV/ AIDS in the island paradise. "This function is purely a form of appreciation and my moral responsibility to the others. Moreover, I will see that our young people have a little knowledge of HIV/AIDS," the musician said here on Wednesday. Kadek Ayu said the charity music parade was held on April 6 at the Serambi Art Antida on Waribang street

number 32, Kesiman, Denpasar. "This year`s concert was a follow-up to last year`s event. I have donated about Rp14 million collected from the concert to the Provincial AIDS Commission through Yayasan Citra Usadha Bali Indonesia," she added.

The Indonesian Arts Institute (ISI) based in Denpasar is currently educating a total of 58 students from 22 countries in various aspects and departments of Balinese arts, the ISI rector said. Foreign students` interest in the courses offered by ISI is expected to increase in the 2012/2013 academic year, ISI Rector Prof.Dr. I. Wayan Rai S., said here on Saturday.

raphy section, and one at the artistic design section. the rector said.

Of the 58 foreign students now enrolled at ISI, 18 were studying at the institute`s performing arts section, 14 at the "Kerawitan" arts section, eight at the plastic arts section, eight at the artistic skill section, nine at the photog-

The ISI rector also said over the past 13 years, the arts institute had educated a total of 496 foreign students and most of them learnt about the arts of using drums and performing Balines dances.

The foreign students came from Poland, Hungary, Japan, the United States, South Africa, Slovenia, Spain, Argentine, Australia, Bangladesh, Belgium, Serbia Montenegro, Ukraine, Venezuela, Greece, Madagascar, Uzbekistan, Brazil, China.


The President Post

www.thepresidentpost.com

May 2012 B3

Tourism Rp2.1 b Allocated to Teluk Jailolo Festival

NTT’s Tourism Potential A Boost for its Economy www.blogspot.com

In the Master Plan for the Acceleration and Expansion of Indonesia`s Economic Development (MP3EI), NTT was in BaliNusa Tenggara corridor, as the gateway for tourism and national food support.

T

The NTT provincial government should have done more to develop the tourism sector, which offers a promising potential for the welfare of 4.6 million people residing in the province, said local tourism businessman Victor Bungtilu Laiskodat here on Monday. "Of all the sectors in NTT, only tourism offers a promising future for the welfare of the local community if it is managed properly, but

Ten foreign international jazz musicians will perform at the Asean Jazz Festival from June 22-23 in Harbour Bay, Batam, Riau Islands. The musicians are Erik Hargrove from America, Nathasa Pattamapongs and Arnat Lamwongsrikul from Thailand, Jerry De Leon from the Philippines, Steve Thornton from Malaysia, Jeremy Tordjman from France, Kamal Musallam dari from the United Arab Emirates, Carlos Kamil from Colombia and Ian Iron from Britain. "Actually, many of the jazz musicians want to participate, but they can not because of the limitations of the locations and times," director of Art Asean Jazz Festival Dwiki Dharmawan said here on Monday.

Pink Beach, Komodo Island the provincial government has yet to care for it," Victor remarked. According to the former House member from the Golkar Party faction, the East Nusa Tenggara government, so far, has no vision to develop the promising tourism sector. "The local government is focusing its attention on bureaucratic and political matters only, and fails to think of other, greater opportunities for the welfare of the local people," he continued. According to Victor, although the province is well-known all over the world for its tourist attractions, the government has yet to manage them seriously. He added that the government should begin to realize the importance of tourism for the province and develop it properly to ensure the welfare of the local community.

He explained that even though almost all the districts in East Nusa Tenggara have a wealth of beautiful tourist attractions, the local government does not manage them properly. Victor noted that the province has more than 250 tourist attractions, comprising natural and cultural sites, which can potentially increase local prosperity. The province is also known for its Komodo Island, home to "Varanus komodoensis" - ancient giant lizards that are still living - in addition to scenic hills and the tree-colored lake of Kelimutu. In light of this, Victor added that the next leader of the province should pay more attention to developing tourism.

120 Sailing Ships to Participate in Sail Morotai At least 120 sailing ships from Indonesia and other countries will participate in the upcoming international marine event of Sail Morotai, to be held in the Morotai Islands district, North Maluku, in mid-September 2012. "Sailing ships is one of the Sail Morotai contests," Sail Morotai Committee Chairman Muhadjir Albar said here on Monday. According to Muhadjir, the overseas sailing ships will sail via two gates at Darwin and Kinabalu, and then drop anchor somewhere in Indonesia before converging in Morotai. In addition to the sailing contest, Sail Morotai

Fenny noted that Rp1 billion would be distributed to government agencies, including the agriculture agency, fishery agency, urban planning agency and others. "During this festival, those attending will see cultural shows, fun diving, games like catch the rubbish and cleaning the sea," Fenny added. Fenny hopes this event will increase the number of tourists arriving in Halmahera Barat.

Ten Foreign Jazz Musicians To Perform in Batam

he tourism sector has potential to improve and speed up the economic development in the East Nusa Tenggara (NTT) province, according to local Youth Forum Chairman Kristoforus Tara. "NTT is rich in tourism potential. Almost all the 20 districts in the province have natural, cultural, religious, and marine tourism in abundance," he said here on Sunday. Kristoforus noted that in the Master Plan for the Acceleration and Expansion of Indonesia`s Economic Development (MP3EI), NTT was in Bali-Nusa Tenggara corridor, as the gateway for tourism and national food support. In this corridor, the main economic activities are related to three sectors: tourism, fisheries, and animal husbandry. In this context, he said that tourism must be a leading sector in economic development in East Nusa Tenggara. "The tourism sector should be the pillar of economic development in the province, but in reality the local government is not very serious to manage it properly," Kristoforus added. He stated that if the local government seriously and optimally managed the promising tourism potentials in the province, the economy would certainly grow well.

The Halmahera Barat district government has allocated Rp2.1 billion to promote tourism during the upcoming Teluk Jailolo festival. "Teluk Jailolo festival will be held in May 2012 to promote Halmahera Barat tourism," the head of Halmahera Barat Youth, Sports, Culture, and Tourism agency, Fenny Kiat, said here on Wednesday.

will also organize nautical sports and culture festivals and promote tourism through national and international seminars. Muhadjir remarked that the Sail Morotai event was being promoted in the United States, Australia, and Japan because these three countries had fought on Morotai Island during World War II. He added that infrastructural preparations for the event are currently underway and are expected to be completed on time. Muhadjir noted that the central government had allocated Rp80 billion to fund the construction of infrastructure and facilities for Sail Morotai.

In addition, the North Maluku provincial government has allocated Rp130 billion to promote the success of the international marine event at Morotai Island. Sail Morotai 2012 is organized by the government and is expected to be the principal maritime event for this year`s Sail Indonesia rally. Morotai Island in the Morotai Islands district is famous not only for its natural splendor and the marine beauty of its coral reefs, containing a variety of beautiful fishes and tempting diving sites, but also for historical tourism to view sunken World War II ships.

Morotai Island in the Morotai Islands district is famous not only for its natural splendor and the marine beauty of its coral reefs, containing a variety of beautiful fishes and tempting diving sites, but also for historical tourism to view sunken World War II ships.

Indonesian jazz musicians participating in the festival include Tri Utami, Barry Likumahua and Andien. According to Dwiki, Indonesian and foreign musicians will

Dwiki Dharmawan collaborate during some of the performances. Dwiki said he will play the traditional instrument from West Java, the Angklung, along with jazz, as well as traditional instruments from West Sumatera. "We also try to blend the Malay instrument, Kompang, with jazz," he added. Head of Batam Tourism and Culture Agency Yusfa Hendri said he hoped the Asean Jazz Festival would help to increase the number of Malaysian and Singaporean tourists coming to Batam and Riau Islands. The Asean Jazz Festival is an annual event which was begun in 2008 by the Ministry of Tourism and Creative Economy of the Republic of Indonesia.


The President Post

B4 May 2012

www.thepresidentpost.com

Golf Golf Shoes That Understand You

Good golf shoes keep your feet dry inside when exposed to water or rain and keep them warm inside the shoes. Bad golf shoes will actually do the opposite and can make you to seek a “foot care” after a round. Some golf shoes are designed by well-known companies to give satisfaction to you while playing golf. One of the leading sports apparel

Quoted from golf.com, Chapman led by five after 54 holes

Prior to this week, the only real highlight of Chapman’s pro career was a win in Brazil at a European Tour event in 2000. The European Senior Tour has held only one tournament this year, so Chapman hadn’t played many competitive rounds before coming to Harbor Shores.

m

A

good pair of golf shoes will fit snugly on your feet, keep then warm, dry and comfortable. It will not hurt around the heel, or even make your feet ache after playing 18 holes in a difficult terrain. On the other hand, buying the wrong pair of golf shoes can be an ordeal. Your feet can be in pain, have blisters, ankle and heel pain and can quickly change a game that was initially fun turn into “hell” for your feet in an 18-hole game. In such circumstances, you will not be able to concentrate because the pain is felt on your feet throughout the game.

“Nike Lunar Control”

It is obvious that choosing golf shoes for you, as a golfer, is a very important thing and you should be careful to ensure that the shoes you buy are the things that will allow you to concentrate and help to improve your golf game, rather than cause you are not comfortable when you play.

Making three bogeys in the final five holes, he held on to win comfortably by two shots Sunday, wrapping up a phenomenal performance in which he held at least a share of the lead at the end of each day. The Englishman had never won on the Champions Tour, but he took control of the major championship during the final two rounds.

and was never really threatened on the last day at Harbor Shores. He closed with a 1-over 72 - his worst score of the tournament - to finish at 13under par. John Cook was second after a 69, and Hale Irwin was another stroke back after a 68. Kenny Perry had a tournament-record 62 to finish five shots behind in ninth place.

ital.co

www.esellerpro.com

After taking a nine-stroke lead early in the final round of the Senior PGA Championship, Roger Chapman needed only to play out the remaining holes and savor the greatest moment of his professional life.

mgdig www.c

Good golf shoes keep your feet dry inside when exposed to water or rain and keep them warm inside the shoes. Bad golf shoes will actually do the opposite and can make you to seek a “foot care” after a round.

Roger Chapman Wins PGA Senior

Roger Chapman

Pondok Indah Golf Course: World Class Golf Course in the Heart of the City www.bookyourgolf.net

www.todaysgolfer.co.uk

“Adidas Tech Response” company in the world, Nike, manufactured a product line called “Nike Lunar Control”. These shoes are very popular among golfers. Nike Lunar Control is light-weight and includes bearings that make the user comfortable. This shoe is perfect for those of you who want to linger in the game, for example, talking about business, because the shoes are covered with synthetic leather that provides comfort. The other famous sports apparel company, Adidas, produces golf shoes “Adidas Tech Response”, which is very suitable for normal or warm weather. These shoes are not only light-weight but also

comfortable and breathable, so it’s suitable when used in a warm weather conditions. The design might look a little stiff like a running shoe but it is perfect for those of you who do not play golf too often. If you do not want to pay too much for a pair of golf shoes, Adidas Tech Response is an option ideal for you. It is obvious that choosing golf shoes for you, as a golfer, is a very important thing and you should be careful to ensure that the shoes you buy are the things that will allow you to concentrate and help to improve your golf game, rather than cause you are not comfortable when you play.

Of course, how well your golf shoe lasts is very dependent on how well you take care of them. Always remember to keep your golf shoes clean and dry. It is important to clean and dry after a use and, ideally, golf shoes have to be professionally cleaned every 6 or 10 round. Always check on the shoes’ spike to replace the damaged or missing. This will ensure your shoes stay comfortable on your feet and last longer. If treated properly, golf shoes can not only be comfortable, waterproof and durable, but also last a long time.

A golf course usually has 9 holes or 18 holes that distinguishes it from other fields. The difference is determined by the width of the field. In Indonesia, there are several golf courses that are unique and arouse interest among both national and international players. One of them is Pondok Indah Golf Course. Pondok Indah Golf Course, which was established on August 17, 1976, has a unique design that echoes back to the home of the game, St. Andrews in Scotland. The course follows a relatively narrow belt of land surrounding a low hill; most holes run parallel but in opposing directions to holes on the other half. The circuit returns to the club after nine holes then sets out again to follow a reverse circuit within the earli-

Pondok Indah Golf Course, which was established on August 17, 1976, has a unique design that echoes back to the home of the game, St. Andrews in Scotland. er one. The design is not only unusual but is a clever use of the meandering tributaries of the Grogol River, plus astute strategic bunkering. It rewards accuracy while punishes the wayward player. It is a fine course, which builds up to a

superb finish. Numerous top players have praised its tough but fair hazards, its strategic layout and superb condition. It is an excellent course to test all grades of golfers, from beginners to champions.


The President Post

www.thepresidentpost.com

May 2012 B5

Pictorial Events The 63rd Birthday Celebration of President Director of PT Jababeka

PHOTOS: The President Post/Heros Barasakti

On 26 April 2012, S.D. Darmono, President Director of PT Jababeka, celebrated his 63rd birthday. The celebration was held at Graha Tirtadi on April 28, 2012. The celebration was attended by important guests, including former Attorney General Hendarman Supandji, Governor of Lemhanas Budi Susilo Supandji, Japanese Ambassador to Indonesia Yoshinori Katori and friends of Mr. Darmono. S.D. Darmono is one of the founders of PT Jababeka. He has established several companies and social organizations. In 2005, Asia Business Leader Awards (ABLA) selected him as Indonesia’s Choice CEO of the Year. Currently, he also serves as President of the Indonesia Australia Business Council (IABC) and Chairman of the Pacific Asia Travel Association (PATA).

The celebration was attended by important guests, including former Attorney General Hendarman Supandji, Governor of Lemhanas Budi Susilo Supandji, Japanese Ambassador to Indonesia Yoshinori Katori and friends of Mr. Darmono.

The President Post Talkshow with ICPF The President Post in cooperation with the Indonesia Crime Prevention Foundation (ICPF) held a talk show themed “Cyber Bullying Affects Real Lives!” Cyber bullying is the use of the Internet and related technologies to harm other people, in a deliberate, repeated, and hostile manner. As it has become more common in society, particularly

PHOTOS: The President Post/Heros Barasakti

among young people, legislation and awareness campaigns have arisen to combat it. Erwin Ramali, head of the ICPF, revealed several tips to prevent cyber bullying such as: change email address, change mobile number regularly, never give respond or reply bullying messages/emails, report to parents, and report to the police if the message contains a threat.

PT Jababeka General Meeting of Shareholders PT Jababeka Tbk held an annual general meeting of shareholders which approved Rp 50 million as reserve funds, while the remaining Rp 326 billion will be booked as retained earnings.

PHOTOS: The President Post/Rians Riuco


The President Post

B6 May 2012

www.thepresidentpost.com

Pictorial Events PHOTOS: The President Post/Heros Barasakti

AmCham Breakfast Event The AmCham Indonesia Corporate Citizenship Committee held a breakfast event concerning the findings of an Edelman study on brand marketing. The event featured prominent speakers, namely, Jacob Drake, Senior Technical Adviser, Corporate and Public Affairs, and Henry Manampiring, Brand and Corporate Strategist, from Edelman Indonesia. Also Sinta Kaniawati, General Manager of Unilever Indonesia Foundation, shared Unilever’s experience linking purpose with brands.

PHOTOS: The President Post/Heros Barasakti

Jeep JK Owner (JKO) Community Touring Off Road on Tanjung Lesung Jeep JK Owner (JKO) community held an Off Road touring at Tanjung Lesung, Banten on May 28, 2012. The event was participated by 35 JKO members from Jakarta, Bandung, and Banten. The community also held social activities by providing rice to less-fortunate people at the surrounding areas. Head of JKO Jerry Kurniawan Lo said that the Jeep community in Bant-

en is committed to promote tourism areas across Banten since the province has tourist sites that are still unknown among local and foreign tourists. He added the community is not only for owners or those who are interested in Jeep Wrangler type JK; those with different hobbies and professions are also invited to be take part in sports and social activities to develop tourism sites in Banten and Indonesia.

IndoAutomotive 2012 IndoAutomotive 2012 entered its 5th edition as the highly anticipated Automotive Show in Indonesia. IndoAutomotive 2012 featured the most current and recent in automotive components of cars and motorcycles. The Exhibition is the platform for trade professionals and industry players to engage in exchange of ideas, forge ties and alliances, assess competitiveness of own and other products, leverage themselves against the competition, identify trading partners and form strategic alliances with the prime objective of accelerating and increasing business performance gains and profitability. IndoAutomotive 2012 showcased a comprehensive range of automotive-related products and services, from vehicle parts, accessories, tuning and upgrading devices, maintenance and service stations and more.


The President Post

www.thepresidentpost.com

May 2012 B7

Pictorial Events Indonesia Creativepreneur: It’s Potential and Challenges

PHOTOS: The President Post/Heros Barasakti

Minister of Tourism and Creative Economy Mari Elka Pangestu shows seriousness in developing creative economy since the sector requires special attention and should be widely exposed to the public. “Indonesia has huge potentials in creative economic development. This is because Indonesia has a wealth of nature, art and culture which may be the raw materials of creative industries,” said Mari. In order to develop the creative economy, the Ministry plans to nurture and increase the number of cities to be creative cities. “Currently, there are three creative cities in Indonesia, Bandung, Solo and Yogyakarta. We are still looking for a city that has the potential to be developed into a creative city,” she added.

PHOTOS: The President Post/Heros Barasakti

Dahlan Iskan at the Entrepreneurs Forum Dahlan Iskan shared his story about the evolution of his life, from a journalist who later became head of Java Post and later served as President Director of PLN and now state minister overseeing state companies. He spole to more than 100 best Indonesian entrepreneurs who are members of

Ernst & Young Entrepreneur of the Year program on Entrepreneurs Forum event 2012. At the event, Dahlan gave motivation to entrepreneurs and stated that entrepreneurs must stand on its own competence and not rely on the government.

AGF-BC Community Entrepreneurs Challenge (CEC) Wave III AGF-BC CEC is a competition that aims to identify and support communities that have both the commitment, and the inspiring ideas to start and manage their own enterprises which will help to solve social and environmental problems they face in their communities. Within two years, 2010-2011, CEC has attracted applications from over 700 communities throughout Indonesia. This year, while amplifying

the success of previous challenges, CEC Wave III combines community challenges with youth activism. Under the umbrella competition of AGFBC CEC Wave III, the British Council and Arthur Guinness Fund will be hosting two different competitions: Community Journalism Competition (Application: 12 May - 14 June 2012) and Community Enterprise Competition (Application: 23 July - 24 September 2012).

PHOTOS: The President Post/Rians Riuco


The President Post

B8 May 2012

www.thepresidentpost.com

Pictorial Events Pocari Sweat’s CSR: “Satu Hati Peduli Lingkungan”

PHOTOS: The President Post/Rians Riuco

Citepus beach Sukabumi was the second location of Gerakan Bersih Pantai raised by Pocari Sweat “Satu Hati Peduli Lingkungan.” The movement is part of the corporate social responsibility program of PT Amerta Indah Otsuka as producer of Pocari Sweat in Indonesia, which is committed to educate the public to love the environment and keep the cleanliness of beaches.

PHOTOS: The President Post/Heros Barasakti

Made in Indonesia Expo & Conference 2012 Made in Indonesia Expo and Conference is an event featuring all the potentials and achievements of domestic production. The event was aimed to arouse the enthusiasm of all components to make the production and performance of domestic product as the market leader in Indonesia. This event was successfully held at the Jakarta Convention Center (JCC) 16-20 May 2012

with the number of visitors reaching more than 30 thousand people until the last day. The products on exhibition were, among others, clothing & batik, Gift, IT, Electronics, Craft, Agro, Jewelry & Accessories, Furniture, Garment, Home Decors, Toys, Fish Processing, Banking, Coffee & Herbs, Silk , Food & Beverage, Stationery, Local Products, building materials, etc.

PHOTOS: The President Post/Heros Barasakti

ICE-PO 2012 The rapid growth of the palm oil industry in recent years has brought new opportunities and challenges into the world economy. This presents the need for a platform to discuss strategies and to achieve more sustainable future business for the Industry. ICE-PO 2012 was aimed to create a sustainable platform for industry players to exchange information, ideas, and experience

among producers and consumers on Palm Oil products, and also to provide a unique opportunity to review the progress in Palm Oil development, analyze and overcome challenges that the industry faces today. The International Conference & Exhibition on Palm Oil 2012 was held in Jakarta Convention Center, Indonesia from 9 to 11 May 2012.


The President Post 35th Edition