Riffrag Business & Finance Report

JAKARTA – The government’s policy of China which decided to conduct the flexibility of its currency, the Yuan, will affect the value of imports of goods to Indonesia. Where a capital inflow will still continue.

“Obviously with the existing policy, capital inflow will still continue. It would not have significant influence on the map of foreign capital inflows,” said Director of Economic Research and Monetary Policy Bank Indonesia BI Perry Warjiyo in Building, Jakarta, Monday (21 / 6 / 2010).

Previously, the Government of China issued a policy flexibility for yuan after it was pegged against the U.S. dollar. Perry also said the policy will not affect the flow of Indonesian export goods to China. The reason for this Indonesian export more raw materials.

Nevertheless, he continued, Yuan flexibility will affect the activities of China’s imports of goods.

He said that prices of goods entering China will be more expensive than ever. Looking ahead, exports to China will still continue. “If for imports, China’s goods more expensive to make,” he concluded

- The realization of the People’s Business Credit (KUR), which is distributed by PT Bank Negara Indonesia Tbk (BBNI) reached Rp1, 7 trillion over the first half of 2010, the government budget allocated KUR for BNI Rp3T counted.

“What has been identified amounting to Rp2, 5 trillion. How to do it is to work closely with industry so small that coaching is more efficient,” said Minister of State Owned Enterprises (SOEs) Mustafa Abubakar said here on Monday (6/21/2010),.

According to him, the President has mandated, this year must be disbursed KUR Rp20 trillion. Besides through BNI, he added, KUR also channeled through Bank Mandiri Rp3 trillion, trillion Rp8 BRI, BTN Rp750 billion and Rp750 billion Bukopin.

“The rest of Rp4, 5 trillion again, channeled through rural banks and local development banks in all regions throughout Indonesia,” he said.

Mustafa optimistic, KUR distribution amounting to Rp20 trillion will be absorbed optimally. Meanwhile, Vice President Director of BNI Felia Salim says it has managed to channel the KUR at Rp80 billion for the creative industry in Indonesia.

“That’s the fifth largest creative industry sub-sectors, namely handicrafts, fashion, IT and appliances, photography and design.’s Already disbursed over two years,” said Felia.

According Felia, BNI to support the creative industries that are initially non-bankable industry and become bankable. “If the first non-bankable, we studied the flow capacity development. BNI will provide the right target, “he said

JAKARTA – The government opened the door for PT Pertamina (Persero) to find the loan amounting to USD1, 5 billion from international financial institutions. Because, Pertamina has not determined will request the loan to which side.

“We have already approved several loans to foreign countries to SOEs. One of them Pertamina for USD1, 5 billion,” said Mustafa Abubakar, Minister of State in the Office of Coordinating Minister for Economic Affairs, Jalan Banteng Square, Jakarta, Monday (06/21/2010).

Although already approved, but until recently Pertamina has not determined which side will be asked for a loan, but his plans remain to be realized in this year. “I can from anywhere, can the World Bank, ADB and others,” he explained.

Later, the proceeds from the loan would be used by companies that red plate for expansion and investments this year. “The important thing is we approve of,” he said

JAKARTA – PT Bank Maybank Indocorp, banks owned by Malayan Banking Berhard (Maybank) from Malaysia in Indonesia will be converted into Islamic banks.

“We’ve listened to (the plan) Maybank in Indonesia will be converted, but it is formal yet (submitted),” said Director of Bank Indonesia Sharia Banking Ramzi A Zuhdi to the press in Jakarta, Sunday (9/11/2008).

Later sharia business unit (UUS) in Bank Internasional Indonesia (BII) recently acquired by Maybank will be merged in the Islamic bank. “They will combine UUS property into Maybank BII,” he said.

Besides Maybank, an Islamic bank of a joint venture between Bank of the West Java Regional Development with dubai investors will soon stand. “Before the end of this year,” he said.

BPD Jabar Banten will spin off the business unit for later merged syariahnya in sharia banking joint venture. He added, for the initial capital in accordance with the provisions of the BI to make a new bank that is Rp1 trillion.

Presence of a new Islamic banks, according to him, yet can accelerate the growth of five per cent of Islamic banking. “We still need time, let alone the current economic conditions are still Gonjang-ganjing,” he said.

Director of Bussiness Consultant Adiwarman Karim Karim said, in 2009 is expected to add nine new Islamic banks to become commercial banks 12 sharia.

According to him, of the nine new bank, was founded by six local banks and three of them were founded by Middle Eastern investors. With the addition of these nine banks, according to him will make the share of sharia

LONDON – A group of international banks and regional meeting with the Dubai World for the first time on Monday to discuss efforts to restructure the company in debt for $ 26 billion.

As quoted by Reuters on Tuesday (8/12/2009), the meeting was reported the Financial Times is a long process. Where this meeting also involved the major creditors who wish set up a committee.

In addition, the process of debt restructuring is key to the Islamic bonds or sukuk, issued by Nakheel, a company’s real estate subsidiary of Dubai World, which is scheduled to be redeemed on December 14, for $ 4, 05 billion.

The report quoted from someone close to the negotiations say that there are different opinions among the borrowers.

“Some lenders think if there is bad credit, everyone must stop. On the other hand, some people believe that the sukuk must be paid back by all means,” the source disclosed.

In addition, companies listed on the London Standard Chartered, HSBC, Lloyd, and Roy Bank of Scotland (RBS.L) is scheduled to attend the meeting along with the borrower from the United Arab Emirates Abu Dhabi Commercial and Emirates NBD.

Central Bank of United Arab Emirates have also told local lenders to report their exposure to the Dubai World and related entities.

As is known, a consortium of Dubai World has recently asked for suspension of debt payments (standstill) to six months to foreign creditors. Dubai World requested postponement until May 2010.

Debt that must be borne by Dubai World for $ 60 billion. When including interest, which must bear the burden of corporate groups that government support be approximately $ 80 billion.