• Consumer Price Index Indonesia: Inflation 0.96% in December; 3.35% in 2015

    Indonesia's inflation figure in December 2015 was higher than expected at 0.96 percent month-on-month (m/m). The monthly inflation rate was high due to rising prices of food and transportation caused by the Christmas and New Year celebrations. Nevertheless, Indonesia's annual inflation rate fell to the lowest level since 2010 as the impact of the November 2014 subsidized fuel price hike vanished from the annual inflation figure, hence inflation realization falling well below the government target (5 percent) and the central bank's target range (3 - 5 percent) in 2015.

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  • Manufacturing Industry Indonesia Contracts for 15th Straight Month

    The latest survey from Nikkei showed that Indonesia's manufacturing sector contracted for the 15th straight month. In the last month of 2015 factory activity in Indonesia showed a reading of 47.8, improving from a reading of 46.9 in November but remaining stubbornly below the 50.0 level that separates contraction from expansion. Since October 2014 Indonesia's manufacturing purchasing managers' index (PMI) has been in contraction.

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  • Growth of Indonesia's Shoe Export to Persist in 2016

    While the domestic market remained sluggish, exports of Indonesia's footwear and shoe products show a more positive development. The Indonesian Footwear Association (Aprisindo) estimates that the nation's footwear exports rose 6.8 percent (y/y) to USD $4.7 billion in 2015. Based on the latest data from Indonesia's Trade Ministry, Indonesian footwear/shoe exports reached USD $3.66 billion in the January-October 2015 period, up 10 percent from exports in the same period one year earlier. Eddy Widjanarko, Chairman of the Aprisindo, added that exports have risen both in terms of value and volume.

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  • Stock Market Indonesia: Prognosis Jakarta Composite Index in January

    Last year the benchmark stock index of Indonesia (Jakarta Composite Index) fell 12.13 percent to finish at 4,593.01 points on 30 December 2015 amid severe global uncertainty due to looming tighter monetary policy in the USA and the rapid economic slowdown of China. Today, the Indonesia Stock Exchange will have its first trading day of the new year. What do we expect from the performance of Indonesian stocks in January 2016?

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