Indonesia has been one of the most lucrative investment destinations in the Asia-Pacific, given the positive performance of the stock market and its stable currency. This is evidenced by foreign ows into the stock market reaching 28.76 trillion IDR (2.22 billion USD) in the last 12 months.
At the end of the rst round of the tax pardon program, the country saw declared assets of 3,622 trillion IDR. Previously, JP Morgan predicted new asset declaration would be less than 2,000 trillion IDR by the end of the third round of the program in March 2017. Looking at the result of the rst round of the program, it seems like the brokerage house will have to drastically revise their projection.
Logistics service providers gear up for e-commerce boom
As Indonesia stands to see a boom in its e-commerce industry, logistics service providers are forced to prepare to cater to a growing number of customers. It’s indeed challenging to be a courier provider in Indonesia, a country scattered over 17,500 islands, in which most of the infrastructure is poorly developed.
With such a situation and lack of proper infrastructure, speedy delivery is a Herculean task and it may be even harder in the future, considering that the government plans to turn Indonesia into the biggest digital economy in Southeast Asia by 2020, with a targeted transaction value of 130 billion USD.
A study from management consulting rm McKinsey also shows that online sales could make up 7 to 8 percent of the country’s total retail market by 2020 from about 1 percent currently.