Costly logistics, electricity, labor keep firms from investing in Batam
Topics : Indonesia’s economy shrank by 5.32 percent year-on-year (yoy) in the second quarter as economic activity fell after the government imposed large-scale social restrictions (PSBB) to curb the spread of COVID-19.Indonesia’s total investment still grew by 1.8 percent yoy in the first half of 2020 to Rp 402.6 trillion (US$27.5 billion), although foreign direct investment (FDI) fell by 8.1 percent yoy over the same period, according to Investment Coordinating Board (BKPM) data.Meanwhile, the data also showed that the FDI in Riau Islands from January to June this year dipped 15.3 percent yoy to $767.5 million from the same period last year.Indonesian Chamber of Commerce and Industry (Kadin) Singapore committee chairperson Michael Goutama echoed the sentiment, stating that the government should solve the underlying problems in the Batam FTZ.Seaport infrastructure development in Batam should be the government’s top priority, followed by human capital development, the electricity cost and social stability in the region, according to Michael.“Investors see Batam as a promising place to do business. However, we need to solve the underlying issues in the region to lure investment,” he said.In January, state port operator PT Pelabuhan Indonesia II (Pelindo II) signed an agreement with BP Batam, the authority of the Batam FTZ, to develop Batu Ampar Port, with work slated to begin this year.The development will see the container stacking area of the port expanded from the current 2 hectares to 12 ha, while the container loading and unloading performance would see an upgrade to 20 containers per hour from an average of 5 containers per hour.Susiwijono Moegiarso, the secretary of the Office of the Coordinating Economic Minister, said the government was planning to place the FTZ authorities of Batam, Bintan, Tanjung Pinang and Karimun Island—all located in Riau Islands—under a unified council led by the coordinating economic minister, in order to simplify licensing processes.Bintan, Tanjung Pinang, and Karimun Island’s FTZ authorities are currently under the leadership of the Riau Island governor, unlike BP Batam, which is directly led by the coordinating economic minister, Susiwijono explained.“We are currently mulling the masterplan for FTZ authorities’ integration. Through the integration, we could reduce the bureaucratic complexity and unify FTZ asset ownership,” he said.Besides the integration of FTZ authorities, the government is planning to establish six special economic zones (KEK) within the Batam FTZ. It has recently approved the establishment of maintenance, repair and operations (MRO) at the Hang Nadim KEK and the Nongsa Digital Park KEK with estimated investment of Rp 6.2 trillion and Rp 16 trillion, respectively.Additional investment incentives, such as 100 percent corporate tax holiday, value added tax (VAT) and luxury tax exemptions for imported goods and import duty deferment for raw materials, will be provided for companies operating inside the KEK, according to Susiwijono.“We will also allow 100 percent foreign ownership of companies within the enclave [KEK] and apply a zero-percent duty for products with at least 40 percent local content,” he added. High costs for logistics and electricity in Batam are burdensome for business, hampering the government’s effort to attract investors to the free trade zone (FTZ) in Riau Islands, business players have said.Abidin Hasibuan, the president director of publicly listed electronics manufacturer PT Sat Nusapersada, said on Thursday that container shipment costs from Batam remained uncompetitive given the poor infrastructure and inefficiency of the area’s main seaport, Batu Ampar Port.“Shipping containers from Jakarta to Hong Kong is around 50 percent cheaper than from Batam. That doesn’t make sense, as Batam is closer to Hong Kong than Jakarta,” he said during an online discussion held by Media Indonesia.
Furthermore, high electricity and labor costs on the islands also make Batam less competitive than other countries, and that is especially dire for industries relying on exports, according to Abidin.“We are lucky that the rupiah is still relatively weak compared to the US dollar. If the rupiah strengthens to Rp 12,000 per dollar, then we are done,” he said.The rupiah gained slightly against the US dollar on Monday at Rp 14,547, an improvement from its steep depreciation in March at around Rp 16,500 per US dollar, the lowest since the 1998 crisis.The government has taken measures to woo investors with new regulations and tax deals for the Batam FTZ that it expects to aid the region and national economic rebound after the pandemic.
The British government will routinely deny asylum to migrants who board boats to cross the English Channel or come to Britain through illegal routes, the Sunday Times reported.Under new laws that will be unveiled by Britain’s interior minister Priti Patel on Sunday, the government will unveil its “fair borders bill,” outlining its plan of a two-tier system in which migrants are treated differently if they pay criminal gangs to help them come to Britain, the newspaper said.New legal routes will be created for those who are at genuine risk of harm, and foreign criminals and asylum seekers who are not at risk will be deported, the report added. “Currently, everybody that comes to our country and makes an asylum claim, they are treated the same, irrespective of the route through which they have entered our country – and that simply isn’t right,” Patel said.Earlier this week, the British government came under fire after media reports revealed it had studied housing asylum seekers on disused oil rigs, banishing them to camps in Moldova or Papua New Guinea, or building floating walls in the sea to keep them out.Topics :
We at PennDOT are doing our part to make sure we operate as efficiently as possible. We have set new goals that include delivering efficient winter operations, roadway maintenance and bridge improvements, investing in state of the art equipment and I-T and making the best use of technology to deliver our services.One example of using technology to improve winter services is Governor Tom Wolf’s recent announcement of the expanded pilot of our Automated Vehicle Location (AVL) system in more than 500 PennDOT plow trucks and more than 200 contracted rental trucks. The system will allow us to better manage storms and later this winter, give our customers the opportunity to go on 511 PA and see just where trucks are operating.We are working hard at PennDOT every day to keep you moving. We prepare to enter 2016 with a renewed commitment to put your dollars invested with us to effective and efficient use. By: Leslie S. Richards, Secretary of Transportation Read more agency year in review blog posts.Like Governor Tom Wolf on Facebook: Facebook.com/GovernorWolf Government That Works, Infrastructure, The Blog, Transportation, Year in Review Over the last year, PennDOT’s 12,000 employees have worked diligently to keep the roads and bridges of the commonwealth safe, and our operations transparent to the public.On the road and bridge system, we have started work on nearly 600 projects worth nearly $2.5 billion, almost double what we were able to do about two years ago. We improved more than 6,000 miles of pavements this year, including over 200 miles in the five-county Philadelphia region.Watch Secretary Leslie S. Richards talk about how the Department of Transportation delivered transportation value in 2015.We are fixing more bridges and making headway against the backlog of bridges in need of immediate repair. We have reduced the number of structurally deficient bridges by 2,000.More resources are going to your communities to fix local roads as well. Local communities will receive nearly $434 million this year, a 35 percent increase from only two years ago.Because we know transparency and proactive communication with the public and stakeholders is critical, we launched a new website this year showing where investments are being made across the state.The website – Projects.PennDOT.gov – features statewide and county updates on:Construction projects that are underway or will be bid or begin this yearProjects that are completed, underway, planned or in development because of Act 89’s historic investmentProjects included in the department’s Four and Twelve Year Plans. January 14, 2016 BLOG: PennDOT Delivering Transportation Value SHARE Email Facebook Twitter
The main geographical change in asset allocation was a 10 percentage-point reduction in Latvian securities, to 33%.The review’s authors bemoaned the lack of domestic long-term savings instruments other than government securities and Latvenergo (green energy) bonds, and called for a greater use of financial instruments other than loans for state and local government project financing, as well as the development of real estate and forest funds.The latter have been already been launched in Estonia as an alternative asset for institutional portfolio managers.Latvian pension funds’ exposure to eastern European securities increased by five percentage points to 25%, and to North America from 4% to 8%. Exposure to western Europe fell from 16% to 14%.The active plans took advantage of stock market rallies, increasing their equity and equity fund exposure over the year by 4 percentage points to 30%, while allocation to bonds and bond funds grew from 49% to 55%.These shifts were largely at the expense of cash holdings, which fell from 15% to 7%.The balanced funds, with 16% in equities and 74% in bonds, recorded minimal changes, while the main shift in the conservative funds’ structure was a 4 percentage-point increase in bond holdings to 82%.Total net assets grew by 18.3%, or approximately €428m, year on year to €2.8bn. Of this, €53m came from investment profits and the remainder from the 6% social security contribution.Membership rose slightly, by 1.1%, to 1.27m.The much smaller voluntary third pillar generated better results, with the average return up by 1.1 percentage points to 3.38%.As in the case of the second pillar, the active funds generated the best results, of 4.34%, compared with 3.34% in 2015.Of the 11 active funds, the two US dollar-denominated plans returned an average 2.87%, against 4.40% from the remaining euro-denominated ones.The four balanced funds raised their returns from 1.71% to 2.81%. The annual gain from First Closed Pension Fund, for Latvia’s state-owned electricity utilities and part-state-owned telecommunication company employees, increased from 1.75% to 2.98%.Geographically, asset allocation likewise shifted out of Latvia, which accounted for 26% of the aggregate portfolio.Western Europe accounted for 24%, eastern Europe 17%, and global securities 16%. Membership grew by 6.8% to 272,237, and assets by 15.2% to €381m. Latvia’s second and third-pillar pension funds recorded a modest increase in 12-month returns for 2016, according to the Association of Commercial Banks of Latvia (LKA).The weighted average return for the mandatory second-pillar funds rose to 2.02%, from 1.93% a year earlier.The eight active, equity-weighted funds generated the best results, gaining 2.24% compared with 2.29% in 2015.The returns of the four balanced funds rose from 1.43% to 2.01%, while those of the eight conservative funds remained unchanged at 1.26%.
He told IPE the association saw itself less as a lobbying organisation and more as a think tank aiming to promote best practice. It would focus on identifying examples of this from outside Germany through discussions with institutional investors in other countries, he said. Thomas Jesch, managing director, biiIt will concern itself with the interests of a range of German institutional investors, from corporate investors and family offices to the country’s different pension vehicles – Pensionskassen, Pensionsfonds and Versorgungswerken – and other types of institutional investors.At the international level, bii will co-ordinate with organisations such as France’s af2i, the Council of Institutional Investors in the US, and INREV, the European association for investors in non-listed real estate vehicles.The seven founding members of bii are Aquila Capital, GSK Luxembourg, Hauck & Aufhäuser, Pensions-Akademie, Simmons & Simmons, Spudy Family Office und TH Real Estate/Nuveen.Benedikt Weise from Simmons & Simmons, Michael Klauke-Werner of TH Real Estate, and Ludger Wibbeke from Hauck & Aufhäuser are the other board members alongside Jesch. Bii is due to meet with aba next month in Berlin.Klaus Stiefermann, secretary general of the German occupational pensions association, said there were plenty of topics affecting workplace pension providers as institutional investors, such as the “massive increase” in financial market regulation since the financial crisis of 2007-08 and the persistent low interest rate environment.There were many areas where aba and bii could pull in the same direction, he said, and there were many other institutional investors, too.“There’s a lot to be done,” he said.The new institutional investor association aims to be operational after the summer after adding more members. A new asset owner association has been formed in Germany with the intention of creating an international exchange of ideas and best practice. Established in Frankfurt last month, Bundesverband Institutioneller Investoren (bii) aims to support and promote the professionalisation of institutional investment in Germany through exchanges between its members and with lawmakers, regulators and other trade or industry associations.According to Thomas Jesch, managing director of the association, its establishment was intended to fill a gap in Germany, where, unlike in some other countries, there was no overarching association for asset owners in general.There are several asset management associations in Germany – the biggest being BVI – and various industry or professional organisations, such as GDV for insurers and aba for occupational pension providers, but Jesch noted there was no association for asset owners overall.
Keith and Therese Helly and their children Ena (4) and Ailbhe (5) outside the Ascot home they are selling. Picture: AAP/David Clark.HOMEOWNERS and would-be buyers are revelling in the potential savings from this week’s historic interest rate cut, with some ready to splurge on a holiday, eat out more or upgrade to a bigger house.Analysis provided exclusively to The Courier-Mail by realestate.com.au reveals exactly how much borrowers could benefit from the potential savings if they have a mortgage or are looking to take on a home loan.Upgraders are set to be the biggest winners, with the potential to save $1500 a year on an $880,000 mortgage — more than enough to pay for a romantic weekend away.RELATED: What the interest rate cut means for the market Home Loan (P & I) 3.49% (If cut passed on in full) Purchase price Govt fees 20% deposit Total borrowing Monthly repayments Annual savingsFIRST HOMEBUYERS – under $650k $650,000 $17,060 $130,000 $520,000 $2,332 $876FAMILIES – $650k to $1.1m $900,000 $29,160 $180,000 $720,000 $3,229 $852UPSIZERS – $1.1m + $1.1m $40,090 $220,000 $880,000 $3,947 $1,476(Source: realestate.com.au) This four-bedroom house at 14 Mackellar St, Teneriffe, is for sale for $1.9m to $2.1m.HOW MUCH COULD YOU SAVE? This three-bedroom house at 54 Camp St, Toowong, is on the market for offers from $980,000.The research looks at three different price brackets — first homebuyers, families and upsizers — and how much they could potentially save on loan repayments based on a 3.49 per cent variable interest rate if their lender passed on the 0.25 per cent rate cut in full.The calculations have been generated from the realestate.com.au Home Loans calculators and assume a 20 per cent deposit on top of associated government fees, a loan term of 30 years, and principal and interest repayments. This five-bedroom house at 837 Cavendish Rd, Holland Park, recently sold for $1.9m.Ray White managing director Dan White said the federal election outcome, combined with this week’s rate cut, would provide a “shot in the arm” for the property market.“We’ve already seen a noticeable change in the atmosphere in the last few weeks with increased inspection numbers and people more willing to raise their hand at auctions again,” Mr White said.“We’re also now starting to see early signs of more listing activity.“Along with the recent federal election result, APRA’s policy changes and improved auction activity, this decision by the RBA gives more confidence to buyers to enter the market, knowing that key downside risks have been mitigated.” The Reserve Bank of Australia cut the cash rate for the first time in nearly three years this week. Image: AAP/Bianca De Marchi.Home hunters who have been sitting on their hands for months are ready to get back into the market and listings are on the rise as confidence picks up in the wake of the federal election outcome, the first interest rate cut in almost three years and the promise of more to come.But Ms Wall said it was important for borrowers to remember the money saved from an interest-rate cut could be useful, but not life changing.“I think for people who want certainty around their expenses, and who are perhaps borrowing towards the edge of what they can afford, taking a conservative approach to all of this is the best bet for long term security,” she said. Brisbane couple Therese and Keith Helly have just put their Ascot home up for sale — and the timing could not be better.“With all the uncertainty, both politically and with the rate cut, it does make it a little bit more achievable for people who were previously umming and ahhing about getting in to the market,” Mrs Helly said. First time homeowner Stephen Nardi at the Lucent Gasworks building in Newstead. Picture: AAP/David Clark.Brisbane buyer Scott Smith recently upgraded to a five-bedroom house in Holland Park and is looking at a potential saving of more than $1500 a year as a result of the rate cut.But Mr Smith said he would use the extra money to reduce his new mortgage, rather than spend it. More from newsParks and wildlife the new lust-haves post coronavirus12 hours agoNoosa’s best beachfront penthouse is about to hit the market12 hours ago“It’s certainly going to be a benefit, and another couple (of interest rate cuts) in the offing will help,” Mr Smith said.“The other big benefit for me is that it should stimulate interest or confidence in the market, which is good because I’ve still got to sell my other house as yet.” Ms Wall said families were more likely to spend the savings on school fees or adding an extra couple of days to a family holiday.“Families may also want to use it to get a new couch or TV,” she said. Those borrowers in the $1.1 million plus segment of the market might consider looking at upgrading to a suburb they have always wanted to buy their forever home in.“These amounts are also great to put in the offset account to top up big mortgage payments,” Ms Wall said. 
This three-bedroom house at 156 Homestead St, Moorooka, is on the market for $609,000.Realestate.com.au general manager of financial experiences Eloise Wall said first homebuyers had a reputation for being reckless spenders, but were actually more likely to use the savings from the rate cut to reduce their mortgage or to set up their new home.“Quite often younger people will put that money into their offset account and use it to further reduce their costs,” Ms Wall said.“With the government trying to stimulate the economy this way, some retail spending is great for everyone in terms of getting set up, but money saved sooner is going to pay off better for first homebuyers in the long run.” MORE: Where it’s cheaper to buy than rent MOST POPULAR SUBURBSFIRST HOMEBUYERS (Under $650,000)Suburb Median Sale Price (12 months) YOY Change In Median Sale PriceMount Gravatt $647,000.00 -0.46%Ferny Hills $563,000.00 2.36%Chermside West $580,000.00 -1.69%Stafford Heights $600,000.00 1.35%Moorooka $635,000.00 -0.78%FAMILIES ($650,000 — $1.1m)Suburb Median Sale Price (12 months) YOY Change In MedianS ale PricePaddington $1,050,000.00 -2.78%Highgate Hill $1,002,000.00 -1.52%Toowong $872,500.00 9.40%Wilston $902,500.00 4.34%Windsor $810,000.00 0.27%UPSIZERS ($1.1m plus)Suburb Median Sale Price (12 months) YOY Change In Median Sale PriceNew Farm $1,400,000 -9.68%Ascot $1,400,000 -1.06%Teneriffe $1,462,500 -9.44%Chandler $1,750,000 16.28%Bulimba $1,390,000 7.34%(Source: realestate.com.au) While first homebuyers could save around $800 a year on a $500,000 mortgage, which would pay for a fridge or washing machine for the new house.And it would allow families saving $852 on a $720,000 mortgage to fork out that bit extra for school fees. This five-bedroom house at 50 Massey St, Ascot, is for sale for $3.395m.The young couple, who have two children and are expecting a third, plan to use the savings they will make as a result of the interest rate cut to upgrade to a bigger house.“We want to stay in the area so this gives us a bit of room to move in terms of what we’re looking for,” Mrs Helly said.“The rate cut will help us to afford a bit of a bigger house.”Alex Rutherford of Place Estate Agents, who is marketing the property at 25 Hopetoun Street, said she believed most borrowers would use the savings from the interest rate cut to pay down their mortgage, but some spent the money on eating out more or setting up a home. “Buyers on the mortgage belt will definitely be feeling a bit more confident,” Ms Rutherford said.“That extra $50 to $100 a week will be great for them.“Most will use it to slice off their mortgage quicker, but I have seen — especially the younger generation — tend to spend more on setting up the home. “And depending on the age bracket, they go out to dinner more.” This three-bedroom house at 25 Hopetoun St, Ascot, is going to auction.First homebuyer Stephen Nardi recently bought a two-bedroom apartment in the luxury residential development, Lucent Gasworks, in Newstead.Mr Nardi is likely to save around $600 to $700 a year as a result of the interest rate cut and plans to use it to pay off more of his home loan.“I might look at buying some more furniture too,” Mr Nardi said.He had saved a 30 per cent deposit for the apartment and plans to pay down more of the mortgage and buy another property. How homeowners can take action on RBA cut
BACOLOD City – A man was found dead in asugarcane field in Barangay Burgos, Cadiz City, Negros Occidental. Besa’s lifeless body was found by JohnPaul Carabaña when he passed by at the said place around 11 a.m. on March 1, apolice report showed. Besa’s body was brought to the CadizCity Emergency Clinic for a “post-mortem” examination./PN BY CYRUS GARDE AND MAE SINGUAY According to the victim’s father Roberto,his son sleeps anywhere whenever drunk and he has no enemy in the place. The cause of his death was notimmediately established. Police identified him as 47-year-oldresident Jovy Besa.
TennisBatesville Varsity defeated Greenfield-Central 3-2.Batesville JV won 8-0.Batesville vs. GC (9-24)Submitted by Batesville Coach Mike McKinney.Cross CountryConnersville Invitational.Boys-South Dearborn places 1st, Batesville 2nd, East Central 5th, and Franklin County 9th.Boys CC Connersville InvitationalGirls-Batesville 1st.Girls Connersville InvitationalSubmitted by Batesville Coaches Tom Barnett and Lisa Gausman.VolleyballBatesville Varsity defeated Rushville 25-17, 25-11, 25-17.Batesville vs. Rushville Varsity (9-24)Batesville JV won 25-14, 23-25, 15-5.Batesville vs. Rushville JV (9-24)Submitted by Batesville Coach Jody Thomas with Max Preps.Jennings County 7th Grade beat Batesville 25-13, 25-6.JC 8th Grade won 25-21, 24-25, 15-12.Submitted by Batesville Coach Jody Thomas.St. Louis 7th Grade won over Jac-Cen-Del 20-25, 25-24, 15-14.STL 8th Grade won 25-18, 21-25, 15-6.Submitted by STL Coach Jill Reidy.FootballBatesville 7th Grade Team victorious against Milan.Submitted by Batesville Coach Tony Gausman.
BROOKVILLE, Ind. — White’s Farm Flea Market in Brookville recently announced that it is expanding Twilight Tuesday.Last year, Whites held Twilight Tuesday on certain Tuesday’s.This year, they will be holding it every week.Twilight Tuesdays are 4:00 pm to dark every Tuesday beginning today and running through October 10.
TONOPAH, Nev. – Both a $1,000 prize and berth of the ballot for the Fast Shafts All-Star Invitational are on the line in Tonopah Speedway’s Saturday, May 28 Jim Butler Day special main event for Xtreme Motor Sports IMCA Modifieds.All applicable points, including local track points, will be awarded and the Modified entry fee is $100.Pit gates open at 3 p.m., hot laps are at 5 p.m. and the drivers’ meeting is at 5:30 p.m. The grandstand opens at 6 p.m. and racing starts at 7 p.m.Spectator admission is $10 for adults, $5 for seniors, military and kids ages 7-14, and free for six and under. Pit passes are $25.More information is available by calling 775 294-3006 and at the www.tonopahspeedway.com website.