West Papua declares provisional government (Nov 27-Dec 4)
Indonesia slams independence movement
Hello Coconauts!
Indonesia is facing what it would describe as a potential insurgency crisis after West Papua declared a provisional government this week. Iron-fisted against all forms of “separatism” from the region, the government has harshly condemned the movement, with one senior minister labeling it an “illusion.”
In COVID-19 news, Indonesia yesterday shattered its daily record, while government officials are being diagnosed with the disease left, right, and center, including Jakarta’s governor. The latest developments certainly don’t bode well for the country, which is set to hold nationwide regional elections on Dec. 9 and go on a somewhat extended end-of-year break.
Stay safe and we’ll see you next week!
COVID-19
The latest
Indonesia recorded 8,369 new COVID-19 cases on Dec. 3, which is by far the highest daily spike to date. The previous daily record was 6,267 cases on Nov. 29.
The new record was, in part, attributable to Papua’s uncharacteristic sudden spike in cases. The province reported 1,755 cases on Dec. 3, which represent 17% of its total caseload.
But Papua’s COVID-19 task force played down concerns of a sudden outbreak, saying the Dec. 3 numbers represent an accumulation of data from the past two weeks due to technological limitations in the province.
Officially positive
Jakarta Governor Anies Baswedan has tested positive for COVID-19, days after Vice Governor Ahmad Riza Patria was diagnosed with the disease. Neither showed serious symptoms and both are leading provincial government meetings virtually from self-isolation.
Riau Governor Syamsuar also tested positive on Dec. 1 and was admitted to hospital with mild symptoms. In total, eight provincial leaders or their deputies have been diagnosed with COVID-19 since the outbreak began.
One member of cabinet, Manpower Minister Ida Fauziyah, also tested positive this week and is now in self-isolation. She is the fourth minister to be diagnosed with the disease.
Time to vote
The General Election Commission (KPU) has pledged to pick up votes from COVID-19 patients, whether they’re in hospital quarantine or in self-isolation, ahead of the nationwide regional elections on Dec. 9. The commission has come under increased fire for its insistence on carrying out the elections during the pandemic, with critics accusing them of prioritizing politics over health.
On Dec. 9, Indonesia is set to hold simultaneous regional elections in which nine provinces, 37 cities, and 224 regencies will be going to the polls. The government has mandated a national holiday for election day.
Interrupted break
Speaking of holidays, the government has finally shortened the end-of-year break amid recent spikes in cases. Initially scheduled for a stretch of 11 days from Dec. 24 to Jan. 3, the government has cancelled three collective days in between. Now, Indonesians are expected to go to work on Dec. 28-30, a period that is sandwiched between two long weekends for Christmas and New Year.
Recommended reads
After one year since the emergence of the coronavirus in December 2019, Indonesia is still nowhere near controlling it. We have also learned that not everyone has a sufficient foundation of knowledge to cope with a large-scale pandemic in Indonesia. Not only can civilians unknowingly follow incorrect information and conspiracy theories, but also government officials are, to some degree, lacking proper scientific understanding as seen from their confusing policy-making during the pandemic.
Business and the economy
Superapps’ super union
Singapore-based Grab is in a position to make acquisitions, an internal memo by CEO Anthony Tan said, amid strong rumors that the superapp is close to a merger with Indonesia-based rival Gojek. It’s not yet clear what the potential merger would specifically entail.
Grab is Southeast Asia’s biggest start-up, with an estimated value of over US$15 billion. Gojek, which, like Grab, began as a ride-hailing service before evolving into a superapp, is second with an estimated US$10 billion value.
Stimulus into 2021
Bank Indonesia (BI) has pledged to extend monetary stimulus into 2021, agreeing to President Joko Widodo’s request that the central bank play a greater role in boosting economic recovery.
BI says it expects Indonesia’s economic growth to rebound to a range of 4.8 percent to 5.8 percent in 2021, compared with a contraction of 1 percent to 2 percent in this pandemic-ravaged year.
Tourism holding
President Joko Widodo has approved plans to place eight state-owned enterprises operating in the tourism sector, including flag carrier Garuda Indonesia and airport management firm Angkasa Pura, under a holding company named Subai Udara Penas.
Among other functions, Subai Udara Penas would help address uneven distribution of domestic flights across the archipelago. The idea is for the holding company to fix inefficiencies in the pandemic-battered tourism industry ahead of its post-pandemic relaunch.
Resilient lender
Bank Rakyat Indonesia (BRI) was named the most resilient state-owned enterprise by Bisnis Indonesia magazine in honor of its positive performance amid mounting challenges during the ongoing pandemic.
Despite the country’s recession, BRI managed to appreciate in value this year, growing by 10.89 percent year-on-year to IDR1.447 quadrillion (US$102 billion) in Q3 2020. The lender recorded a profit of IDR14.15 trillion (US$999 million) during this period.
Recommended reads
Disrupting the Investment Climate -- One Spice at a Time (Jakarta Globe)
One new private investment fund in Indonesia has changed the traditional model of risk versus reward. Sindo Group, started by entrepreneurs Timothy Young and Brandon Conboy, is targeting the underdeveloped and long-avoided mom-and-pop (or Micro, Small and Medium Enterprises, MSMEs, etc) within the spice farming and manufacturing sectors.
Global firms remain upbeat about Indonesia’s digital economy (The Jakarta Post)
When you look at the declining FDI realization in Indonesia in the second quarter this year, it does not look so encouraging: the Investment Coordinating Board (BKPM) revealed in July 2020 that FDI fell 6.9 percent year-on-year (yoy) to Rp 97.6 trillion (US$6,93 billion) in the April-June period, continuing the downward trend that had started in the first three months of the year.
Yet, amid such a gloomy picture, it turns out that global firms are still quite upbeat about the potential of the Indonesian digital economy, particularly that of local e-commerce and financial technology (fintech) platforms.
Across the archipelago
West Papua takes step towards independence
West Papua’s independence movement leaders have declared a provisional government, with United Liberation Movement for West Papua (ULMWP) leader Benny Wenda — who is living in exile in the UK — elected as interim president.
The declaration, made on the Dec. 1 anniversary of West Papua’s independence from Dutch colonial rule in 1961, came after the UN said it was “disturbed by escalating violence” in the past months in the province, including the killing of a child allegedly by security forces.
Indonesia’s Coordinating Legal, Political, and Security Affairs Minister Mahfud MD slammed the declaration, saying a West Papua state is a mere “illusion” and called for the movement leaders’ arrest for treason. Nevertheless, Wenda said he would be prepared to speak with President Joko Widodo about West Papua’s independence.
West Papua was militarily annexed by Indonesia in 1962 . It was formally incorporated into the republic following a UN-backed referendum in 1969, which has been widely condemned as fraudulent with Papuans coerced into voting in favor of Indonesian rule.
Sulawesi terror attack
Four Christians were brutally killed in a terrorist attack attributed to the East Indonesia Mujahiddin (MIT) extremist group in the Central Sulawesi regency of Sigi last Friday. Six houses and one building that was reportedly used for worship were destroyed in the attack.
It wasn’t until the following Monday that President Joko Widodo publicly condemned the attack, saying that he has instructed the National Police to arrest those responsible. No one has been arrested as of today.
Rizieq’s apology
Islamic Defenders Front (FPI) leader Rizieq Shihab has apologized for the mass gatherings held in his honor since he returned from exile last month. Without any hint of irony, he called on the public to comply with COVID-19 protocols, even though dozens from his gatherings have tested positive and speculation continues to mount that he has contracted the disease.
The firebrand cleric was summoned for questioning by Jakarta Metro Police investigators over the mass gatherings on Tuesday, but failed to make the date.
Call for jihad
Police have arrested one suspect in relation to the emergence of viral videos showing Islam’s call to prayer modified to include a jihad war cry. Aside from accusations leveled at certain hardline Islamic groups, it’s not yet fully clear who made the modification and how widespread its adoption.
Body in a suitcase
Indonesia’s Foreign Ministry was alerted to the discovery of the body of an Indonesian woman inside a suitcase in the holy city of Mecca. Investigation by local police suggest that the woman died of sickness, and a friend of the victim, who took her in, stuffed her in the suitcase in their panic after her death.
Recommended reads/listen
In Indonesia, ‘call to jihad’ videos by hardline cleric’s fans show threat of rising fundamentalism (South China Morning Post)
Religious fundamentalism has been on the rise in Indonesia in the past few years, as the proliferation of social media and increased internet connections allow users to follow conservative religious teachings by some tech-savvy clerics and religious leaders.
The silent struggle of refugees and asylum seekers in Indonesia, with Mozhgan Moarefizadeh and Nicole Curby (The Coconuts Podcast)
Top Coconuts Jakarta stories this week
Islamic groups outraged as call to prayer modified to include call for jihad in Indonesia
Rizieq Shihab allegedly escaped hospital following swab test drama
Indonesia’s end-of-year break officially shortened by 3 days amid rising COVID-19 cases
Body of Indonesian woman found inside suitcase in Mecca: Foreign Affairs Ministry
Top Coconuts Bali stories this week
Balinese instaceleb Ayu Wulantari jumps from Jimbaran hotel in alleged suicide
Denpasar establishes 25 kilometer bike lane from cultural center to Sanur beach
Health official says COVID-19 cases in Bali have not been traced back to extended holidays
Police arrest man who mugged American national on motorbike in Denpasar