Indonesia Expat - issue 265

iz .b at ae xp

ne

si

bs Fo i n cr r t io ns qu ip @ ir tio in do ies n

Su

cr ip bs su ISSUE NO. 265 | 7 OCTOBER – 3 NOVEMBER 2020

JAKARTA • JAVA • BALI • LOMBOK • KALIMANTAN • SUMATRA • SULAWESI • WEST PAPUA

VISIT OUR WEBSITE

WWW.INDONESIAEXPAT.BIZ

INSIDE THIS ISSUE Indonesia Enters Recession How to Earn Money from Home Financial Planning 101 And many more...

PRESIDENT DIRECTOR AND FOUNDER OF CEKINDO

MICHAL WASSERBAUER

4

Indonesia Expat Issue 265 | 7 October – 3 November 2020

INDONESIA EXPAT MARKETING ADVISER

Edo Frese

edo@indonesiaexpat.biz EDITOR

Mirella Pandjaitan

editor@indonesiaexpat.biz EDITORIAL ASSISTANT

Dear Readers,

Contents

expat.editorial@gmail.com SALES & ADVERTISING

Dian Mardianingsih (Jakarta)

dian@indonesiaexpat.biz

BUSINESS PROFILE Meet the Driving Force behind Cekindo

World Bank Chief Economist for East Asia and the Pacific, Aaditya Mattoo has said the coronavirus is having a heavy impact, namely disrupting investments, human resources, and productivity in Asia Pacific countries, including Indonesia. According to him, economic contraction can be seen in various sectors.

BUSINESS PROFILE Shinta Dhanuwardoyo, One of Indonesia’s Pioneering Women in Tech

Aaditya assessed that Indonesia still has a chance to recover with potential growth of 4.4 percent in 2021, and 3 percent in a worst-case scenario. The government should make various efforts to curb economic contraction, including increasing stimuli in the business world. According to the World Bank, the current stimulus is only positively impacting less than 10 percent of business operators in Indonesia.

OBSERVATIONS One in a Million

Wahyu Atmaja (Bali)

ads@indonesiaexpat.biz MARKETING & PUBLIC RELATIONS

marketing@indonesiaexpat.biz DISTRIBUTION & ADMIN

Juni Setiawan

admin@indonesiaexpat.biz EDITORIAL ENQUIRIES

letters@indonesiaexpat.biz SUBSCRIPTIONS

subscriptions@indonesiaexpat.biz EVENTS

letters@indonesiaexpat.biz PUBLISHED BY

PT. Koleksi Klasik Indonesia 17th floor, Pondok Indah Office

Let Indonesia Expat guide you in this Money and Finance issue with insights on building a business as a foreigner in Indonesia, economic recession, possible recession benefits, history, making money at home, what Rp1 million can get you, and financial plans. We’re all in the blur of the Indonesian economy’s foreseeable future. Bookmark these stories for your aid in the coming months.

Don’t forget to check out our daily news updates at indonesiaexpat.biz. Follow our Instagram and Facebook accounts @indonesiaexpat to stay updated on the daily COVID-19 case numbers and news, as well as attractive promotions from your favourite hotels, restaurants, and schools.

Tower 3, Jl. Sultan Iskandar Muda No. 29, Pd. Pinang, Kebayoran Lama, Jakarta Selatan 12310

06

Money talks... It’s a rather sensitive topic to discuss out loud but the world is going through an economic downturn. Businesses are closing, layoffs are happening, salaries are being cut – everyone’s going through something with their finances.

Happy reading!

08

10

12 ECONOMY Rumour Has It, Indonesia is Ready to Enter Economic Recession

14 SNA MEDIA CLUB COLUMN How to Earn Money from Home

16 ECONOMY The Hidden Benefits of an Economic Crisis

18 INFO FOR EXPATS Making Investments in Indonesia Work for You

T: +62 21 2953 8871 Office hours: 09.00–17.00 Monday–Friday

20

Edo Frese

FINANCE Financial Planning 101

Opinions Expressed in this publication are those of the writers and the publisher does not accept any responsibility for any errors, ommisions, or complaints arising there from.

22 MEET THE EXPAT Strong Will Goes a Long Way for Sjefke Jansen

No parts of this publication can be reproduced in whole or in part, in print or electronically without permission of the publisher. All trademarks, logos, brands and designs are copyright and fully reserved by PT. Koleksi Klasik Indonesia.

24 HISTORY How did Indonesia’s Economy Come Around?

PRINTED BY

28 ANNOUNCEMENT

ADVERTISING ENQUIRIES 021 2953 8871 ads@indonesiaexpat.biz

30

WE ARE AVAILABLE ON

CONNECT WITH US www.indonesiaexpat.biz

CLASSIFIEDS

indonesia_expat

indonesia.expat

indonesiaexpat

indonesiaexpat

6

business profile

Indonesia Expat Issue 265 | 7 October – 3 November 2020

Meet the Driving Force Behind Cekindo

R

the language and local culture which limited my ability to utilise my network even better and sometimes brought me to the wrong conclusions and expectations. Only after a longer stay in Indonesia was I able to overcome these barriers and challenges that positively changed my overall experience.

unning a successful business in Indonesia, a land filled with abundant business opportunities, diverse culture and breathtaking natural landscapes, is a dream of many. Michal Wasserbauer, a foreigner from the Czech Republic, is one of the aspiring entrepreneurs that have realized that dream. Having lived in Jakarta with his wife and daughter for the past 10 years, Michal is the Co-founder and President Director of Cekindo Business International, a leading consulting company in Indonesia.

But what was even more critical for my business was being a foreigner actively involved in the daily operations in my company, helping colleagues gain more understanding about international company standards, our foreign clients' expectations, culture and necessity to sometimes motivate them to go out of their comfort zone to learn and achieve more than others.

His internship at AIESEC, a non-profit organisation, brought him to Indonesia, where he also worked with a local government organisation SMESCO that supported Indonesian exporters and manufacturers.

Unexpectedly, he fell in love with Indonesia because the Indonesians are always in a good mood and thinking positively. From a business point of view, he could see the abundant opportunities available.

Does being a foreigner make it more challenging to build and run a leading consulting firm?

It can be a huge advantage if you are able to build a solid, professional and experienced local team with members that complement each other. A consulting firm is about people.

Your team is your asset and if you are a oneman show, it will be challenging, whether you are a foreigner or not. Running an Indonesian company requires a lot of knowledge about the regulations, the ability to communicate in the local language with the local government and so on.

Michal shared with Indonesia Expat about the driving force behind Cekindo’s establishment, how it has assisted thousands of companies from around the world to penetrate the Indonesian market, his professional advice, and a little bit about himself.

As the President Director and Founder of Cekindo, what inspired you to establish the company ten years ago?

Many factors inspired and motivated me to establish a business in Indonesia ten years ago. One of them was when I worked for SMESCO. I had the opportunity to meet many different Indonesian manufacturers, exporters, and international buyers to gain a better understanding of Indonesia’s international trade.

As a foreigner originally from the Czech Republic with a population of 10.5 million people, compared to Indonesia or Jakarta with a population of over 15 million people, I was amazed by the abundance of opportunities available when I initially arrived in Indonesia.

After all, the European market was saturated after the economic crisis.

Filled with so much excitement and enthusiasm to start my business at that time, I realised how complex the overall process could be, in addition to the different regulations required to operate a company.

With my educational background, I decided to change my initial business plan to focus on helping other entrepreneurs with much better experience than I had.

Despite the initial challenges, I believe it is still easier to start a business in Southeast Asia as an entrepreneur starting from scratch with limited capital. The market is less saturated and the operating expenses are lower compared to Europe.

As a foreigner, you can bring a lot to your local team regarding the international standards, customer and international team experience. However, it requires you to go deeper to understand the local process. You also have to be passionate because it is not only government regulation that is new to you but also the local culture and work habits of your employees.

Would you consider your own questions and concerns regarding Indonesia’s policies on business development and immigration triggered Cekindo’s establishment?

Having to go through the struggles and timeconsuming challenges on my own was not easy. So I thought to myself, if there could be a company providing professional help and guidance through this process with clarity, for a reasonable fee to save time and money while avoiding mistakes, it would be a great idea. Unfortunately, there wasn't any such opportunity at that time. So, together with my friend and business partner, we decided to properly structure this idea and started offering it as a service to help make it easier for others, so that they would not have to go through this process on their own.

If you can highlight one point to acknowledge about Cekindo for foreigners living and/or visiting Indonesia, what would it be?

Cekindo is a corporate service provider with an established ten-years track record of assisting foreign companies in expanding

to Indonesia through a one-stop business solution that covers services such as Company Registration, Accounting, Tax, Payroll, Visa and Product Registration.

Until today, choosing the right partner to provide professional assistance for a smooth journey in establishing a strong foundation and ensure compliance for your company, from start to finish, remains one of the best decisions to make.

You started the company from scratch, while also being a foreigner in Indonesia. How was the experience for you?

Starting a business is always an exciting experience, especially if you are a foreigner in a new country and building it from scratch.

Being a foreigner in Indonesia gave me a lot of advantages such as seeing things from a different perspective compared to the local entrepreneurs. It also helped to provide an opportunity to meet many interesting people and gain a lot of contacts faster.

On the other hand, as a foreigner, especially at the beginning, I lacked the knowledge of

There are 150 specialists with diverse cultural backgrounds involved behind the scenes at the moment.

As the person who builds a shared vision of the company, how do you manage differences to bring high performance?

Within ten years, Cekindo has grown to over 150 specialists comprising several nationalities in Indonesia and Vietnam with offices in Jakarta, Bali, Semarang and Ho Chi Minh City. It provides us with diversity and also challenges us to get everyone on the same page. I have the advantage of starting the company from the beginning and have been actively involved in practically every process of the management, including interviews for most of our current employees. I have always held the opinion that I should try my best possible to be a role model for my team, and be tolerant and have an open mind to learn from others. I always try to emphasise the fact that everyone in our company should understand the importance of their roles, and the need to always work together as a team to achieve greater results.

7

Indonesia Expat Issue 265 | 7 October – 3 November 2020

In December 2018, Cekindo was acquired by InCorp Group. How did you get the company to grow into its successful acquisition?

As a leader, I always guide my team towards our vision “to be a leading consulting firm of business services for clients expanding to and operating in Indonesia”. This helps to ensure that all of us understand where we are headed and are all on the same page.

Our journey from a startup company to being acquired has been full of many milestones, from first hiring and first big clients to opening two more operation offices in Bali and Semarang and one in Vietnam. During the years, Cekindo has been recognised as one of the leading players in our sector with a track record of helping companies in their Indonesian expansion. We have also achieved several local and international awards.

The overall Cekindo journey until the acquisition was a very natural process and the acquisition came as another team milestone in our mission “to provide a full range of market-entry and corporate services to enable our clients to focus on their core business and activities in Indonesia and beyond.”

Would you say Cekindo has reached its goal? What’s next?

Cekindo’s ultimate goal is to provide a full range of market-entry and corporate services across Asia to make our clients’ business life easier and to help them focus on their own core business functions. Therefore, the acquisition by InCorp was just another milestone to achieve this big goal. Due to this acquisition, Cekindo operates via Incorp Group in Indonesia, Vietnam, Malaysia, Philippines, India, China and Hong Kong with more than 10,000 corporate clients and a total of over 450 employees today. We have achieved this for Indonesia and are now working together with InCorp to reach another big milestone in Asia.

What are the main factors you’ve noticed that have attracted many foreigners building and running their businesses in Indonesia?

Over the past ten years, Indonesia has made remarkable progress in many areas, despite the challenging and difficult regulations involved in starting a business. The number of companies and individuals expanding/ investing in Indonesia grows each year. The profiles of these foreigners and the reasons can probably be divided into several different groups: 1. One of the main groups is the international and start-up companies motivated by the obvious Indonesian demography. Indonesia has the 4th largest population in the world and grows by almost three million people annually with the estimation to reach 272 million people by 2020 and a rapidly growing middle class with a high propensity to consume. These companies usually have already fortified their products and services very well in the Southeast Asia region, and Indonesia is just another promising market where they want to succeed.

2. International Investors: Across Indonesia, there are many attractive investment opportunities promising an interesting evaluation compared to other more rigid markets.

Cekindo ultimate goal is to provide a full range of market-entry and corporate services across Asia to make our clients’ business life easier and to help them focus on their own core business functions.

3. Government development plan: The Indonesian government focuses on investments to boost the local economy, specif ically to improve the national inf ra str ucture, energ y, medical or manufacturing industry. Most of these projects are happening with private sector participation and bringing an opportunity for many foreign companies.

4. Reallocation: Many people fall in love with Indonesia, especially with islands such as Bali and Lombok, and decide to relocate to Indonesia to explore some of the boutique businesses in gastronomy or other areas.

(e.g. Intel, Nvidia, AMD), or healthcare and others who benefit from the current situation, since they are now in the right industry or have implemented some strategies that have positioned them better for success.

Several countries are experiencing economic recessions due to the global pandemic. Indonesia’s economic state is seen trembling and experts are claiming Indonesia might be next in line. What advice can you give to foreign-based newly formed and existing companies before an economic recession hits Indonesia?

Globally throughout the period of the last 11 years, profits of companies increased by more than 500 percent, especially for companies that produce cyclical goods. Now due to the COVID-19 crisis, the profits of companies around the world has fallen sharply.

Speaking of the global pandemic, what is the business trend you’ve noticed lately?

Most processes are now digitised. Actually, it is nothing new but the digitisation of business processes speeds up and during this global pandemic has helped immensely across the private and government sectors.

Firstly, I would advise not to panic. You don’t need to shut down your company or lay off your employees. It is always good to be ready for any situation at all times as a recession can happen anytime. There's been a significant decline in economic activity for some time. As we know, the main source of this hypothetical recession is COVID-19 and once there is vaccination on the market, all negative symptoms associated with this pandemic should be resolved.

However, we have to look into our own business activity and sector to understand exactly what is going on. Since this pandemic, some sectors have been badly hit. But on the other side, there are many industries such as technology (online retails with the largest increase in profits by 2,000 percent in the last 11 years), semiconductor manufacturers

So, how do you prepare for a possible recession?

Be aware of all new government regulation changes, make sure your local team is on the same page with you, refine and diversify your skills, bring new innovations, get ahead of any debt, build up some emergency fund, and check your spending.

Which industries in Indonesia do you expect to show tremendous growth over the next few years and why?

E-commerce, IT/Tech, Healthcare and Sports and Outdoor because these industries still have huge untapped potentials regardless of the global pandemic.

Cekindo also has an international presence in Vietnam. Can you tell us the reasons for choosing Vietnam?

In 2018, Vietnam’s GDP growth hit a ten-year record by 7.08 percent, making Vietnam one of the top growth performers in the region and the world. The purchasing power of the 95 million population made Vietnam a very attractive market for foreign investors with more than 26,000 FDI projects in 2018.

Therefore, it was also a very potential market for Cekindo.

If you can give one tip as a foreigner to fellow foreigners wishing to build and run a business in Indonesia, what will it be?

Do not take the large Indonesian market for granted. The market is quite large but

at the same time fragmented from many perspectives. As such, it requires you to have a good business partner who can help you navigate your business through all challenges.

It is an exciting market that demands time, effort, and patience.

Michal, can you briefly tell us about yourself?

Prior to Cekindo, I established Czech.Ina Group Ltd, a business bridge for European companies expanding their business to Southeast Asia. Currently, I am also involved in several other projects from various industries and a non-profit association called Yayasan Bohemia Indonesia with the main objective of promoting business and community links between the Czech Republic and Indonesia.

Now in Indonesia, I'm living my vision of independent life as a serial entrepreneur and an early-stage investor who loves mountain hiking and travelling. In my spare time, I enjoy reading a book or practising aikido. I also love to call myself a student of life who keeps on learning every day.

How were your interests in business development, consultancy and finance sparked?

I have an MSc in finance and accounting as well as a PhD in Marketing earned at Czech University of Life Sciences. For most of my career, I have been profiling myself in the finance sector, accounting and consulting industry. However, I consider myself a neverending student of life where I am always learning by doing something new every day.

Mention three words that best describe you.

Determined, result-oriented, and analytical.

8

business profile

Shinta Dhanuwardoyo, One of Indonesia’s Pioneering Women in Tech Adaptability is crucial in the digital world, as the rate of change is pretty high. Things always evolve. Being creative is one thing, but this pandemic and unprecedented situation call for higher levels of creativity and innovation. the appropriate information – mostly about having a website and the ways it could fulfil their needs.

Of course, I was a novice in the area. There were no blueprints or role models for me to look up to and human capital was yet another issue. Hiring the right people was quite challenging; there were no schools and courses for web development. Despite all the hurdles, I had always been a strong proponent of the internet and its future.

Some of our earliest clients were the Bank of Indonesia and the management consulting firm I had previously worked for.

BY FAHITA ADVANI

T

he CEO and founder of Bubu.com, Shinta Witoyo Dhanuwardoyo, had her early encounter with the internet in Oregon, USA, and it left her gushing over its revolutionary potential. The mother of two recalls how her unwavering faith and resilience in the cutting-edge field led to the establishment of Bubu.com in 1996.

A prominent digital entrepreneur, venturebuilder, and angel investor, Shinta has also graced Forbes Indonesia’s “Inspiring Women Honour Roll” and Globe Asia’s “99 Most Powerful Women” lists.

Hello, Ibu Shinta! Could you please tell us a bit about your early life and background?

Hello! I found joy in creating works of art from a very young age. I was this artsycrafty person and my penchant for drawing eventually led me to pursue architecture at the University of Oregon, USA. The business world, however, has always intrigued me. I started going through the depths of business management through reading. My curiosity soon paved the way for the MBA degree I later completed at Portland State University.

How was your first encounter with the internet?

When I was pursuing my MBA, the university would offer around 70 percent tuition fee deduction for those working in their computer lab. I was lured by the prospect, so I applied for the job. This was when I had my first introduction to the internet. I was besotted and fascinated by its power. Its innate ability to facilitate communication between people from different countries was surreal. I subsequently learned how to create a website by myself. There were no search engines back then, but I knew the internet was a force to be reckoned with, even back in 1994. I also envisioned it to be a powerful marketing tool.

What eventually led you to establish Bubu.com?

I flew back to Indonesia and landed a job at a management consulting firm for two years.

However, I’ve always had this unrelenting drive to start my own company from a young age. In 1996, we finally launched Bubu.com as a web development company. As the internet was in its very formative stages back then, we had to brief our prospective clients with

Could you please tell us more about some of the clients and notable experiences?

In 2006, Bubu.com evolved into a digital agency. Our task shifted from web development towards handling strategies in digital spaces. We’ve had a vast array of clients from different fields throughout the years. Manchester United has been a longterm, treasured client for the last eight years.

Back in 2006, we initiated campaigns for Axe deodorant. One of the campaigns saw angels falling off the roof of Cilandak Town Square, via augmented reality. They were a breath of fresh air for us. Axe and Bubu collaborated for four long years. Clients with few boundaries are the most fun to work with.

What are your other ventures aside from Bubu.com? What are the challenges?

In the past, there was this entertainment portal called nasigoreng.com, and a news portal website, koridor.com. I had also arranged for email ids for students and educators at various institutions. Some of them were from the University of Indonesia and Trisakti University. In the USA, the internet started taking off in the early 2000s.

It was pretty challenging here because it took some more time for the internet to become popular in Indonesia. The penetration rate in Indonesia has largely been attributed to the high number of smartphone and social

Indonesia Expat Issue 265 | 7 October – 3 November 2020

media users, especially in the mid-2010s. It’s estimated that 90 percent of internet users in Indonesia access the internet via their mobile phones.

Do you consider emerging digital agencies as competitors? How do you manage to cope, especially during tough times like this pandemic?

To be honest, we were one of the earliest players in the tech industry. Over the years, Bubu.com has managed to spread its wings from a simple web development company to a digital agency, and finally into the world of venture capital, angel investing, gaming, and start-up mentoring.

I don’t consider new digital agencies as competitors. For instance, we have the LabX platform under Bubu. Here, we employ our expertise to redefine the notion of collaboration and strategic planning. With the simple #impactcollabs hashtag, we encourage local brands to achieve their vision and introduce Indonesian products worldwide.

We also have the Startup Indonesia platform, e-sports, and gaming, which are pretty much online-driven. Initially, venture capitalists undertook face-to-face meetings with startups which we are now able to facilitate online.

Those staying at home during quarantine are also more inclined to try out Bubu’s gaming platform. In other words, this pandemic has been a blessing in disguise for us.

Do you have any advice for the younger generation aiming for a career in the digital world?

A good understanding of the market is required. Adaptability is also crucial in the digital world, as the rate of change is pretty high. Things always evolve. Being creative is one thing, but this pandemic and unprecedented situation call for higher levels of creativity and innovation. Always see opportunity in every situation, and remember to execute your ideas. Don’t simply let them dwell in your thoughts. Then comes the hard work, perseverance, and resilience. I can confirm that things will favour you even more if this field happens to be your passion.

Technology is often deemed as a man's world. Being a woman, how has the world treated you?

I fell in love with the field some 20 years ago. Unbeknown to me, it was indeed a man’s world. I was lucky to have never been subjected to any form of discrimination or derogatory remarks. If anything, this whole being female-in-a-male-dominated world has garnered me plenty of respect and appreciation. Women face barriers to shatter what is often deemed as the “glass ceiling”.

Of course, being a wife and a parent involves a multitude of responsibilities. There were times I felt guilty for not spending enough time with my family. When my daughters were younger, I was fortunate to have received help from my parents and parents-in-law. My daughters are now 15 and 21. The eldest one is about to graduate from UNSW Sydney.

How to Invest in Indonesia: The Success Guide • Business sectors that allow a maximum 67 percent foreign ownership include medical equipment testing institutions, internet service providers, call centres, airport activity services, distribution and warehousing, department stores (retail space extent of 400 - 2,000sqm).

• Business sectors that allow a maximum 49 percent foreign ownership include e-commerce businesses (investment below Rp100 billion), land transportation, passenger land transportation, medical equipment supplier, airport services.

Every crisis brings opportunities to start something new.

Foreign investors having business plans in mind should turn them into reality, especially now as the business incorporation in Indonesia can be done online, which means remote registration is possible and the process can be as quick as one to 1.5 months.

Just like every other country, Indonesia is striving for economic recovery following the COVID-19 crisis. The efforts are potentially bringing a positive outcome.

According to the Indonesia Economic Prospects by the World Bank (2020), real GDP is projected to increase to 4.8 percent in 2021 on recovering private consumption growth. The number is also predicted to increase to 6 percent in 2022 due to strong investment growth and the low base of the previous years.

FOREIGN OWNERSHIP IN INDONESIA Before incorporating a company in Indonesia, foreigners are recommended to read through the Negative Investment List that regulates allowance and restrictions on foreign ownership.

To make it easier, we have summarised highly profitable sectors for foreigners to tap into, along with their foreign ownership allowance:

INVESTOR KITAS IN INDONESIA A significant contributor to the more investment-friendly environment in Indonesia is the existence of what is called the Investor KITAS. The most attractive benefits of having an Indonesian investor KITAS are its easy application and the work permit fee waiver.

• Business sectors that allow 100 percent foreign ownership include e-commerce businesses (minimal investment: Rp100 billion), bars, cafes, restaurants, film studios, sports facilities, hospital services, hospital management and consultancy, raw materials manufacturing for pharmaceuticals, distribution affiliated with production, direct selling through marketing networks, biomass pellets for renewable energy.

After pouring the initial investment, foreign investors do not need to wait for months to start working. Moreover, when all the investment requirements are satisfied, the work permit’s hefty fee amounting to US$1,200 per year no longer needs to be paid.

Foreign investors can choose between a one-year or a two-year Investor KITAS and can enter and leave Indonesia unlimited times provided that the KITAS is still valid. Additionally, an Investor KITAS is faster to obtain than a regular Work KITAS. To be eligible, these requirements must be satisfied: a minimum of Rp10 billion in authorised capital, Rp2.5 billion in paid-up capital and Rp1 billion in personal shares.

AFTER INCORPORATION IN INDONESIA, WHAT’S NEXT? Opening a corporate bank account is a mandatory postincorporation process. Foreigners can establish an account at a bank licensed as a Foreign-Exchange Bank so that it can handle foreign currencies.

Furthermore, businesses that are importing goods into Indonesia or exporting goods from Indonesia are required to go through the customs registration process.

Exemptions apply to companies whose customs service data are present in the Directorate General of Taxes’ administration system and/or companies performing data exchange with institutions that are in cooperation with the Directorate General of Customs and Excise.

Finally, all companies doing business in Indonesia, both locally and foreign-owned, are required to fulfil the corporate income tax obligations. In Indonesia, a general flat rate of 25 percent applies. Small enterprises with an annual turnover of less than Rp50 billion are eligible to enjoy a 50 percent discount off the standard corporate income tax rate.

CONSULT A PROFESSIONAL Complying with local regulations of company establishment, KITAS application and business licences, among others, may be challenging to foreign investors.

For a step-by-step guide, consult a reliable business consultant for free: go.cekindo.com/invest-indonesia.

As part of InCorp Group in Singapore, Cekindo is a leading consulting company in Indonesia and Vietnam providing integrated market-entry and corporate services. Become one of our satisfied clients, invest in Indonesia and jumpstart your business now.

Business Park Kb. Jeruk, H1-H2

+62 21 3006 1585

sales@cekindo.com

cekindobusinessinternational

Cekindobusinessinternational

Jl. Raya Meruya Ilir No.88, Jakarta Barat 11620, Indonesia

+62 21 3006 1584

www.cekindo.com

Cekindo Business International

Cekindo

observations

10 10

Indonesia Expat Indonesia Expat Issue 265 | 7 October – 3 November 2020 Issue 265 | 7 October – 3 November 2020

One in a Million

BY DANIEL POPE

“W

ho wants to be a millionaire?” “She’s one in a million.” “I feel like a million dollars.” A million is a special number.

Not small, not huge. A nice comfortable big-ish size, in fact.

A hundred, unless referring to a person’s age or the number of press-ups they can do, isn’t quite as impressive. A trillion is too immense, too unimaginable. It’s like a black hole.

What about a million rupiah? Satu juta rupiah certainly doesn’t sound like much money anymore. I can’t pretend it is unless you are among society’s lowest income earners - then it can feed a lot of mouths. But its value has been worse in the past. In 1998 during the Asian financial crisis, people anxiously studied exchange rate charts in the same way they now look at Covid-19 case charts. Here is a brief list of what Rp1 million can get you these days.

ANOTHER RP1 MILLION We live in strange times. These words have been repeated by every generation since fish started hauling themselves onto the land 385 million years ago. But we really do. The first indication that the world was beginning a new cycle of strangeness was in 2016 when singer/songwriter Bob Dylan was awarded the Nobel prize for literature. This baffling episode was followed by Brexit when the UK population voted to fill the Channel Tunnel back in. Then came the shocking election to the White House of a man who boasts about his country’s “super-dupa missiles” and describes police brutality as “beautiful”. What came next was the COVID-19 pandemic. Who would have bet on it last year?

And there’s the way of doubling your money. Just think of the craziest most unlikely change that’s coming next and put your money on it. You’re bound to win.

COVID-19 SWAB TEST It’s that time of the century again. Time for a new pandemic.

It’s already here. I’m sure you’ve noticed it. The most famous pandemic of course was The Black Death, which killed up to 25 million people in the middle ages. This was despite several bizarre cures touted that included blood-letting, selfflagellation, eating rancid 10-year aged treacle, feeding a dog a biscuit soaked in your urine (it would die and you would live), ingesting crushed emeralds (strictly for the rich), and attending dinner parties (thought to help by relieving stress but in reality quickened the spread). Ultimately, quarantine and hygiene were found to be the best measures. So nothing has changed much since the mid-fourteenth century.

A TEMPORARY BICYCLE I say “temporary” because a bicycle that costs just Rp1 million will start to fall apart on your ride home from the shop where you purchased it, and will continue breaking apart no matter how many bolts you re-tighten. So spend more money if you want a sturdier model. Cycling has long been a popular pastime among Indonesia’s long-term expatriates. It’s a great way of getting to the bar three streets away for a start. These days some apps make cycling even more meaningful. You can monitor your journey, Livestream a close-up of your contorted face as you puff and pant up hills, and count the kilometres like Pacman. Cycling is good for your health and your immune system. Best of all? You can wear close-fitting Lycra and marvel at how better it looks on you the fitter and slimmer you get. Watch those rolls of fat gradually deflate!

FACE MASKS Life today is all about checking and testing. Venture out shopping in Jakarta and you’ll have your temperature checked dozens of times either by gun or infra-red camera. You’ll have to wash your hands just as frequently. In fact, this generation will go down as having the most angelically clean hands ever in recorded history. Then there are the masks. Did you ever once imagine you’d be living in a world where you were required by law to wear a surgeon’s mask on the streets? It’s like Monty Python meets Mad Max with a little Carry On Nurse thrown in. Luckily, you can buy 100 packs of five masks with your million rupiah at Indomaret.

FIFTY PORTIONS OF FRIED RICE Some restaurants have been taking a dark-humoured attitude to the virus. This is normal. It happens during any crisis.

Think only of World War Two songs written about Hitler only having one ball, or Charlie Chaplin’s lampoonery of the Fuhrer in the movie “The Great Dictator”. A restaurant in Bali, for instance, was sold alongside its regular Nasi Goreng Special and less regular Nasi Goreng Gila, the positively irregular Nasi Goreng Pandemic. Only Rp20,000. There was also a range of similarly styled cocktails on the drinks menu. I forget their names, so I’ll make some examples up instead: Mask on the Beach, Tequila Temperature Rise, Symptomatic Sling, Antibody Mary.

A FLIGHT TO BALI FOR TWO The need to social-distance aside, flying is relatively safe in Indonesia these days, unlike in 2007 when the country’s airlines were banned from entering European airspace on safety grounds after a string of accidents. This was a time when anyone with enough money could set up a budget airline, name it after their son (like giving him a train set on his birthday), and start herding passengers. Nowadays, passengers are more worried about developing a high temperature while up in the air than crashing. Citilink recently offered a free COVID-19 rapid test to anyone flying with them. Gimmick or welcome safety measure?

If you are leaving the country and your visa has expired, you will have to pay an overstay fine. That’ll cost you Rp1 million for each day.

TWO BOTTLES OF JACOB’S CREEK PLONK Go ahead and drink up one bottle of this cheap Australian wine, and then use the other to launch the ship that you might have to build to leave Indonesia if outward flights are banned. If you don’t fancy your chances at sea on a home-made boat, then the wine can be saved to celebrate the day when the world is officially declared back to normal and no longer strange. Some damage can never be undone though. Listening to Bob Dylan albums will now always be considered elitist.

economy

12

Indonesia Expat Issue 265 | 7 October – 3 November 2020

Rumour Has It, Indonesia is Ready to Enter Economic Recession

BY MIRELLA PANDJAITAN

The economy will begin to enter a period of recovery in 2021, assuming the COVID-19 infection curve drops, along with the prospect of vaccine discovery and production to quickly resolve the current pandemic. "The economy can grow 4.4 percent in 2021," Andry explained.

I

t’s been over two decades since Indonesia last experienced an economic recession. This could once again occur with the country’s current state of handling the coronavirus pandemic. Every day, more additional new cases are detected in various regions, even breaking records of up to 4,000 cases per day – recorded in mid-September 2020. More deaths are being identified as well. At this point, the Governor of DKI Jakarta, Anies Baswedan, has applied an emergency brake to implement tighter largescale social restrictions (PSBB) in the capital, while still allowing businesses to operate under certain conditions.

The pandemic that continues to infect Indonesia has made the Organisation for Economic Co-operation and Development (OECD) provide a very bad forecast for Indonesia’s economy. Recently, a report entitled “Living with Uncertainty” predicts that the country's GDP will shrink by 3.3 percent this year.

Efforts to save the Indonesian economy from recession by providing fiscal stimuli through tax relaxation, social assistance, and budget allocations to the public health sector cannot withstand the strong pressures of the pandemic, which has led to the collapse of the domestic economy. This includes the continuous upgraded fiscal stimulus from April 2020, which was Rp405.1 trillion, to Rp641 trillion in May. Even so, it’s unable to prevent Indonesia from recession. Indonesia's economic growth in 2020 is predicted to continue to contract due to the pandemic.

Last June, when the World Bank released its report, entitled “Global Economic Prospect”, this Washington DC-based f inancial institution predicted that Indonesia's economic output would increase by zero percent – in other words, not grow at all. At the same time, another financial institution

Economic Recession Consequences Despite surging additional cases being detected each day, Indonesia did not, nor does not, plan on applying a strict lockdown like other countries, aside from implementing different stages of PSBB.

that was also formed by the 1944 Bretton Wood agreement, the IMF, even predicted that Indonesia's economy would contract by 0.3 percent.

losses in the third quarter for the Indonesian economy in 2020 are, according to Airlangga, not as deep as the second quarter, which fell by minus 5.32 percent.

The forecasts about economic contraction throughout 2020 that’s dragging Indonesia to the brink of recession is supported by Finance Minister Sri Mulyani and Coordinating Minister for Economic Affairs Airlangga Hartarto, who have also predicted that Indonesia's economy will be negative this year.

"Negative territory (GDP) is in the third quarter and will probably last until the fourth quarter. Indonesia’s GDP is estimated to be minus one to 2.9 percent. Even the contraction can continue into the fourth quarter. However, we will try to get close to zero," said Sri Mulyani to CNBC Indonesia.

For the full year, Sri Mulyani projects that Indonesia's GDP will shrink 0.6 to 1.7 percent.

Airlangga Hartarto’s prediction, on the other hand, is far more appalling than conveyed by the Finance Minister. "The range of economic growth in the third quarter is minus three to minus one percent," said Airlangga. Hence, the

The third-quarter economic prediction of 2020, based in September 2020, is minus 2.9 to minus one percent. If there are two consecutive negative economic quarters or contractions, Indonesia will enter a technical recession.

Based on data from Trading Economics, 45 other countries are officially in recession: • • • • • • • • • • • • • • •

Albania Angola Argentina Austria Bahrain Barbados Belgium Belize Brazil Canada Ecuador Finland Germany Greece Guiana

• • • • • • • • • • • • • • •

Hong Kong Iran Italy Japan Latvia Lebanon Lithuania Macau Mexico Mongolia New Zealand Palestine Peru Portugal Saudi Arabia

• • • • • • • • • • • • •

Singapore Slovakia South Africa Spain Sudan Switzerland Thailand The Czech Republic The Philippines The United Kingdom Tunisia Ukraine Venezuela

Chief Economist of PT Bank Mandiri Tbk Andry Asmoro revealed to Detik News that the Indonesian economy, in the first quarter of 2020, slowed down significantly to the level of 2.97 percent after the first case of COVID-19 appeared in Indonesia. "The economic growth projection in the third quarter is predicted to remain in negative territory, but with an improving direction compared to the second quarter of 2020," said Andry. He revealed that this is in line with the dynamics of the global economy in which many countries in the world have also entered recession, except for Vietnam and China which are still recording positive growth.

"However, the recession experienced by Indonesia is not expected to be as deep as regional countries such as India, the Philippines, Malaysia, Thailand, and Singapore, as well as developed countries in the European region and the United States," he explained to Detik News.

Sectoral economic developments in the third and fourth quarters are overshadowed by the risk of PSBB impact on the capital. By sector, services such as trade, transportation, hotels, restaurants, and corporate services will experience a relatively slow recovery from the original estimate due to the increase in COVID-19 positive cases. Likewise, for the manufacturing sector. The recovery follows the general pattern of the national economy because it is very dependent on improvements in purchasing power and public confidence.

Jakarta being the epicentre of Indonesia’s economy and COVID-19 cases under PSBB resulted in various offices, shopping malls, food and beverage outlets, tourism, and many more ventures either temporarily or permanently closing down. Based on the socio-demographic survey by the Indonesian statistical agency, four out of ten Indonesians have experienced a decline in income during the pandemic.

Just like anywhere else in the world, many employees and labour layoffs have happened.

According to the Ministry of National Development Planning (BAPPENAS), the unemployment rate will reach 10.7 million to 12.7 million people in 2021. In fact, Sakernas, a survey specifically designed to collect employment data that can describe the general situation of employment as well as shifts in labour structures between enumeration periods, reported the open unemployment rate (TPT) was at 6.88 million in February 2020.

The poverty rate in Indonesia due to COVID-19 was also highlighted by researchers from King's College London and the Australian National University. The country's well-known research institute, SMERU, estimates that the number of people living in poverty in Indonesia due to COVID-19 will increase to 1.3 million people by the end of 2020. In September 2019, the poverty rate in Indonesia stood at 9.22 percent and will most likely spike up to 9.7 percent in 2020.

Hypothetically, the number of poor people will increase by 8.5 million people, and the Indonesian poverty rate will jump to the double-digit level of 12.4 percent – the highest level in over ten years.

The more relaxed conditions under the transitional PSBB in Jakarta, starting in June, which allowed public mobility to begin has showcased a stretch in economic activity.

Unfortunately, the economy has not yet fully recovered to pre-pandemic levels. Now with an uncertain period of tighter PSBB regulations, who knows when Indonesia will eventually enter a recession? But as President Joko Widodo once said, the health of the people is more vital than the country’s economy and therefore health should be the primary focus of all individuals in power.

THE CONCEPT OF AKO

Teaching and Learning as Two Sides of the Same Coin

In English, the words ‘teach’ and ‘learn’ are often used separately, implying that a teacher only ‘teaches’ and a learner only ‘learns’. The Māori concept of ako realigns that perspective, recognising that both teachers and learners can bring knowledge to learning interactions and that understanding can grow out of shared experiences. Seeing teaching and learning in this way – as a reciprocal relationship – changes our approach to education and this is reflected in the New Zealand Curriculum. In a traditional teacher-centred environment, the teacher is considered the master of knowledge and the deliverer of content for students to accept and retain.

In an educational setting that applies the concept of ako, the teacher is positioned as a guide who can learn and grow along with students.

As guides, teachers can seek to inspire learning through discovery, inquiry, and shared learning experiences. Students are encouraged to drive their own learning process by identifying the questions to which they want to seek answers and then, with the support of their guide, to access the resources to seek those answers, including working with their peers and whānau (family and community) to expand their knowledge. Coming back to the group to then share their findings and express their opinions is also integral to the process and the ako idea of ‘learner as teacher’. The Māori concept of tuakana-teina (older person-younger person) also draws on this idea that we can learn from each other, whether between teacher and student or peer to peer (including through multi-age group projects).

Ako values each member of the learning setting as bringing knowledge with them from which all can learn. Students come from different backgrounds with their own experiences, knowledge and ideas, which should be utilised in the learning environment. Giving students a voice allows them to feel a sense of mana whenua (belonging) and acknowledges them as a valued member of the school community and society. This shifts the balance of power in the classroom. Students can teach the teacher and teach their classmates. The teacher is not expected to know everything and must be willing to say, ‘I don’t know but let’s find out together.’

Information is everywhere today and can be easily accessed with a few clicks. In the 21st century, it has become increasingly important to teach students how to navigate and process all this information

that is readily available and then to create something new with that information by giving them the tools to think critically and engage analytically with the information they find. The value of the teacher is not so much the content they can provide but the ways they can guide and navigate the learning experience. This can be done by asking essential questions to stimulate thought and discussion, elicit what students already know, draw connections to their personal experiences and the world around them, identify what they want to learn and provide opportunities to investigate, experiment and create.

2020 has been a year of change and uncertainty. Keeping children motivated to learn from home can be challenging. At New Zealand School Jakarta, we believe deeply in the concept of ako and we are applying it to build positive relationships with our children to make them feel valued, connected and immersed in the learning environment because their contributions and their voice are heard and respected. In a moment when children must feel that they do not have much control of the events unfolding around us, providing a sense of control and autonomy over their own learning can be powerful.

With ako, we are also promoting a culture of learning for our teachers, staff, and other adults in a child’s life by providing opportunities to share ideas and teach each other through teacher and parent or guardian education and sharing sessions. We all have our own strengths and interests, so it is important to utilise this the best we can and set an example of what it means to be a lifelong learner in a collaborative community.

Inherent in the concept of ako is the idea that teaching and learning are a process instead of a result, a journey instead of a destination.

We believe this concept has offered us resilience in these challenging times and brings out the best in our students, teachers and the greater community.

Contact us today to learn more about our academic programme, the concept of ako and how we approach online, classroom and blended learning.

By Tim Maitland, Head of School, New Zealand School Jakarta

Jl. Kemang Selatan I B No.1A, Bangka, Mampang Prpt., Jakarta Selatan 12730, Indonesia | T: + 62 81311963782 | E: admissions@nzsj.sch.id | W: www.nzsj.sch.id

SNA media club column

14

Indonesia Expat Issue 265 | 7 October – 3 November 2020

How to Earn Money from Home

BY ERNITA JOCELYNE

T

he coronavirus pandemic has caused us to be confined to our houses.

School, work, gatherings, and many other activities have been forced to move to virtual spaces. Many people are struggling as unemployment rates rise, and people are being forced to stay at home. Making money is still possible from the comfort of your home, too. These six ideas to get you working from home will have you covered in no time!

1. FREELANCING Freelance jobs have always been popular. It’s a convenient way of earning money and you don’t have to work full-time. Freelance jobs also allow you to do something you love. If you like to write, you can be a freelance writer, writing out people’s social media posts or helping people narrate emails. If you happen to like photography, you can be a freelance photographer taking snaps for others’ content for social media and other projects. There are many other options, so be sure to check them out.

A popular platform to find freelance jobs is Fiverr. It’s an online platform where freelancers can offer their services to people around the globe. This easy-to-use platform is a must if you want to try freelancing.

5. TUTORING Education worldwide has been affected by the pandemic. Being an online tutor can help students in their studies and you can gain some income too. This idea is simple and effective. All you need to start with is a gadget and a good internet service, and then you’re good to go. If you’re doubtful of teaching subjects like maths and science, you can teach baking or hand embroidery instead – anything you’re comfortable with. These ideas are perfect for anyone with a special skill and an interest to share what they know.

2. E-COMMERCE The coronavirus pandemic has made online shopping more popular as people find it more convenient. Starting your own online shop isn’t so hard, either. All you need is a tablet and your product! You can sell anything from vegetables to fashion accessories, it really is an amazing option.

Etsy and eBay are two of the world’s most popular online shopping platforms. You can just install the app, create an account, and start your shop. Social media platforms like Instagram and Pinterest can be used to broadcast and market your products.

6. SELL BAKED GOODS Quarantine baking is something you often see in social media. If you’re one of the people who are trying it out, you can sell your cakes.

People just love cookies and sweet delicacies, so why not give them what they want? Browse some recipes online; this idea is worth a shot.

3. TAKE PART IN SURVEYS Surveys are a really easy and convenient way to make money online. Many companies are looking for people to review their products and this is an awesome opportunity for you to chill but still earn cash! Swagbucks is a widely known platform for you to do surveys.

4. START A BLOG OR YOUTUBE CHANNEL Blogs and YouTube channels are amazing ways for you to express your feelings and share your experiences. For those people who are getting bored at home, with no one to talk to, this is a

What do you think? These six ideas will save you from some financial difficulties. You don’t need to invest much, but you sure can gain a lot, not just money but experience too. perfect option. It allows you to socialise while earning money too. WordPress is a popular option for blog starters. It would be a good idea to invest some money to create your own domain name.

What are you waiting for? Choose what you like and have some fun! Don’t forget to share these ideas so more people can enjoy the life of working from home, convenient and easy.

How to Cope with COVID-19? Can I still See My Doctor?

COVID-19 Testing? Health Certificates?

A lot of information is available on COVID-19. For those of us who are living in Jakarta or elsewhere in Indonesia it is important to stay as healthy as possible. GOOD PRACTICE provides information on COVID-19 on line. We have organised Health Talks and Webinars for International schools and Embassies. Send us an email if you want to know more.

GOOD PRACTICE is open as usual. We provide house calls and we also provide COVID-19 testing (we can also come to your house for testing). HEALTH CERTIFICATES can be provided by GOOD PRACTICE.

GOOD PRACTICE PROVIDES NON INFECTIOUS STERILE CONSULTATION HOURS. Are your vaccinations still up to date? Did you get a FLU vaccination?

How are your other conditions controlled? If you are suffering from hypertension or diabetes for instance, you have to make sure those conditions are managed well. Please make sure you have your regular check-ups and that your supply of medication is sufficient. You can even consider an immune boost, which we can also provide at GOOD PRACTICE. Identify a clinic that you can turn too with your concerns. A clinic that can advise you about your symptoms. Now it is especially important that the communication between your good-self and a trusted medical practitioner is well understood.

So what to do if you have any symptoms? Talk to a trusted medical practitioner. Also if you consider that you need COVID-19 testing, you should talk to a medical practitioner. Please note that we offer both PCR swabs and Rapid COVID-19 tests and serological antibody testing.

Dr Steven Graaff,MD,MRCGP, the founder of Good Practice Clinic is a graduate of the Vrije Universiteit Amsterdam. Before completing his formal training in General Practice in the UK, he worked in several hospitals, occupational health and general practice in the Netherlands and the UK. As a medical professional with international experience,Steven decided to start his own clinic – Good Practice, in Jakarta

HOUSE CALLS ARE PROVIDED FOR EVERY CONDITION INCLUDING VACCINATIONS AND CHILDHOOD IMMUNISATIONS.

Best of all is that you now can have a consultation with anyone of our medical team from whatever location. We have introduced TELECONSULTATIONS. Via an app, GP Now, you can connect with us directly.

Just send GOOD PRACTICE a simple email to info@goodpractice. co.id and we will send you the link.

Basically you let us know what time you would like to consult a doctor and we will appear on line at the desired time. If any medication needs to be provided, we will arrange this to be sent out to you.

GOOD PRACTICE can help you with all the above. We now also provide you with direct contact to our medical practitioners from any location in this world!

It is important that you identify a clinic that you are comfortable with. GOOD PRACTICE has patients from 71 countries (Jamaica and Namibia were added to our list). Our all English speaking team implements international guidelines.

We provide highly personalised care. Try us!

Jl. Bangka Raya #106B Jakarta 12730 Tel. +62-21-7183140 info@goodpractice.co.id

www.goodpractice.co.id

16

economy

Indonesia Expat Issue 265 | 7 October – 3 November 2020

The Hidden Benefits of an Economic Crisis

BY LINA HUTCHINSON

W

hen we hear the phrase “Economic Crisis”, we think of the dystopian world we have all seen in the movies. With the way 2020 has gone so far, the Hunger Games doesn’t seem too far off reality.

As the world faces a global pandemic, the economic impacts of COVID-19 have been revealed. People have lost their jobs, businesses have struggled to stay afloat, and stocks have lost their value. However, it’s important to remember that crises are a part of the economic cycle and, contrary to popular belief, there are some positive ways crises can impact economies.

If economies were to grow constantly, high inflation would increase price levels of day-to-day goods, making them unattainable for many. In an economic crisis, assets and resources can be reallocated. Because stocks are low, an economic crisis provides great buying opportunities, especially for those who are first-time buyers in a free market. This reduces wealth inequality. For example, those who want to buy a house are more likely to find affordable houses since the price of goods, especially big-ticket items, gets lowered and people can improve their quality of life.

Similarly, starting up a business is more affordable now that firms can invest in land, labour or capital for a lower price.

When faced with an economic downturn, existing firms may fire employees to reduce costs. With an increased number of skilled individuals seeking employment, finding labour and human capital for a start-up business is more effective.

Another way labour becomes more available to firms is the increase in individuals seeking further education. In a recession or depression, individuals are exposed to the negative

More firms valuing the allocation of their resources means the economy is able to achieve better productivity, further optimising resources and increasing company profits. effects economic downturns can have on personal income.

This can be a motivation for people to seek further education in order to gain skills and find more secure employment.

When an economic crisis impacts businesses, declining prices signal to businesses that it’s time to reduce excess inventory and costs. This encourages investors to learn to manage their finances more effectively while maintaining consumer demand. Wasted scarce resources are better understood and it’s easier to find ways to reduce losses. More firms valuing the allocation of their resources means the economy is able to achieve better productivity, further optimising resources and increasing company profits.

According to the Harvard Business Review, as businesses face up to a declining economy, opportunities for other firms and businesses to develop themselves arise. For start-up businesses or entrepreneurs, this means that there are cheaper stocks

and reduced competition, allowing them to start up their businesses more effectively. When a sector sees lower levels of economic activity, it suggests that there’s going to be less competition to clients and market share. This also means that marketing may reach wider audiences. As firms reach out to a wider group of consumers, profits increase and businesses are better off.

Though it’s clear that crises come loaded with economic impacts, it’s worth noting that there are also personal and social consequences that have positive impacts on us. During economic downturns, we are reminded to manage our money effectively. Being frivolous with our resources, time, and cash becomes more obvious and we’re forced to make tough financial decisions, similar to businesses. We’re taught not to take things for granted and focus our resources on the things that truly matter to us.

It’s unrealistic to say that every single one of these outcomes will be a consequence of the current economic downturn, and we can’t say that no one will be negatively impacted. However, in hard times like this, it’s important to be aware of what we have control over. Though each of us may not have control over the economic crisis in the world as individuals, we’re able to direct how we respond to such changes.

We are able to dictate our mindset and approach these hard times positively or let anxiety overwhelm us.

Which one will you choose?

info for expats

18

Making Investments in Indonesia Work for You

Indonesia Expat Issue 265 | 7 October – 3 November 2020

And that’s the point. We’re living in a time that’s very different to what we're used to. It doesn’t mean we just stop. We just have to find ways to use the situation to our advantage.

Energising Hospitality in Bali If you own a villa resort or hotel in Bali, you’re probably suffering from a lack of guests and quite possibly seeing your investment going straight down the toilet. We've seen many operations close permanently and nearly all of them downsize staff. The impact this has had on businesses and the local community has been extreme.

Another side of this box is people’s ability to travel. Rapid tests, quarantine, and expensive flights are clearly having a negative impact on the numbers. And even if you can travel, you can't just arrive and get your 30-day Visa on Arrival anymore.

Here’s where we see a silver lining. We’re seeing a way to legally combine issuing visas, with long-term villa or hotel stays, which we think would not only energise Bali’s tourism industry but also offer a viable alternative to people suffering through Draconian lockdown headaches across the world.

Sponsoring Visas Makes Business Sense We start by asking our clients if their villa resort or hotel is owned by a PT PMA (a foreign-owned company) or a PT PMDN (a locally-owned company). You’d be surprised at how many are not.

BY ANDY BARSKI (SEVEN STONES INDONESIA)

B

enjamin Franklin is supposed to have once said, “An investment in knowledge always pays the best interest.” We agree and that's why we like to share what we’re learning.

Here’s an example. We were having one of our regular think-tank sessions the other day and one of the team asked, “Is investment a science or an art?” An interesting question.

Turns out, it should actually be a bit of both.

Science because you need data, research, strategy, and models. And art because of the conceptual aspects of insight, intuition, and creativity.

Finding a Balance and Joining the Dots Savvy investors know this and find the balance between the science and the art.

In many senses, they’re able to perceive things most folk would miss and then join apparently unrelated dots together. But that requires the knowledge to think that way.

Thanks, Ben. On the surface, being in lockdown doesn’t sound too attractive. Most would agree it’s not. But lockdown doesn’t mean the world has stopped spinning. Things may have slowed down and changed but business is still happening and investments are still being made (and lost). Some would even argue this current situation is an opportunity.

Positive Mindsets Matter At Seven Stones Indonesia, we believe in being creative. We believe in the power of

a positive mindset. We believe in helping our clients, partners and communities create a better world and to focus on what matters most to them. We deliver peace of mind and help businesses grow, which is why we encourage our partners to use these extraordinary times to determine what can be done more efficiently and to best prepare for the future.

One way we’re doing this is to look at the facts and use our insights and intuition.

It’s a fact that Bali’s primary investment opportunities have been in the tourism industry. It’s a fact that Bali is perceived as one of the best places in the world to visit; the culture is unique, the people are super friendly, the weather is fabulous, the F&B scene is taking off, infrastructure is improving, and the cost of living is cheaper than most places, including Jakarta.

It’s also a fact that recent changes to the rules and regulations surrounding Foreign Direct Investment (FDI) are having a positive impact on Indonesia's ease of doing business index and one of these changes applies to visas, which have improved dramatically in recent months. That's why it pays to know where you stand and what options are now open.

It's Time to Work Smarter Our intuition is leading us to encourage our clients to use this time to clarify their brands and consolidate their investments, to streamline and restructure and look at smarter ways to organise their businesses.

There’s no time like the present.

Most people are familiar with the idea that thinking outside the box relates to being creative, but a couple of years ago, I saw a video that changed my thinking; prompting me to start working on a self-help business book based around the idea of thinking inside the box. Here’s the story….

Thinking inside the Box A Creative Director of an Ad Agency is meeting with his team. They’re exploring ideas for a new restaurant. The team is throwing out concepts but they’re all pretty much the same old thing: Greek, BBQ, French Fusion, Indonesian Rijstaffel, and Italian home cooking. The Creative Director is nodding but nothing his team has suggested has piqued his interest. That is until someone at the back of the room shouts out, “how about a restaurant that doesn't serve food?”

The Creative Director raises his hand and says “Interesting! So, team, how are we gonna do that? How are we gonna create a restaurant that doesn't serve food?”

Then the ideas began to flow.

“People bring their own food and it’s like a buffet.”

“We only serve wine and beer.”

“Use it as a film set, like they do in Hollywood.”

“Order from nearby places.”

“We don't serve food. We serve experiences.”

The Creative Director liked what he was hearing. “The ‘box’”, he said, “is your environment, your situation. It is what it is and it forces you to be creative within it.”

For those that aren’t we suggest they create one. Why? Because if your villa resort or hotel is owned by a PT PMA or PT PMDN, you’re now able to be the legal sponsor for a visa.

And if you’re the sponsor for a visa you can offer that service to your guests.

We’re noticing those foreign visitors who have decided to come to Bali during COVID-19 are not here for short-term stays anymore. This makes sense. It’s simply not worth it to travel halfway across the world to possibly spend 14-days in quarantine once you arrive. Longterm stays of six months or more make much more sense. You’d be able to offer fantastic rates for these long stays of course, and you can also package these incredible rates with the costs associated with issuing a visa from your guests’ home country.

Win-Win-Wins All Round!

We see that as finding the balance between the science and art of investing and we believe it’s a win-win-win.

Your villa resort or hotel now has guests. And that means you can re-hire staff. And that means there’s money to put food on the table.

And your guests also have the opportunity to enjoy a possible extended period of time in one of the world’s most loved tourist destinations.

And that has benefits for you, your business and your community.

If your business needs some help and positive advice on how to use lockdowns in ways that combine the science and art of investment, let us know how we can help.

Send us an email at: hello@sevenstonesindonesia.com.

2020

Indonesia Expat Indonesia Expat 2020 Issue 265 | 7 October – 3 November Issue 265 | 7 October – 3 November 2020

finance

Financial Planning 101

T

he global pandemic has altered our expenses, how we’ll be achieving financial goals and methods for building our wealth. Now more than ever, it’s critical to find ways to save more and spend less. Preparing emergency funds for critical situations like this ongoing global pandemic will aid you in the long term. You must throw away your consumptive behaviour and allocate more of the money you have for saving and emergency funds. Given the risk of layoffs, businesses that are deserted and even bankrupt, have a high risk in a pandemic like this.

2. Label Short-term Goal Savings Saving for your goals in the same place is not the most efficient way to do it. Especially when you also keep long-term savings there, such as having an emergency fund mixed with your short-term savings like a vacation fund. It becomes complicated and harder for you to track your goals and can potentially erode long-term savings. To avoid overspending, label each of your savings balances. Having a savings account that’s labelled with a specific purpose makes it impossible for you to use other accounts to spend excess money.

Here are some financial budgeting tricks you could start with: 1. Use the Zero-Sum Approach Jovan Johnson, a financial planner from Piece of Wealth Planning in Atlanta, USA, suggests a zerosum approach for every bit of money you have.

This approach makes his clients make good use of their money to pay bills, spending, or use it to build future wealth. Eventually, this approach turns your investment and savings goals into monthly bills so that you can make sure all money is spent, saved or invested properly.

Using all of your income can make you have unnecessary expenses and prolong you from achieving your long-term goals, such as retirement or your children's college savings.

3. Housing Costs No More than 30 percent According to Riley Poppy, a financial planner from Ignite Financial Planning in Seattle, USA, budgeting for the cost of a house is ideal, especially when planning to buy a house. The cost of a home must not be more than 30 percent of your monthly income.

4. Live on 70-80 percent of Income Plan your life using 70-80 percent of your monthly income. This can help you save for a specific purpose and avoid overspending. Using all of your income can make you have unnecessary expenses and prolong you from achieving your long-term goals, such as retirement or your children's college savings. Once you get used to this new lifestyle, you won’t spend the remaining 20-30 percent on savings.

5. Evaluating Current Source of Income Whatever your source of income is, be it as a merchant, freelancer or employee, the risk of a drastic reduction can occur at any time. To prevent the worst-case scenario, it's a good idea to change a few of your expenses in your financial planning. Existing money should be used for more important needs, both for daily purposes and for emergencies in the future.

For example, your expense items are classified as: Living - Saving - Family - Entertainment. In the current vulnerable condition, it should be changed into: Living - Saving - Family - Emergency Fund.

Remember; the more expenses you have, the smarter you have to be in managing and using your money. This is especially true for you who share your income for personal needs as well as your family or parents.

Can foreigners overseas apply for visas to Indonesia?

I have a KITAS and I am in Indonesia, can my husband/ wife/children come using a dependent KITAS? Yes, they can apply, the online systems are online for family reunification purposes. As usual, using an agent will be much easier.

Online systems for applications are back functioning, but there are still many questions about who can enter and what visa options are available. In this short article Gary Joy, the founder of LetsMoveIndonesia, answers your most common questions.

I am a foreigner living in Indonesia using a KITAS and would like my children (over 18) to visit. Can they come using the dependent KITAS? No, the dependent KITAS is for under 18s. Currently the only option is Sponsored Single Entry Business Visa.

Can foreigners enter Indonesia using visa on arrival?

No, not yet.

My KITAS/KITAP has expired, can I use it to arrive in Indonesia?

Yes, for Working KITAS you must have your valid working permit renewed such as RPTKA and IMTA before you arrive in Indonesia. Please note that the KITAS must not have expired before December 1, 2019. You must arrive in Indonesia before December 31, 2020.

What visas can foreigners enter Indonesia with?

You may enter with: • A valid KITAS/KITAP • A VITAS that you have obtained from the Indonesia Representatives abroad (Index 312, 313, 314, 317, 318, 319) • Single Entry Visa (Index 211A or 211B) Can I apply for a new KITAS outside of Indonesia?

Yes, you can if all the documents meet with the requirements. For Working KITAS and Investor KITAS the process is still quite challenging and requires a recommendation letter from BKPM. You can also apply for spouse and dependent visas.

Can I enter Indonesia with a Single Entry Visa?

Yes, but only if you have a company that can sponsor you. If you do not have a company, you will have to use an agent who can sponsor you. You may also need a recommendation letter from BKPM.

Can I apply for a Single Entry Visa and get sponsored by a family member/friend?

No, this isn’t possible, unless you have direct Indonesian relatives, such as parent, children over 18 or spouse.

I am Indonesian and want my spouse who is overseas to come to Indonesia. Can I apply for a new spouse KITAS? Yes, you can, although it is not very easy at the moment as the online system is extremely slow. If you want it done quicker use an agent.

I am overseas, can I apply for a new Working/Retirement/ Investor KITAS? Yes, but you will need an agent to assist you.

If you have a non-working KITAS you can enter, as long as you arrive back in Indonesia before December 31, 2020 and it expired after December 1, 2019.

Information above was sourced from Directorate General Immigration (DGI) website, article dated September 18, 2020.

When will foreigners be able to come back to Indonesia using visa on arrival/visit visa?

Unfortunately no date has been confirmed as of yet.

If you have any further questions or need advice, please feel free to contact LetsMoveIndonesia. *Article answers are valid as of September 30, 2020.

22

meet the expat

Strong Will Goes a Long Way for Sjefke Jansen You’ve been in the hospitality industry since the mid-80s, what are your thoughts on the industry in Indonesia, both before and during the COVID- 19 pandemic?

It’s as different as chalk and cheese. The hotel’s occupancy went from 60 percent to 6 percent in a matter of days. Our restaurants, some of which served 300 guests or more per day, shortened their operating hours or, in some rare cases, had to cease operation entirely, due to PSBB restrictions. It felt as if someone had poked a needle into a blown-up balloon.

Hotel Indonesia Kempinski Jakarta has historic value. What would you want potential and existing customers all around the world to know about the hotel that they may be unaware of?

Hotel Indonesia Kempinski Jakarta is without a doubt the most historic hotel, not only in Jakarta but in all of Indonesia.

Inaugurated on August 5, 1962, by the first president, Sukarno, it’s not just a building offering rooms, food, and beverages. It’s an institution, filled to the brim with history and an integral part of the community. A landmark in the centre of the city; the nation’s pride.

W

ith his determination to bring more food into his childhood home in Germany, Sjefke dived into the culinary industry to realise his goal.

Now more than 35 years into his career, Sjefke Jansen is the general manager of Hotel Indonesia Kempinski Jakarta. Indonesia Expat had the chance to reach out to this vibrant man, who describes Jakarta as “a whole new lifestyle component, emerging out of almost nowhere.”

Please tell us your nationality and the number of years you’ve stayed in Indonesia.

I’m Dutch by nationality, although I was born and raised in Germany. I’ve been living in Indonesia since February 2018.

Sjefke, can you please tell us about yourself?

I entered the hospitality business in 1983 at the age of 19 mainly for one reason: as a young man I was always hungry and we never had enough food at home. Hence, I decided to tackle that problem by becoming a trained chef, which I thought would be the right choice – I wasn’t wrong. Starting in the kitchen turned out to be the laying of the foundations of my career, spanning over 35 years.

Did you move to Indonesia because of your job? Is it a decision you’re happy with?

I was actually headhunted for this assignment. Prior to relocating to Jakarta, I was working and living in St Petersburg,

Russia for almost five years. The differences between those two cities couldn’t be greater.

The climate, food, and mentality of its people are vastly different; hot versus cold, spicy versus mild, and extrovert versus introvert, just to name a few.

Your career has taken you to many beautiful places in the world. What was the most surprising discovery or observation when you first moved to Indonesia?

Like every city, Jakarta has its pros and cons, but I haven’t regretted moving here. It has so much character and so many different layers of society, yet glued together with an exceptional spirit, which is unique to the destination.

The most surprising discovery is what I would call, the perfectly “organised chaos”. Traffic is not only bad, but it's also horrific, and yet it flows most of the time. Perhaps not at the speed as expected, but it moves almost miraculously, nevertheless.

What are you busy with these days?

One word: communicating!

The negative force of COVID-19 is unparalleled in its magnitude and so is the impact on our business. We now need to advise, mentor, and guide all stakeholders, like the staff, owners, and patrons, through these uncharted waters, which is a massive undertaking. It’s a time to show empathy and address everyone’s concerns through transparent communication.

Jakarta’s COVID-19 cases are once again high. Has this impacted people being able to enjoy the hotel’s special promotions and facilities?

Absolutely! We’ve seen a significant drop in business, after the reinforcement of largescale social restrictions (PSBB). It’s a real pity though because we were just beginning our journey on the road to economic recovery.

Rigorous cleaning and sanitising all corners of hotels and other accommodation has been mandated by the government nationwide. Are there any other actions being done at the hotel to ensure guests have an enjoyable and relaxing stay?

We’ll continue to focus on the core of our business; welcoming patrons to our historic hotel and serving them to the best of our abilities. We’ve learned that, albeit, in currently smaller numbers, the desires and expectations of our guests haven’t changed. Apart from the increased health and safety awareness, guests still want to have meaningful experiences and want to be pampered while staying with us.

The hotel just recently restored one of its exquisite, historic art pieces, as requested by Indonesia’s first president, Sukarno. Can you tell us how important it is to preserve the art and history of the hotel?

It’s paramount! As part of the preservation of cultural heritage, Hotel Indonesia Kempinski Jakarta has restored the phenomenal paintings of Lee Man Fong. The restoration was carried out on the beautiful painting "Margasatwa dan Puspita Indonesia". This very large painting, measuring in at 4 metres

Indonesia Expat Issue 265 | 7 October – 3 November 2020

x 10.85 metres is one of the largest paintings in the world, consists of three curved panels and is located at the top of the wall facing the entrance foyer of the Bali Room – Hotel Indonesia Kempinski Jakarta. The painting, which depicts the rich f lora and fauna of Indonesia, has been completely restored, with the restoration beginning in July 2019 and taking one year.

How does Hotel Indonesia Kempinski Jakarta contribute towards boosting Indonesia’s economy?

To impact Indonesia’s economy significantly might be a little too ambitious for a hotel our size. However, it is crucial now more than ever to build trust! We need to assure travellers visiting Indonesia that it’s safe to be here, once we’ve recovered. That starts from the arrival at the airport. The first point of entry into Indonesia is utterly critical in establishing confidence. It has to be done through thorough health checks and displaying the highest hygiene standards.

Since the hotel is situated in the heart of Jakarta at the HI roundabout, how would you describe Jakarta as someone who sees the city day and night, with the many wondrous activities happening?

Incredibly vibrant! Many times, I go to our Rooftop Sky Pool Terrace on the 17th floor of the hotel, overlooking Bunderan HI, and the hustle and bustle is fascinating to watch.

I’m happy to see that with the building of sidewalks, more and more people are frequenting the area. It’s become so much more lively with photos being taken around the fountain and bicycles being used to drive on Thamrin and Sudirman Roads. It’s a whole new lifestyle component, emerging out of almost nowhere.

What are your hobbies?

I’m actively running three times a week and I haven’t, although I should have a long time ago considering the lack of my ability, given up playing golf. It’s the ultimate love/hate relationship. Other than that, my partner and I love to cook and experiment with new recipes.

Indonesia has lots of street food.

Have you tried any and what’s your favourite?

My favourite dish by far has to be Nasi Gila from the street food vendor just outside my home. Add some chicken satay with peanut sauce to that and you have the perfect comfort food.

How do you envision yourself in the next year, hypothetically, when a vaccine has been launched?

Nothing really matters as much as the wellbeing of the people around you, family and colleagues alike. Staying strong, mentally and physically, and not shying away from facing challenges. Instead, approach what comes your way with a healthy spirit and a focused mindset. Get out of the survival and into the thriving mode.

Thank you for time, Sjefke! Stay safe and healthy.

24

history

How did Indonesia’s Economy Come Around?

Indonesia Expat Issue 265 | 7 October – 3 November 2020

Serving the longest period of administration, President Suharto’s reign saw many ups and downs. In 1967, he issued Law (UU) Number 1 of 1967, concerning the foreign investment; opening the doors for foreign investors to bring money into Indonesia. Suharto created a Five Year Development Plan (Repelita) which encouraged self-sufficiency. This program boosted Indonesia's economic growth until it reached 10.92 percent in 1970.

Unfortunately, economic activities at the time were centred on the government and controlled by the president. The “New Order” (Orde Baru) rejected political mobilisation and socialist ideology and also established a tightly controlled regime that discouraged intellectual enquiry. New f lows of foreign investment and foreign aid programs were attracted and a transformation of a predominantly agricultural economy to an industrialising economy took place.

Meanwhile, President Baharuddin Jusuf (BJ) Habibie’s regime was transitional. The recovery of economic conditions from a growth position of minus 13.13 percent in 1998 grew to 0.79 percent in 1999. Habibie undertook various financial and monetary policies and brought the Indonesian economy into a time of revival.

S

tudying the Indonesian economy from a historical perspective is essential.

A deep understanding of history is needed to support sustainable development planning in every era. Here’s a brief history lesson on Indonesia’s economy...

Indonesia’s geographic location, natural resources, and people have contributed to its economic history. As to have foreign contacts and international trade with overseas counterparts. Therefore, Indonesia has been highly inf luenced by the Indian, Chinese, Arab, and European traders who participated variously in the spice trade, war, and annihilation.

Rice agriculture and the trading of forest products such as tropical fruits, hunted animals, plant resins, rattan, and hardwood made up the economy during the Hindu Kingdom and Buddhist Kingdom period.

Traders worldwide sought the abundance of natural resources in the archipelago. Small, Indianised trading kingdoms in the early fourth century were in touch with other major civilisations in the Asian mainland, namely India, and China. Polities in the archipelago soon grew into a thriving, healthy, and cosmopolitan trading empire.

Then, the Portuguese arrived. Their quest to dominate the source of the lucrative spice trade in the early 16th century saw the establishment of trading posts and forts in the archipelago. Next, the VOC was founded in the early 17th century. Aimed at profiting in intra-Asian trade and establishing a direct spice trade between the archipelago and Europe, the VOC enjoyed huge profits from its spice monopoly through most of the 17th century. Coffee and sugar became the most important products and Java became the most important arena for trade.

Over the next two centuries, the VOC acquired additional ports as trading bases

and safeguarded their interests by taking over surrounding territory. The Dutch East Indies fell to the invading forces of the Japanese Empire in 1942. Many basic necessities were scarce and some regions suffered a famine.

According to a study by Joost Mellegers on the public finances of Indonesia in 1817-1940, both government revenues and government expenditure were reconstructed in 1817-1940.

Looking at only the central government and not the local authorities, the figures represent the actual revenues received and expenditure made by the central government. By the early 21st century, Indonesia had flourished to be the largest economy in Southeast Asia; one of the emerging market economies of the world; a member of the G20 major economies; and also classified as a newly industrialised country.

Economic growth can be said to be an indicator of the success or failure of a government in running, managing, and building a country. Though there are challenges, President Joko Widodo (Jokowi) has repeatedly conveyed that the key to economic growth is welfare distribution.

According to one of the Nobel Prize winners in economics, economic growth is achieved by three factors, namely an increase in the stable supply of goods, technological advances, and the efficient and effective use of technology.

Author Anne Booth wrote the book “The Indonesian Economy in the Nineteenth and Twentieth Centuries” in 1988, in which she describes Indonesia’s economic history, characterised by the somewhat dreary phrase: “a history of missed opportunities”. Despite its rich natural resources and a great variety of cultural traditions, the Indonesian economy has been underperforming for large periods of its history – thus, the missed opportunities.

For various reasons, Indonesia suffered from severe incidents that prohibited further expansion.

Indonesia eventually ceased being a colony on August 17, 1945, when Sukarno and Hatta proclaimed independence. Although, full independence was only acknowledged by the Netherlands after four years of violent conflict, on December 27, 1949.

Indonesia experienced three economic phases in the era of President Sukarno (1945-1967). The first phase was the postindependence economic structuring, the phase of strengthening the economic pillars, and the crisis phase that resulted in inflation.

The Central Bureau of Statistics measured economic growth as 5.74 percent in 1961. It dropped to minus 2.24 percent in 1963 and then boosted to 3.53 percent in 1964. The figure was still positive until his era ended – 2.79 percent.

Macroeconomic instability, a lack of foreign investment, and structural rigidity formed economic problems that were closely linked with the political power struggle in the nation. Sukarno had an outspoken dislike of colonialism. His efforts to eliminate foreign economic control weren’t always supportive of the struggling economy of the new sovereign state. However, the unitary state establishment and the settlement of major political issues were essential for the development of a national economy.

The year 1966 saw the emergence of commercial banks in Indonesia. A financial system hardly existed beforehand. The Indonesian financial system developed in five phases, from 1966 to the present day. The first period – 1966 to 1972 – was its formative period, the second from 1973 to 82 saw a policy-based finance period under soaring oil prices, the third between 1983 and 1991 was a period of financial reform, the fourth phase of 1992 to 1997 was a time of expansion. The current time starting in 1998 is seen as a period of financial restructuring.

Core factors that brought about the 1997 economic crisis in Indonesia were the exchange rate of the Rupiah, quickly rising short-term foreign debt, and the weak financial system. The origins, economic consequences, and socio-economic impact of the crisis are still under discussion.

Abdurrahman Wahid, aka Gus Dur, continued Habibie’s struggle to boost economic growth after the 1998 crisis. Gus Dur implemented a policy of fiscal decentralisation and regional autonomy. Then, the government also applied local taxes and levies. During Megawati's reign, Indonesia’s economic growth continued to increase gradually from year to year during 2001-2004. Signs of a more consistent improvement were clear, along with political reforms which changed the economy. At the end of her administration, Indonesia's economy was growing by 5.03 percent.

The country’s economic growth under the leadership of Soesilo Bambang Yudhoyono (SBY) was relatively stable. Growth figures were quite encouraging at the beginning of his administration. In 2008, imports were relatively high. By 2009, at the end of the first period and the start of his second term, Indonesia’s economy slowed down to 4.63 percent growth. The slowdown was impacted by the global financial crisis. Global commodity prices rose, which were impacted by raised rates from the Federal Reserve in the United States. However, in that same year, Indonesia’s economic growth was the top three in the world.

Current President Jokowi focuses on the structure of the state budget by encouraging investment, infrastructure development, and carrying out efficiencies so that Indonesia will be more competitive. The graph of Indonesia's economic growth has been showing figures below the previous era.

How would you predict the future of Indonesia’s economic growth?

finance

26

Indonesia Expat Issue 265 | 7 October – 3 November 2020

INDONESIA REMITTANCE STATISTICS Making up 1.1 percent of Indonesia’s GDP, remittance plays a big role in the economy.

Find out about Indonesia’s remittance statistics and how to send money abroad here.

T

he practice to send money abroad or what we know as remittance is an important aspect of a nation’s economy. In fact, according to Finder, Indonesia received around US$11.7 billion in 2019. The amount alone is accountable for 1.1 percent of the country’s GDP.

Why is Remittance Important?

Remittance is a crucial part of a nation, especially those which are still developing. Covering a significant portion of the nation’s GDP, inflow remittances have a great impact in helping Indonesia’s national economy to grow further. Fortunately, it seems like Indonesia has gone through a great improvement during recent decades. According to the World Bank’s statistics, in 2019, Indonesia acquired US$11.9 million remittance inflows – a significant surge compared to 2017 which only had US$8.9 million.

World Bank noted that China, Thailand, Japan, South Korea, and Jordan are the top five countries Indonesians send money to, whereas Saudi Arabia, Malaysia, United Arab Emirates, Singapore, and the Netherlands are the countries that send most remittance to Indonesia. This number clearly shows the distribution of the origin of expatriates as well as the Indonesians who live abroad.

Furthermore, for local residents, remittance is responsible for supporting the livelihood of migrant workers. For instance, in Lombok Timur, Indonesia, impoverished families rely on remittance to afford food and other basic necessities when they can’t harvest their fields. Unfortunately, many of these migrants use unreliable channels that disadvantage them financially.

If you’re an expatriate living in Indonesia, you’ll also find that service from Western Union and local bank transfers are inefficient and costly. The fund takes three until five days to arrive and you need to pay around US$15 until 30 for a single transaction. Not to mention that now there’s a worldwide pandemic, you can’t queue at the bank due to the large-scale social restrictions (PSBB) and the possible risk of infection.

Knowing these facts, it’s crucial to know the best way to send money overseas. You might wonder where to find the fastest way to send money abroad or the best rate to transfer money overseas.

Look no further; here’s a solution for you.

Transfez: Remittance Digitalised The best way to transfer money overseas, Transfez is a licensed remittance app that helps you to send money back home without the hassle of lining up in the bank, filling in complicated forms, and paying expensive fees for each transaction.

Available both in Android and iOS, Transfez is supported by Indonesia’s leading overseas organisations such as Indonesian Students Society in Great Manchester, Nobel Edu Indonesia, and has successfully transferred more than Rp20 billion worldwide. Efficient and Inexpensive Unlike Western Union and local bank transfers that require three to five days to process your fund, Transfez will send your money within minutes or one day tops. Additionally, you won’t have to spend bucks for transaction fees. Send your money anywhere with the flat transaction rate of Rp74,000.

Worldwide Reach To make it better, Transfez transaction covers five main continents with up to 47 countries, including Japan, India, UK, and South Korea, with many more to come. No matter where your family is, you can always support them through Transfez’s reliable and helpful service.

Unsure about using Transfez service? Worry not. The fastest way to send money overseas, Transfez proudly holds the licence from both Bank Indonesia and AUSTRAC to ensure your utmost security.

In addition, the process is fast, fully transparent, and you can track your money easily through the user-friendly application.

Don’t forget to use “INDOEXPAT” code to get a free transaction fee upon your first Transfez experience. Make sure to share it with your fellow expatriates while you’re at it!

28

Indonesia Expat Issue 265 | 7 October – 3 November 2020

BALI

Brunchcation at The Apurva Kempinski Bali

JAKARTA

The island’s favourite brunch is back. Guests are invited to have a unique experience of indulging at The Apurva Kempinski Bali on Sundays with various activities, featuring an eclectic spread of flavours from around the archipelago, with the finest, sumptuous signature flavours from around the world available derived from the resort’s aquarium restaurant, Koral Restaurant, and the Japanese restaurant, Izakaya by OKU. Having a Brunchcation means guests are having some uninterrupted family time at the resort. The newest space in the resort, Jalak Family Club, pampers kids with fun activities, such as face painting and various arts and crafts. There is also an outdoor playground and a tree houseinspired indoor playing area. For more action, water activities such as kayaking and standup paddleboarding are also provided for the guests, with sun loungers ready to accommodate guests’ needs for a fun time at the beach. Then, guests can relax with the Javanese holistic wisdom spa treatments at Apurva Spa to help find personal balance.

By paying Rp700,000++ for adults and Rp350,000++ for children between six and 12 years old, Brunchcation’s elevated concept is available from noon to 3:30pm at Pala Restaurant. Brunchcation is truly much more than your average Sunday brunch; it is a true highlight of the week.

This five-star resort follows the protocols of the “Kempinski White Glove Service”, a comprehensive guideline of meticulous measures implemented to cover all aspects of the resort, ranging from the arrival of the guests to the set-up of public areas, food and beverages, housekeeping, spa areas and meeting spaces.

The culinary concierge is available for reservations on +6281138209541 or by email at restaurants.bali@kempinski.com.

Best Wedding Memories at ASTON Priority Simatupang Hotel and Conference Centre Some couples hesitate to hold their wedding receptions during this pandemic.

Worry not, ASTON Priority Simatupang Hotel and Conference Centre provide a special package for couples to have their very intimate and memorable wedding at the Priority Sky Ballroom on the 26th floor.

The Virtual Wedding package that prioritises the warmth of main family members while still being in touch with beloved ones living in different areas will be done online. Starting from Rp10 million nett, this package includes various facilities such as zoom access for up to two hours, wedding decorations, wedding cakes, free stay at the hotel’s Junior Suite, a romantic dinner for the couple, and lunch with the family at the Canary Coffee Shop.

“All of the rooms and equipment used have been sanitised, so that the couples and family members can stay comfortable and healthy during the event,” said the General Manager of ASTON Priority Simatupang Hotel and Conference Centre, S. Aulia Masjhoerdin.

Please call +622178838777 or email to simatupang info@ astonhotelsinternational.com for more information and reservations. The updated information about promotions and activities are available on Instagram and Twitter @ASTONsimatupang and Facebook ASTON Priority Simatupang Hotel and Conference Centre.

BALI

New Gourmet Experience with Alila Villas Uluwatu The newly launched Bumbu Brunch at The Warung restaurant and an exclusive Dining at Home experience by Alila Villas Uluwatu are here.

in a memorable gastronomic experience in the comfort of their homes,” shared General Manager of Alila Villas Uluwatu, Hemal Jain.

“It’s very important for us to introduce and bring back again cultural and culinary activities for our guests. Through Bumbu Brunch, we picture our guests feasting and gathering like locals while enjoying the opportunity to spend quality time with their loved ones. Through Dining at Home, we want to indulge our guests

Bumbu Brunch Bumbu Brunch offers a feast of delicious food to share with your loved ones, just like how the Indonesians gather together to celebrate special moments. Guests can enjoy an all-you-can-order menu of mouthwatering gourmet Indonesian-Balinese cuisine, including a la carte and family-style sharing options with free-flow coffee and tea. This revitalising brunch is available every Saturday and Sunday at The Warung from noon to 4pm for Rp490,000++ per person.

Dining at Home Ideal for those seeking to create an intimate or romantic culinary experience, Dining at Home allows guests to enjoy delicious homemade dishes in their own desired private dining space from Rp3.9 million nett per couple. Two days’ in advance reservation is required as the dishes are exclusively prepared by the resort’s professional artisan chefs, fine-tuned to any preferences and special requests. Elegant table setup will be prepared by the resort’s team to create the perfect ambience for this private dining experience.

Email uluwatuculinary@alilahotels.com for more information and reservations.

29

Indonesia Expat Issue 265 | 7 October – 3 November 2020

BALI

Indonesia’s Residents Offer at Banyan Tree Ungasan, Bali

BALI

The Togetherness (Kebersamaan) Project Just like every corner of the globe, Bali has been hit hard with the ramifications of COVID-19. In an economy that depends approximately 85 percent on tourism, this has been a big hit to the Balinese families where most have lost their jobs and income source. The situation in Bali, from an economic standpoint, has become very critical and it is getting worse every day. But we know by coming together, we can stop the downward cycle, stabilise the communities, and thrive in new ways.

There are two main purposes: • To assist rural villages in Bali to kick-start innovative job creations by revitalising cultural assets such as ikat weaving; creating opportunities for coffee to be grown, roasted, and sold; and sustain the honey farmers in Karangasem who can no longer sell their pure 100 percent honey by the black bee to tourists and shops. Villages currently supported are Pejeng, Munduk, and Mt. Agung refugee villages.

• To co-ordinate with Crisis Kitchen Bali Lunch program to cook and deliver lunches to the needy using village crops grown from the Simantri project in Banjar Pesalakan.

Where The Funds Go:

Banyan Tree Ungasan, Bali is pleased to launch a direct booking offer exclusively for Indonesian citizens and KITAS holders. Guests will enjoy luxurious accommodation inclusive with daily floating breakfast at 62 percent off Best Available Rate. The price starts from Rp4.7 million++ per night at the luxurious one-bedroom pool villa and is available for bookings and staying until December 31, 2020. Wake up to stunning views

in your private villa, a pampering indulgence at the world-class Banyan Tree Spa and the signature Banyan Tree hospitality.

Book Indonesia Residents Promotion on www. banyantree.com/en/indonesia/ungasan-bali/ offers/indonesia-residents-promotion and enjoy a complimentary upgrade to next level category subject to availability upon reservation.

BALI

IHG Hotels and Resorts Indonesia Launches Dine Now Stay Later

Employment So far these jobs are provided: Organic farmers and seedling distribution, 48 lunch pack cooks and 21 delivery drivers, 25 ikat weavers and loom makers, basket makers, coffee pickers and roasters, recycled rice bag sewer, and for the near future we hope to create jobs for tree planters, on-line sales assistance, and marketing agents.

Ikat Purchasing By re-establishing a cottage industry with such strong cultural significance, 100 percent of the donations go to these Banjar-led initiatives. It’s still under the early phases of creating the products so we have established an introductory price for different sizes. Orders from around the world are coming in quickly.

Coffee Farming, Roasting, and Selling The funds will go to understanding the marketplace, identifying eco bags and labels, employing the coffee farmers and roasters, and creating the first patch of organic beautiful mountain coffee. As of today, 60,000 have been gathered, roasted and purchased by The Togetherness Project. Now, we need to find a market for the products in Bali, Java, and beyond.

For the project and its initiative to thrive, we know that the work needs to be Balinese lead and expat supported. Because of this, we have partnered with local leaders and business people to tell us what is needed so we can support what will work. Together with your help, we can assist in maintaining the projects above and introduce more Banjars (communities) into the program and keep their ancient traditions alive for a long time into the future.

IHG Hotels and Resorts is delighted to launch an exceptional Dine Now Stay Later deal. Enjoy dine in at any of restaurants and bars and get back Rp280,000 voucher value of your dining bill with minimum spending of Rp840,000 single bill, as room credit to stay in any participating Indonesia hotels including InterContinental Bali and Jakarta, Hotel Indigo Bali, Crowne Plaza and Holiday Inn Hotels and Resorts.

Visit www.facebook.com/events/606482070300440 to learn more.

To discover more, visit www.ihg.com/dinenowstaylater.

The redeemed voucher is applicable through direct hotels’ reservations until December 20, 2020 in IHG Hotels & Resorts throughout Indonesia.

Our November issue is themed Culinary!

Drop an email to info@indonesiaexpat.biz

if you want to be featured!

30

Indonesia Expat Issue 265 | 7 October – 3 November 2020

Expat Advertiser

Send your classifieds to: info@ indonesiaexpat.biz Next Deadline: October 28, 2020

JAKARTA Automotive

Diplomatic car for sale. BMW X3 Xdrive 20i A/T 2016, 50,000 kms. Built up in Germany. Price: US$18,000 (Rp265 million). Contact: +628118628798 (Christophe) or +6285692795560 (Isabelle).

Jobs Available

Serviced Office • Virtual Office • Meeting Facilities • Company Incorporation Located in Kuningan Business District, integrated with shopping mall and residential enable you for a more convenient and easier way of doing business in Jakarta. With flexible lease terms, ready to use office suites, immediate office setup, daily receptionist and maintenance services, 88 Service Office leaves you free to run your businenss without the day to day hassles of managing a conventional office space. "At 88 Service Office, we enable you to focus on your core business with friendly professionalism and affordability flexibility."

Jl. Raya Casablanca Kav88 | Phone: 021-29631688 Email: sales@88office.co.id | Web: www.88office.co.id

A n i nt er nat iona l ly-st yled school in Jogjakarta requires a Primary teacher to start as soon as possible. w w w. jog ja c om mu n it y school.org.

R e q u i r e m e nt s: B a c h e lor Degree, teaching qualification, minimum 5 years’ experience, familiar with British curriculum (desirable) and fluent in English.

Responsibilities: assuming all responsibilities associated with teaching including planning, assessing, tracking, reporting and extracurricular activities.

Skills: Excellent communication skills, adaptable, enthusiastic, open-minded, independent worker, team player, dedicated and have a sense of humour.

To apply: send CV, a personal statement outlining your education philosophy and suitability for this post, details of 3 professional referees and a recent passport size photograph to prinicpal@ jogjacommunityschool.org.

ACS Jakarta, Indonesia, a prestigious IB World School, is looking for an experienced Primary English Language teacher, starting asap and a Primary Global Perspective teacher, star ting in Dec. Minimum 5 years teaching experience. Educators who are currently residing in Jakarta are much preferred. Our school is currently on full eLearning.

If you are interested to join us, please email to info@acsjakarta. sch.id We are a little family with 1 young girl (age almost 4) currently looking for a part time tutor, preferably living around Taman Rasuna, Epicentrum, Kuningan, Tebet, Kasablanka etc. We have a maid so no cleaning or cooking etc involved.

Seeking someone to teach writing, play games etc. This would suit a college graduate, preferably in education, with

f luency in English required.

Working hours 10 am – 3 pm Monday to Friday, half-day on Saturday, and off on Sunday and public holidays. Also, no need to work during lebaran is off. Salary negotiable according to qualifications. If interested pls contact Whatsapp only +6281319699369.

Services Hello, my name is Ben. I’m a Language Tutor with experience in online tutoring.

My specialities are Bahasa Indonesia, French and English for foreigners. I’m based in South Jakarta, but I teach students outside Jakarta as well, because my course is online. My course is f lexible, for all ages and levels (beginner-advanced).

The lesson is conducted by video conference or audio call, in your desired platforms such as Skype, Zoom, WhatsApp, Hangouts, etc. For more information, please contact me on WhatsApp +6281293179856.

Fitness Trainer- Covid19 Free! I can come to your Gym Complex or to your home gym. 15 years experience. NSCA Certified.

Fitness First for 7 years, now freelance. Strength Training, Flexibility, Posture Alignment, Senior/ Youth Fitness, etc.

Good English and Indonesian.

Pandemic? No problem! Time to get in shape at your home gym.

Nunung +628119555806.

Qualified French and Bahasa Indonesia teacher online for expatriate and international school students with IB DP and IGCSE curriculum. Contact Novi +62816704370.

Property

For r ent C a sa Gr a nde Apartment, South Jakarta. 5 minutes to Kuningan SCBD, 10 minutes to Tanah Abang & Sudirman. This 76m2 unit is on the 8th f loor with 2 bedroom+ 2 bathrooms, balcony with a waterpark view, and also has a service/laundry room with a maid's toilet. Full furnished, gym, pool, playground, lobby lounge, basement carpark, with private access to Kota Kasablanka Mall. Price is 15million IDR/month with minimum 6 month rent period.

Interested? WhatsApp +6281285909292.

2 houses for sale in Kebon Jeruk (West Jakarta). 5 minutes access to Jl. Panjang, Strategic

location. Close to Permata Hijau and TOLL road gate. Walking distance to McDonald’s, Holy cow, Pizza Hut and The Harvest.

2 Houses for Rp3.8 billion (negotiable). Nearby Binus University. Each house has its own certificate hak milik. Very good location for investment.

Land: one house is 86 m2 and one house 87m 2. For details please contact the owner at +6281290070037 (WA only).

Verde Two is an award-winning development by PT. Farpoint, a part of Gunung Sewu Group.

With 8,600 sqm dedicated for only two towers: Monteverde and Terraverde, in a total of 312 exclusive residential units.

Ready To Move In Units: Two bedrooms and three bedrooms are available. For lease inquiry or private view ing please contact: info@verdetwo.com IG: verdetwo House for rent by the owner, it's completely renovated. It is suitable for private home or Work from Home ( WFH ). Jl. Jaya Mandala, Patra Jasa, South Jakarta. Size 1.740 sqm, 5 beds, 4 Baths,1 Main House,1 Granny House, Pool, Garage 4 cars, Carport 2 cars, cozy atmosphere, Good fresh air circulation, Close Embassy Australia,

Kuningan and office building and Mall Kokas & LOTTE. Access to toll ring roads.

Contact: +6285811353237 or +62218298402. Email: bakpiaoke@hotmail.com Personal We are currently seeking a part-time Indonesian tutor, to assist with my son's online virtual schooling. My son will be starting grade 2 via virtual online schooling. We require a local Indonesian preferably female to sit with him whilst he learns and then help him with his homework. You will need to speak English and have an understanding of grade2 curriculum. If interested please contact us. +6282125461077.

For Sale

Washing Machine 2in1 for Sale Not much used, almost brand new. Rp8 million. Washing Machine 2in1 for Sale, WA: +628119696986.

Pondok Indah Golf membership for rent. If anybody is interested to rent our Pondok Indah Golf Course membership, please email me at simplypleasure2@ g m a i l.c om , O r WA t o +628121057083.

31

Indonesia Expat Issue 265 | 7 October – 3 November 2020

Personal classifieds = FREE Property and other commercial classifieds = PAID (50 words = Rp100,000 | 50 words + image = Rp250,000)

Household Staff We are an Indian family living in Kuwait. We have two kids also.

Looking for a very good lady who speaks English, and wants to stay with us like our sister, and to take care and play with our kids and take care of our house like cleaning and cooking. We can offer her Rp3 million and if she is really good I am ready to pay Rp3.5 million. Also food and accommodation free. Visa and Air ticket also free of charge.

Every two years she can travel for a 2-month vacation. and we will provide an air ticket. Please let me know if anyone interested they can Whatsapp me +96590007636 or email saqsinha@ gmail.com Ibu Hermin has been a great maid and sometimes nanny over the 2,5 year with us.

She has been living out, kept the f lat clean and tidy and sometimes takes care of our two daughters (5 and 3 years old). Hermin is respectful of pr ivacy, honest, hard working and accommodating.

I wholeheartedly recommend her to any family. Ibu Hermin prefers to work in the Cipete Area. She has a good English level. She prefers being off Saturday and Monday and can live in or live out. Please get in touch with her directly: +62 8131926-5816 if you are interested and I am also available for references: nicolasetvirginia@ gmail.com

BALI Jobs Available We are hiring Business Sales Executive. Due to continued expansion Mirah Property Group have two immediate vacancies for the position of Business Sales Executive based at our busy office in Kerobokan.

The successful candidates must meet the following criteria: well presented, highly motivated, reliable, expert in building client relationships, high level of written and spoken English, good computer skills, able to provide excellent levels of customer service. Previous experience in business to business or real estate sales is required. We are able to offer a basic salary, rewarding commission package and excellent working conditions.

Please apply in writing with your CV, Covering Letter and recent photograph to h r @ m i r a h p r o p e r t y. c o m .

This position is open to both Indone sia n cit i zen s a nd Expatriates.

Rascal Republic is seeking out an Administrative Assistant with exceptional organizational, problem-solving and communication skills, who is based in Bali, Indonesia. In order to be considered for this

position, please email your CV with three references to samaralombok2020@gmail. com. Responsibilities include: Executive Assistant to the Senior Management of Rascal Republic, a group of hospitality, property and yacht businesses ba sed a cros s Indone sia .

Handling office tasks, including (but not limited to) ordering supplies, organizing files and media libraries, handling of expense claims and receipts etc.

Handling of personal tasks for the Senior Management inclusive of f light bookings, dinner reservations, holiday bookings, health insurance services, hospital appointments and other administrative support. Lead search, set up and daily running of a new office in Sanur, Bali that will be the group’s head office.Preparing financial statements, reports, memos, invoices, letters, and other documents. Providing real-time scheduling support by booking appointments and preventing conf licts. Making travel arrangements, such as booking f lights, cars, and making hotel and restaurant reservations. Maintain polite and professional communication via phone, e-mail, and mail in both English and Bahasa.

Helping to translate between Bahasa and English as needed.

Qualifications & requirements: must be based in Bali with access to a computer to work remotely. Fluent in English with strong verbal and written communic at ion sk ills. A proactive approach to problemsolving with strong decisionmaking skills. A happy and positive can do attitude.

Professional level verbal and written communications skills.

Excellent computer skills with experience in Microsoft Office (Word, Excel, Outlook, etc.), and ability to quickly learn and adapt to new programs. Proven work experience as an Administrative Assistant or ideally Executive Assistant. Experience working in Hospitality, Luxury Travel, Real Estate or Investment is a plus. High school diploma.

Property

Brand new villa for rent in Berawa. Land size : 5 are, building size : 390sqm, 4 bedrooms, 4 bathrooms, guest toilet,pool size : 9x3.5,dining room, living room, garden, parking area, laundry room,wifi, ele c t r icit y:16,000Kwh, furnished: Rp530 million/year.

For further information please contact : +6281246607787.

Available for daily , monthly, yearly. 1 bedroom villa with private plunge pool and kitchen in Seminyak. 15 minute walk from Double Six beach and Legian. Plenty resto and shop around this area. Each suite has a private plunge pool and kitchen. Outdoor fully equipped kitchen. Large outdoor lounge.

3 minute walk to the local market. It’s nice villa with facility: AC, tv, wifi, water heater, fridge, private plunge pool and kitchen. If you are interested to v isit please pm me or send message to whatsApp : +6281936828882 / +6281237754352.

Beautiful Villa for rental yearly in Berawa with rooftop.

Land size 2are, 3 bedrooms (1 master ensuite and 2 bedroom shared 1 bathroom), enclosed pool, rooftop sunset, parking lot, full furnished (not oven).

Price Rp 155 million /year.

Allowed for sublease. Further information please PM or contact +628123846070.

Elegant rice field view villa in Seminyak. New villa launched in 2020, 5 bedrooms with private bathrooms Rp25 million/month – Rp10 million/week, electricity excluded, available immediately, 500m to Seminyak Beach, beautiful sw imming pool, rooftop terrace overlooking the rice fields. For more information please contact by PM or whatsApp: +6282236562302.

Bali Boutique Hotel Resort for sale. Freehold on 25.5 are and set in tropical gardens on the oceanfront. only 1.5 hours drive from the airport along the north-east coast. Resort guests are mainly from Austra lia , Singapore, Europe, A merica and Canada. Throughout the year we have yoga retreats, birthdays, weddings and private guests. Our ratings with booking.com and Tripadvisor are very high together with all our staff. for further details please contact: Peter (intiplus@ yahoo.com)