I am often confused about how to write the correct sentences in English when I translated Economic-Business Media, from Bahasa (Indonesia) into English, since to get the sense of real English (instead of ‘English’ with Bahasa sense) needs consistent practice. Well, reading English newspaper everyday is recommended. I think, I’m gonna be a VOA journalist instead of a translator someday (Al, Al, please be consistent, huehehe). These following news represent the words or the sentence styles that sometimes occur in my texts.
RI’s economy is on the right track: BI governor
The rating agency on Monday maintained its assessment of Indonesia’s sovereign debt at BB+, one step below investment grade, citing the government’s failure to reduce fuel subsidies as one of the aspects.
BI governor Darmin Nasution in his statement asserted that the nation’s macro-economy and financial system had been well-maintained, adding that the current economy structure allowing a speed increase of employment.
“I believe that our economy will grow even better,” he said as quoted by kompas.com.
He added Indonesia’s balance of payments had also been in healthy position, saying that the ratio of total external debt toward gross domestic product tended to descend, reaching 26.5 percent at the end of 2011.
However, Darmin admitted that there had been several structural problems that still need to be solved in line with market optimism about the economic outlook of Indonesia.
“We assure you that the nation’s economy is on the right track and we will grow better,” he said. (asa/ued)
Education Ministry to set university’s maximum entrance fee
The National Education Ministry will set the maximum entrance fee for state universities in 2012.
“I’ve asked [subordinates] to make the arrangement, or design, for the university entrance fee regulation,” Education Minister Muhammad Nuh said as quoted by Kompas.com on Sunday.
He was talking on the sidelines of the opening ceremony of Tzu Chi School in Pantai Pondok Indah Kapuk, North Jakarta.
Nuh said the university entrance fee was determined by the rectors, many of whom had apparently set the fee so high that most people could not afford to pay. Therefore, the government plans to establish a maximum fee standard.
Entrance fees for state universities are currently on an average of between Rp 1 million (US$ 117) and Rp 2 million per semester. For the most preferred faculties, however, such as the School of Medicine, the entrance fee could reach as much as Rp 100 million.
“We are preparing a new mechanism for the education subsidy to state universities,” Nuh said.
The number of state universities in Indonesia is now 83, of a total 2,975 universities throughout the nation.
BTN to get capital boost from new shares, bond offering
Indonesia’s No. 10 lender PT Bank Tabungan Negara (BTN) is set to collect at least Rp 4 trillion (US$436 million) from the offering of bonds and rights shares later this year, the state bank’s executive said.
BTN, which allocates 90 percent of its loans for housing, would offer Rp 2 trillion in debt papers next month, with underwriters comprising PT Danareksa Sekuritas, PT CIMB Niaga Securities
Indonesia and PT Indo Premier Securities, BTN finance and treasury director Saut Pardede said on Thursday.
Meanwhile, the rights issue, which will be carried out in the second semester, will be about 10 to 11.9 percent of BTN’s enlarged capital. The new shares would be offered at a price range between Rp 1,600 and Rp 2,200 each, he added. That will enable the lender to raise at least Rp 2.1 trillion from the offering, according to Saut.
BTN shares traded at Rp 1,240 apiece on Thursday’s close, after hovering around Rp 1,000 to Rp 1,820 in the past year.
“The bank is expected to be healthier with larger capital,” BTN president director Iqbal Latanro said, adding that the lender’s shareholders had also approved of a lower dividend ratio payout, down to 20 percent from more than 30 percent of net profit last year.
Therefore, Rp 223.7 billion of BTN’s Rp 1.1 trillion net profit in 2011 would be distributed to shareholders, comprised of the government (71.9 percent) and the public (28.1 percent). Shareholders will get Rp 25.3 for each share they own.
“The lower dividend proportion is aimed at adding to the banks’ capacity in expanding loans,” Iqbal said. BTN has targeted its lending to grow 20 to 25 percent this year, while maintaining its focus on mid- to lower-class housing, which dominated 90 percent of its housing loans.
BTN will retain 76.5 percent of its 2011 net profit, or about Rp 856 billion, to boost capitalization. The bank’s capital adequacy ratio (CAR), which measures capital strength, stood at 15.03 percent at the end of last year, and will be lifted to above 20 percent after retaining profits and issuing rights shares.
“We will maintain our CAR at a convenient level at between 13.5 and 14 percent,” Saut said.
Many banks are piling up capital to strengthen their capability to extend loans, as demand for credit is booming in an economy reliant on domestic consumption.
Indonesia, the biggest economy in Southeast Asia, saw economic growth reach its highest level in 15 years last year with lending growing by 24 percent.
PT Bank Internasional Indonesia Tbk (BII), owned by Malaysia’s largest lender Malayan Banking Berhad (Maybank), on Thursday also secured its shareholders approval not to payout dividends and instead retain the entirety of the bank’s Rp 669 billion net profit from last year.
BII’s managing director for finance, Thila Nadason, said the decision was made to lift the bank’s CAR position as it has neared the lower-end of its convenient CAR level of between 12 and 13 percent.
BII wants to grow lending by 20 to 25 percent this year, in line with the overall banking industry.
Shares in BII traded at Rp 470 apiece on Thursday, up 1.08 percent from a day earlier.
IDX launches index 30
The Indonesia Stock Exchange (IDX) on Wednesday launched a new index called IDX30, which represents the 30 leading stocks in the bourse.
The IDX30 consists of stocks with the biggest market capitalization included in the LQ45, which covers the IDX’s most liquid stocks.
The IDX30 is expected to be a reference for investors, who want to invest in stocks in companies with high liquidity and big capitalization.
“The IDX30 is an index based on input from domestic and foreign fund managers, who need an index that will ease their work to arrange funds,” IDX president director Ito Warsito said at the launch.
The head of the Capital Market and Financial Services Supervisory Agency (Bapepam-LK), Nurhaida, said that Indonesia’s leading stocks reported a 659 percent increase in the last 10 years, above increases in emerging markets at 181 percent and the world’s at 28.1 percent.
“Therefore, it’s not a surprise that many investors, especially long-term investors such as pension funds, insurance companies and mutual funds, are looking at Indonesia,” Nurhaida said.
The IDX will perform reviews every six months to determine which stocks will be included in the IDX30.
Companies included in IDX30 from February until July:
1. PT Astra Agro Lestari Tbk (AALI)
2. PT Adaro Energy Tbk (ADRO)
3. PT Aneka Tambang Tbk (ANTM)
4. PT Astra International Tbk (ASII)
5. PT Bank Central Asia Tbk (BBCA)
6. PT Bank Negara Indonesia TBk (BBNI)
7. PT Bank Rakyat Indonesia Tbk (BBRI)
8. PT Bank Danamon Indonesia Tbk (BDMN)
9. PT Bank Pembangunan Daerah Jawa Barat Tbk (BJBR)
10. PT Bank Mandiri Tbk (BMRI)
11. PT Borneo Lumbung Energy & Metal Tbk (BORN)
12. PT Bumi Resources Tbk (BUMI)
13. PT Charoen Pokphand Indonesia Tbk (CPIN)
14. PT Bakrieland Development Tbk (ELTY)
15. PT Energi Mega Persada Tbk (ENRG)
16. PT Gudang Garam Indonesia Tbk (GGRM)
17. PT Vale Indonesia Tbk (INCO)
18. PT Indofood Sukses Makmur Tbk (INDF)
19. PT Indocement Tunggal Perkasa Tbk (INTP)
20. Indo Tambangraya Megah Tbk (ITMG)
21. PT Jasa Marga Tbk (JSMR)
22. PT Kalbe Farma Tbk (KLBF)
23. PT Krakatau Steel Tbk (KRAS)
24. PT Lippo Karawaci Tbk (LPKR)
25. PT Perusahaan Gas Negara Tbk (PGAS)
26. PT Tambang batubara Bukit Asam Tbk (PTBA)
27. PT Semen Gresik Tbk (SMGR)
28. PT Telekomunikasi Indonesia Tbk (TLKM)
29. PT United Tractors Tbk (UNTR)
30. PT Unilever Indonesia Tbk (UNVR)