Indonesia Country Report
Overview
Executive Summary
The victory of the opposition candidate in the Jakarta gubernatorial election in April 2017 signals that in the 2019 presidential and parliamentary elections, sectarian issues are likely to play a prominent role. President Joko "Jokowi" Widodo still commands a parliamentary majority and retains a strong public approval rating. The government has focused on expanding infrastructure, reducing red tape, and giving foreign investors greater access. These trends will probably continue for the rest of the government's term, which ends in 2019. However, the government is unlikely to meet its 7% GDP growth target by 2019. Following a March 2018 price cap on domestic sale of coal, it is also unlikely the government will reduce the corporate tax rate below 25% till after the elections.
Operational Outlook
The Jokowi government has improved business environment in Indonesia by streamlining permits and reducing regulations. In August 2018, the government revoked 32 regulations in the energy and minerals sector aimed at easing business operability in the sector. Furthermore, the Investment Coordinating Board has been allocated a greater role under Jokowi, which has helped improve investor confidence: through this board, further easing of regulation is probable. Although the government has simplified the minimum wage formula to link it with inflation and economic growth, any amendment to the labour laws will probably take years, given the political compulsions of engaging with active trade unions.
Terrorism
Following attacks by Islamic State-linked militants in Jakarta in January 2016 and May 2017, the Indonesian government has intensified efforts to address terrorist threats, even if domestic militants' capability remains crude. Its focus was further concentrated by consecutive attacks on churches and a police station in May 2018. It has strengthened the anti-terrorism unit, established a cyber-security agency aimed at preventing radicalisation, and passed a new anti-terrorism law focused on criminalising planning of attacks. However, Islamic State-linked cells are reportedly still active in several provinces; therefore, frequent, low-capability attacks continue to remain probable.
War Risks
China's territorial claims in the South China Sea reportedly overlap with the Exclusive Economic Zone of Indonesia's Natuna Islands: in July 2017, Indonesia renamed waters to the northeast of Natuna Islands as "North Natuna Sea", claiming sovereignty over the area. Such activity raises the risk of limited confrontation by both sides. In the Celebes Sea, Indonesia and Malaysia are engaged in a maritime boundary dispute over the Ambalat block. However, strong bilateral relations indicate that deterioration of the situation involving armed forces is unlikely.
Social Stability
Protests and strikes are noted frequently in major Indonesian cities, particularly in Jakarta. Although these protests have the potential of involving thousands of individuals, they are still mostly peaceful; they sometimes lead to unarmed fighting with the police. Besides issues of labour groups, such as concerning wages and bonus pays, most protests are organised by hard-line Islamist groups on religious or communitarian grounds. Religiously motivated protests will probably continue in the one-year outlook as Islamist groups press demands from electoral candidates ahead of simultaneous presidential and parliamentary elections scheduled for April 2019.
Health Risk
Vaccinations required to enter the country
Proof of vaccination against yellow fever is required if traveling from a country with risk of yellow fever transmission and over nine months of age.
Routine Vaccinations
Hepatitis A: A vaccine is available for anyone over one year of age. The vaccine may not be effective for certain people, e.g. those born before 1945 and who lived as a child in a developing country and/or have a past history of jaundice (icterus). These people can instead get a shot of immune globulin (IG) to boost their immunity against the disease.
Hepatitis B: A vaccine is available for children at least two months old.
Diphtheria-Tetanus-Polio: A booster shot should be administered if necessary (once every ten years).
Yellow Fever: A vaccine is available for children over the age of one year.
Other Vaccinations
Typhoid Fever: If your travels take you to regions with poor sanitary conditions (for children two years old and up).
Rabies: For prolonged stays in an isolated region (for children from when they can walk).
Japanese Encephalitis: For stays of longer than one month in a rural zone during the rainy season (for children over the age of one). The vaccine is administered in a local medical facility.
Malaria: Recommended preventive medication (with the exception of a trip to Bali) - mefloquine (sometimes marketed as Lariam) or doxycycline (sometimes marketed as Vibramycin).
For Children: All standard childhood immunizations should be up-to-date. In the case of a long stay, the BCG vaccine is recommended for children over one month and the MMR (measles-mumps-rubella) vaccine for children over nine months.
Natural Risks
As of early June 2015, Mount Sinabung volcano (Karo district, North Sumatra) has shown signs of major volcanic activity (clouds of burning ash, projections of rock, and lava flows), forcing authorities to evacuate those who live up to 13 km (8.1 mi) from the volcano.
Boating enthusiasts should be aware that acts of piracy regularly occur in Indonesian waters.
Transportation
It should be noted that all means of transportation are affected by generally poor travel conditions. While the entirety of Indonesian airlines was on the EU’s blacklist at one time, in January 2009, the European Commission removed restrictions on Garuda, Mandala, Airfast, and Premiair airlines, citing significant progress in security conditions.
On June 9, 2015, Indonesia waived the entry visa requirement for French tourists.
Telecommunications
Practical Information
Climate
Indonesia's climate is tropical with high levels of humidity and relatively stable temperatures.
There are two seasons: the wet monsoon season from November to March (abundant rain) and the dry monsoon season from April to October (dry winds). Temperatures are constant throughout the year along the coast and in low elevation zones (between 25°C and 30°C). Temperatures are lower in mountainous regions.
Useful Numbers
| Country Code: | +62 |
| Police: | 110 (or 911 in Bali) |
| Fire Dept.: | 113 |
| Ambulance: | 118 |
Electricity
Voltage: 127/230 V ~ 50 Hz
Outlets:
