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China May Risk Region Instability: Indonesia Army Chief

Dont talk to @Viet about economics, how come Indonesia who has economy 3 times larger than Singapore has less companies ?

Even if it is in PPP basis, we have already been number 9 in the world, bigger than England.

Talking about Singapore investment, dont get it wrong since the majority of them are actually hold by White people ( Western Companies ), at least it is true for Indonesia case (Singapore Investment in Indonesia).

Singapore investment in Indonesia is primarily located in Batam, only 100 km away from Singapore. And Singapore economy is also helped by our rich people saving there.

Just talk to him at this matter if you want to practice your English writing skills :P
 
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you overstate your importance.
Coming from you? Ain't that devil calling the angel evil.

Indonesian woes, ASEAN problems | The Japan Times

That's quite ignorant if you think your economy failing would be a critical event. In the post '97 crisis world, the ASEAN economies took different policies and their economies are a lot more anti-cyclical the they were then. It would depend 'how' the Indonesian economy would fail for your point to be valid but what you say is quite simplistic.

Infact, talk us through the mechanism, in your opinion, of how this contagion would spread from Indonesia.

Simpleton... With the AEC coming up next year what do you think will happen if the largest economy in the region tank? There will be a massive distrust toward anything ASEAN.

Ironically, while Indonesia is by far ASEAN’s biggest economy, it has also been relatively closed and separate. The current situation shows a more complex reality of interdependencies. Because investors see ASEAN as a whole, Indonesia’s market jitters could affect its neighbors. Other ASEAN economies also rode the wave of loose U.S. monetary policy. With rumors of this wave ending, they could suffer too.

it's just i am personally put my bad temper and attitude to some our PDF comrade from Vietnam because of their attitude and beside all of that ruckus, they doesn't shaping up my thought about how wonderfully Vietnam as a country and how dignities their people as a part of a great Nation. In short, it's just personal matter

Filthy bugger they are always over-inflate their country actual worth.
 
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Dont talk to @Viet about economics, how come Indonesia who has economy 3 times larger than Singapore has less companies ?
I am talking about singapore economic footprint on other asean countries compared to indonesia.
back to vietnam: singapore operates many industrial parks and has over 500 companies alone in Saigon. how many industrial parks and companies has indonesia in vietnam? virtually non-existent
Even if it is in PPP basis, we have already been number 9 in the world, bigger than England.
that is nothing. PPP is for fools.
Talking about Singapore investment, dont get it wrong since the majority of them are actually hold by White people ( Western Companies ), at least it is true for Indonesia case. Singapore investment in Indonesia is primarily located in Batam, only 100 km away from Singapore. And Singapore economy is also helped by our rich people saving there.

Just talk to him at this matter if you want to practice your English writing skills :P
at least I can agree with you at this point.
 
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I am talking about singapore economic footprint on other asean countries compared to indonesia.
back to vietnam: singapore operates many industrial parks and has over 500 companies alone in Saigon. how many industrial parks and companies has indonesia in vietnam? virtually non-existent

that is nothing. PPP is for fools.

at least I can agree with you at this point.

Did you just suffer from Amnesia or something? You use this same statement around a year ago! I already show how wrong you are.
 
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Coming from you? Ain't that devil calling the angel evil.
Indonesian woes, ASEAN problems | The Japan Times

Simpleton... With the AEC coming up next year what do you think will happen if the largest economy in the region tank? There will be a massive distrust toward anything ASEAN.

Filthy bugger they are always over-inflate their country actual worth.
did you bother to read the article you posted? I do.

it reads "Ironically, while Indonesia is by far ASEAN’s biggest economy, it has also been relatively closed and separate."
should mean, even if indonesia collapses tomorrow, no major impact is expected on other asean nations. moreover, others will benefit from investments flown out of your country.

sorry for bursting your bubble.
 
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did you bother to read the article you posted? I do.

it reads "Ironically, while Indonesia is by far ASEAN’s biggest economy, it has also been relatively closed and separate."
should mean, even if indonesia collapses tomorrow, no major impact is expected on other asean nations. moreover, others will benefit from investments flown out of your country.

sorry for bursting your bubble.

Relative doesn't mean "completely." This is what happened when a chemical agent got introduced to a fetus if not you will finish reading it.

The current situation shows a more complex reality of interdependencies. Because investors see ASEAN as a whole, Indonesia’s market jitters could affect its neighbors. Other ASEAN economies also rode the wave of loose U.S. monetary policy. With rumors of this wave ending, they could suffer too.

Invest to where exactly? Socialist Vietnam, 60-40 Philippine, Broken down Myanmar, Bumiputra Malaysia. Only Thai & Cambodia that will probably get the benefit & that's a big if.

Source: China May Risk Region Instability: Indonesia Army Chief | Page 4

We are the Center of ASEAN if the center cannot hold... You can guess what happens.
 
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You seem to sort of know what you're talking about. Do you think a collapse in Indonesia would cause a contagion and if so how you think the contagion would spread?

no! it won't!..
indonesia economy power still too small to cause contagion..
we can talk about it when indonesia is top 5 global economy power..
 
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Relative doesn't mean "completely." This is what happened when a chemical agent got introduced to a fetus if not you will finish reading it.
you should stay on facts instead of resorting to personal insult. I will report you to the mods.
Invest to where exactly? Socialist Vietnam, 60-40 Philippine, Broken down Myanmar, Bumiputra Malaysia. Only Thai & Cambodia that will probably get the benefit & that's a big if.

Source: China May Risk Region Instability: Indonesia Army Chief | Page 4

We are the Center of ASEAN if the center cannot hold... You can guess what happens.
I can´t hear you. maybe you shall cry and whine louder, and other can hear what you say: yes, indo is a leader, a superman.
 
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you should stay on facts instead of resorting to personal insult. I will report you to the mods.

I can´t hear you. maybe you shall cry and whine louder, and other can hear what you say: yes, indo is a leader, a superman.

I already give you the fact a year ago its your fault that you suffer from Amnesia & said the same BS all over again. If you don't want to be insulted then stop being stupid.
 
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that is nothing. PPP is for fools.
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PPP talks about how many goods and services we can actually produce. For example with 1/3 USD we can make a pen while in USA it need 1 USD.
 
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Invest to where exactly? Socialist Vietnam, 60-40 Philippine, Broken down Myanmar, Bumiputra Malaysia. Only Thai & Cambodia that will probably get the benefit & that's a big if.
We are the Center of ASEAN if the center cannot hold... You can guess what happens.

Don't discount Indonesian tenacity. There's plenty other similar case but we need to dig deeper if we really want to know. Just remember that until recently, our people usually have negative view when our businessman directly invest in foreign country.

For example.
How Salim group skirted foreign ownership limits - The Manila Times OnlineThe Manila Times Online
MPI.PH Stock Price & News - Metro Pacific Investments Corp. - Wall Street Journal
 
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no! it won't!..
indonesia economy power still too small to cause contagion..
we can talk about it when indonesia is top 5 global economy power..

Yes, you are right. But the size of the Indo economy is not the only reason.

Is Indo a major source of FDI for the region? No

Is Jakarta a financial centre? No

Are the fundamentals of the Indo economy same as the other economies in the region? No

Indo is a commodities driven economy and like @Viet says it is very reliant on commodity exports to China. So naturally it will follow different cycles to other, more manufacturing based economies in ASEAN.

Invest to where exactly? Socialist Vietnam, 60-40 Philippine, Broken down Myanmar, Bumiputra Malaysia. Only Thai & Cambodia that will probably get the benefit & that's a big if.

Yes. All those countries you mention would benefit. But don't take my word for it. Let the bond markets have the final word.
Indonesia
ID-government_bond_yields_graph%28medium%29.png

Malaysia
MY-government_bond_yields_graph%28medium%29.png

Phillipines

PH-government_bond_yields_graph%28medium%29.png

Singapore
SG-government_bond_yields_graph%28medium%29.png

Thailand
TH-government_bond_yields_graph%28medium%29.png

Viet Nam
VN-government_bond_yields_graph%28medium%29.png


Do you notice the huge spreads between Indo treasuries against other ASEAN? That shows that investors don't consider the fundamentals of the ASEAN region to be the same and consider the other economies to be less risky. Even Vietnam has a lower cost. BTW look at how much the cost of borrowing for Vietnam has fallen. Impressive stuff.

Now look at the credit default swap spread.

RG-East_Asia_CDS_graph%28large%29.png

Indo is the blue line. This means that insurance for Indo debt is higher than for any other regional country. Does that look like a regional leader? Compare against Germany who are an actual regional leader :

checherita%20fig%201.png



Indonesian woes, ASEAN problems | The Japan Times

Simpleton... With the AEC coming up next year what do you think will happen if the largest economy in the region tank? There will be a massive distrust toward anything ASEAN.

The guy in the op-ed seems to be making is that Indonesia is more like a bellwether for the region. That investors seem to see the region as a whole seems to be contradicted by the market. But then it's an op-ed so you can't really depend on it.

Now, I ask you again, explain to me how Indo tanking would drag the region down. Hint: you can't because it's too simple a question.

Let's look at FDI in the region and who the big player is. Here is a note from a SEA based consultancy:

Foreign Direct Investment in ASEAN – Key Findings - ASEAN Business News

The ASEAN region has been the largest recipient of FDI, relative to gross domestic product (GDP), in Asia Pacific. Between 1952 and 2012, Singapore accounts for more than half of total FDI to the whole region (52 percent). Thailand ranks the second with a 13 percent share, followed by Indonesia with 11 percent, Malaysia with 10 percent, Vietnam with 8 percent and the Philippines with 3 percent.

The European Union, Japan and the United States continue to be among leaders in providing sources of FDI to ASEAN. In particular, the European Union contributes a 25 percent share to the total FDI sources, followed by Japan with 13 percent and the United States with 11 percent. It is notable that FDI sources coming from the United States has relatively decreased, while intra-ASEAN FDI has grown rapidly, with Singapore serving as the main source of this FDI inflow.

So, Indo is the largest economy but not integrated enough to be a source of contagion. Infact, investors might actually see other SEAsia countries as alternatives rather than compliments - this has been the trend since 1997. Now take this in before you spout more ignorance.
 
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