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NEWS UPDATES Asean Affairs                       25  August 2011

Indonesia should receive more capital

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Economist A. Prasetyantoko says foreign capital inflows to Indonesia will increase after Moody’s ratings agency downgraded Japan's debt rating on Wednesday.

Moody's cut Japan's government bond rating to Aa3 from Aa2. The new rating is three notches below Moody's top Aaa rating. It also said the outlook for the rating is stable.

Following the downgrade, the Jakarta Composite Index slipped 33.44 points to 3,847 on Wednesday.

“The fall is only temporary. It’s almost like when the US debt rating was downgraded several weeks ago, but after that the foreign capital will return to Indonesia,” Prasetyantoko said Wednesday as quoted by

“Investors will recalculate their portfolios. As the condition of stock exchanges around the world is currently not favorable, particularly in the developed countries, their capital will return to countries with good economic growth, such as Indonesia."

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This year in Thailand-what next?

AseanAffairs   04 January 2011
By David Swartzentruber      

It is commonplace in journalism to write two types of articles at the transition point between the year that has passed and the New Year. As this writer qualifies as an “old hand” in observing Thailand with a track record dating back 14 years, it is time take a shot at what may unfold in Thailand in 2011.

The first issue that can’t be answered is the health of Thailand’s beloved King Bhumibol, who is now 83 years old. He is the world's longest reigning monarch, but elaborate birthday celebrations in December failed to mask concern over his health. More


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