19/06/2026

BIZ & FINANCE FRIDAY | JUNE 19, 2026

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Indonesia central bank raises policy rates again o BI also tightens requirements for foreign exchange transactions an interim agreement that would end the Iran war and reopen the Strait of Hormuz.

China seeks to curb ‘unfair’ competition in food delivery sector BEIJING: China is seeking to crack down on “unfair” competition among food delivery platforms by introducing new rules to limit subsidy campaigns that regulators say harm the economy. Beijing has been targeting what it sees as unhealthy developments in the sector, a crucial contributor to national consumption, which has been sluggish in recent years. Fierce competition between top platforms including Meituan and Alibaba’s Taobao Shangou – which employ millions of delivery drivers – has led to price wars, the State Administration for Market Regulation (SAMR) said on Wednesday. It proposed draft regulations targeting subsidy campaigns by platform operators that artificially reduce prices and encourage more orders. Under the new rules, platforms may not “indirectly coerce” merchants into participating in subsidy schemes through allocation of user traffic, and must not force merchants and delivery drivers to bear the costs of subsidies. “These practices harm the interests of merchants operating on the platforms, delivery drivers and consumers, squeezing the real economy,“ the SAMR said. The draft measures are open for public comment until July 17. Meituan said it “firmly endorses” the proposals and will “actively cooperate” with regulators and other platforms to promote “win-win results for all parties”. Alibaba-owned delivery platform Taobao Shangou and that of rival JD.com also voiced support, vowing to uphold “fair” market competition. – AFP Progress in US-India trade talks, says Modi NEW DELHI: Indian Prime Minister Narendra Modi said there had been “significant progress” in long-running talks with Washington for a trade deal, according to a statement issued yesterday after his meeting with President Donald Trump. The leaders met on the sidelines of the G7 summit in Evian in France on Wednesday, their first face-to-face talks since February 2025 in Washington. “The leaders noted with particular satisfaction the significant progress made in negotiations towards an interim Bilateral Trade Agreement”, a readout of the meeting from India’s Foreign Ministry read. Asked if the US and India are close to a trade deal, Trump told reporters in Evian that they were “very close”. “He’s a very tough negotiator, one of the toughest, actually. So you look at this man, I’ll give you a lesson,”Trump said. “He’s the most beautiful looking man. He looks so nice. He’s like an angel, but actually he’s a killer.” The Indian statement said the leaders had ordered officials to work towards striking a “commercially meaningful agreement at the earliest”. US Trade Representative Jamieson Greer will visit India next week for the latest round of talks. Washington and New Delhi have set a target of boosting bilateral trade to US$500 billion by 2030, holding multiple rounds of negotiations in a bid to resolve market access and tariff disputes. – AFP

down by a number of factors that have alarmed investors, from President Prabowo Subianto’s populist spending plans and expensive fuel subsidies straining the national budget to a controversial commodity export policy and doubts about the central bank’s autonomy. The Jakarta stock market has also faced massive selloffs and could see further capital flight if a review underway by global index provider MSCI leads to a downgrade of Indonesia’s market status to “frontier” from “emerging”. The rupiah strengthened to 17,700 a dollar after the rate rise from 17,805 earlier. BI yesterday also announced it will tighten requirements for foreign exchange transactions. From July 1, BI will require supporting documents for outgoing foreign exchange transfers of above US$25,000, down from the current threshold of US$50,000. – Reuters

“Despite improved domestic sentiment and a sharp drop in oil prices, uncertainty remains high ahead of key reviews from S&P rating and MSCI,” said Rangga Cipta, chief economist of Mandiri Securities. “Global risk-off sentiment from the hawkish stance of central banks in advanced countries added to the urgency for BI to hike, maintaining an attractive premium for investors,” he added. Warjiyo said the central bank sees the prospect of the US Federal Reserve further hiking its policy rate due to higher inflation expectations in the United States. Economists from Bank Permata and Capital Economics said they now expect the main policy rate to be maintained until the end of the year. The rupiah has been weighed

JAKARTA: Indonesia’s central bank raised its benchmark interest rates by 25 basis points yesterday, just a week after a surprise off-cycle rate hike, as it seeks to attract fresh capital inflows and halt selling in its battered rupiah and other assets. Bank Indonesia (BI) raised the seven-day reverse repurchase rate to 5.75%, the highest level since May 2025. Twenty of 35 economists in a Reuters survey had predicted the move. BI also raised its two other policy rates by the same amount. The central bank has now hiked its policy rates by a total of 100 basis points in three moves over the past four weeks. BI’s rare off-cycle increase last

week reflected mounting urgency to stabilise the rupiah and anchor investor confidence, after the currency hit a series of record lows amid global volatility, capital outflows and rising domestic policy concerns. “We at Bank Indonesia continue to communicate that we are going all out to maintain the stability of the rupiah and control inflation as part of efforts to mitigate the impacts of global volatility,” Governor Perry Warjiyo said in an online press conference. The rupiah slipped to a lifetime trough of 18,190 a dollar on June 8 before regaining some ground after BI’s surprise rate hike last week and as global market sentiment was boosted by the US and Iran signing

Qantas presents the first of 12 modified Airbus A350 1000ULR jets to be used for record breaking non-stop flights, with Sydney London designated as the first route, at a ceremony at Airbus headquarters in Toulouse. – REUTERSPIC

Qantas to launch non-stop Sydney-London flights SYDNEY: Australian airline Qantas announced it will launch the world’s first non-stop flights between London and Sydney in October 2027. London as it expands non-stop services from Australia’s east coast to international destinations. Launch timing for these services would be announced next year.

which will take passengers between the two cities in as little as 19 hours, are to go on sale in February 2027. “Eliminating the stopover saves customers up to four hours of travel time. This aircraft has been designed from the ground up for ultra long haul travel, with a cabin built around science and combatting jetlag, with an onboard experience purpose built for the length of the journey,“ Hudson said. The Australian carrier has been planning for the flights for nine years but repeatedly pushed back the start date – most recently set for the first half of 2027. Qantas said Sydney-New York would be the next route after Sydney

today is the most significant step in that mission in our 105-year history.” Qantas said it would fly passengers non-stop on the Sydney-London route aboard its new ultra-long-range Airbus A350-1000ULR, which has undergone test flights in Toulouse, France. The Airbus aircraft, which has been designed specifically for the across-the-world flight, carries an extra 20,000-litre rear centre fuel tank to enable non-stop commercial flights of up to 22 hours. Qantas said it would take delivery of 12 aircraft in total, each configured with 238 seats across four cabins. Tickets for the new service,

Qantas pilots have started training on an A350 simulator in Sydney and with British Airways in Britain, the airline said. More than 360 pilots and 1,200 cabin crew are to be trained to operate Qantas’ fleet of Project Sunrise aircraft by the time all 12 aircraft have been delivered, it said. Australian Trade Minister Don Farrell welcomed the announcement. “This is a significant milestone for aviation and tourism in both Australia and the UK.” – AFP

The airline’s “Project Sunrise” service, which has been repeatedly delayed, will cut up to four hours off the flight time between the two cities, the airline said in a statement on Wednesday. “Qantas was built on the belief that Australia’s distance from the rest of the world should never stand in the way,” chief executive Vanessa Hudson said. “The pioneering spirit of generations of our people has forged that path ever since, and