TRADING THE I’S IN BRIC & MIST Indonesia’s place in the global market strengthens. Stephanie MacMillan BUSN-412 Business Policy Professor Chao-Hrenek WHAT IS BRIC? Jim O'Neill BRIC - Brazil - Russia - India - China - WHAT IS MIST? MIST Mexico Indonesia South Korea Turkey GETTING TO KNOW INDONESIA • Southeast Asia • I > 3x • Settled in 17 th Century • Indonesian Independence • Democratic Nation GETTING TO KNOW INDONESIA Fourth Largest Seventh Place by 2050 Returned to Investment Grade BRIC FOUNDATIONAL SHIFTS BRIC’s “I” flounders MIST’s “I” flourishes India’s poor performance shines light on Indonesia’s strengthening economy and position in the global market Fastest growing country Middle Class stable and growing WHAT WE’RE HEARING Investor Favor Indonesia’s growth calls for top spot Investors pull from India Indonesia gains investors “I” FOR AN “I” India Indonesia INDIA Third G20 India’s developing economy INDIA Workforce Agricultural Services 2011 slowdown INDONESIA Fifth G20 Developing economy Reformation Tax and customs reforms Treasury bills Capital market development INDONESIA Outperformance during global financial crisis >25% debt-GDP ratio Surplus Fiscal deficit >2% Lower rates of inflation INDONESIA Investing Global Index GDP Delivery Size & Product SUMMARIZING THE MESSAGE Jim O’Neill BRIC & MIST Indonesia’s rise BRIC MIST Brazil Mexico Russia Indonesia India South Korea China Turkey References Balakrishnan, N. (2011 March 31). Indonesian economy will soon be up to Bric standards. TheNational. Retrieved from hwww.thenational.ae. Bhatia, G. (2012 May 15). Will Indonesia Replace India in the BRICs? CNBC. Retrieved from www.cnbc.com. BRIC. (2012 September 14). Wikipedia: the free encyclopedia. Retrieved from http://en.wikipedia.org. Chatterjee, N. Latul, J. (2012 January 19). Special report: The missing BRIC in Indonesia's wall. Reuters. Retrieved from www.reuters.com. Jim O’Neill (economist). (2012 August 26). Wikipedia: the free encyclopedia. Retrieved from http://en.wikipedia.org. MIKT. (2012 September 9). Wikipedia: the free encyclopedia. Retrieved from http://en.wikipedia.org. Pimpa, N.. (2012 May 28). Growth in our MIST: the economic bloc to watch. The Conversation. Retrieved from http://theconversation.edu.au. The World Factbook: Indonesia. (2012 September 12). CIA. Retrieved from www.cia.gov. U.S. Relations With Indonesia. (2012 July 31). U.S. Department of State: Diplomacy in Action. Retrieved from www.state.gov. Walsh, F. (2011 January 17). Welcome to the 'Bric 'n' Mitsk'. thegaurdian. www.guardian.co.uk. Wie, K.W. (2012 June 29). Comparing India's and Indonesia's economic performance. EastAsiaForum. Retrieved from www.eastasiaforum.org.