Indonesian Mining Sector Assessment

Situation: This global not-for-profit organisation is focused on alleviating poverty and injustice. From a strategy perspective, the NGO was assessing an expanded scope of work in Indonesia and consequently wanted to understand its mining sector.

Challenge: To assess the mining sector in Indonesia including the new mining law, and recommend actions consistent with its strategic objectives in Indonesia

Action: Undertook desktop research in Australia and field-based interviews in Jakarta with officials from the ANZ Bank, the International Finance Corporation, the World Bank, the Indonesian national government, PriceWaterhouseCoopers, Transparency International and Revenue Watch.

Results: Produced a report entitled: Promoting responsible investment in the Extractive Industries in Indonesia: An Economic and Financial Perspective which included an overview of the relevance of “resource curse” hypothesis for Indonesia and to its minerals and energy sectors; mapping the minerals and energy sector company landscape; assessing governance structures and gaps in the finance of the domestic mining sector