CPA–Monash collaboration for resilience and growth
Wednesday 17 June 2020
CPA Australia partnered with Monash University in today’s webinar on Covid-19 Effect: Business Resilience, Impact to the New FTA.
The impact of the coronavirus (COVID-19) is affecting businesses around the world. Leaders are navigating a broad range of interrelated issues that span from keeping their employees and customers safe, shoring-up cash and liquidity, reorienting operations, and navigating complex government support programs. To ensure business continuity, having an emergency plan is essential. In the current situation, it is vital to react as fast as possible in order to mitigate impacts and other risks and to prepare the organisation for the further development of the COVID-19 pandemic and its possible scenarios.
The newly ratified Indonesia-Australia Comprehensive Economic Partnership Agreement (IA-CEPA), which will enter into force next month (July 5th) provides opportunities for Indonesian and Australian business to work together to overcome the challenges of COVID-19 and to grow business for a prosperous future.
The partnership between CPA and Monash has brought many public lectures to CPA members and Monash alumni to inform on subjects ranging from jobs of the future and industry 4.0 to effective investor relations. These face-to-face events have been well attended and provided opportunity for knowledge sharing and networking. Professor Michaela Rankin, Deputy Dean International, Faculty of Business & Economics featured in one such event in September 2019. She joined the webinar to introduce the Monash Business School and noted the school’s focus on excellence, with Triple Accreditation and a mission to engage in the highest quality education and research. She also highlighted the history of engagement with Indonesia and excitement around plans to offer a master degree in business innovation at the new Monash campus from late 2021.
The first online joint event featured:
- Dr Adi Budiarso, CA, MAcc, CHRPE, FCPA (Aust.), Director of the Centre of Climate Change Finance and Multilateral Policy, Fiscal Policy Agency, Ministry of Finance. Dr Adi Budiarso is currently the Head of the Climate Change and Multilateral Policy Center at the Fiscal Policy Agency of the Indonesian Ministry of Finance.
- Professor Sisira Jayasuriya, Centre for Development Economics and Sustainability, Monash University Business School
- Mr Todd Dias, Head of the Economic Trade and Investment Section, Australian Embassy
Mr Reza Havies, Country Manager & Chief Representative – Indonesia opened the joint webinar, and Mr Todd Dias introduced the distinguished panellists and congratulated Monash on being the first foreign university to open a branch campus in Indonesia.
Dr Adi Budiarso presented on COVID-19 crisis and situation, noting that reducing the chance/preparing for a second wave is a top priority, as the ‘double-hit scenario’ is very worrying to economies around the globe. Indonesia’s forecast for severe impact in 2020 is economic growth of 2.3% with the very severe forecast of -0.4%. Plans are in place to address health data gaps, increase infrastructure resilience and establish G20’s global risk monitoring and preparedness. Dr Adi outlined the G20 measures and commitment from Indonesia to implement them. The National Economic Recovery Program (PEN) was described along with measures to support health, social protection, business incentives, SMEs, corporate financing and sectoral and regional government.
Professor Sisira Jayasuriya set the scene in which IA-CEPA will be introduced including current global economic turmoil, with the World Bank’s projection of a 5.2% contraction in the global economy due to COVID-19, and geopolitical turmoil related to the US-China strategic rivalry increasing trade tensions. Indonesia and Australia are set to suffer from the regional and global retreat from free trade. While IA-CEPA will benefit both countries, it will not be a substitute for the losses inflicted by potential trade wars.
To conclude the presentation section, Mr Todd provided an overview of the measures in place by the Australian Government to ensure readiness for the IA-CEPA when it comes into force, and particularly when borders reopen. This is particularly relevant to trade between our two nations as the number one export from Indonesia to Australia is tourism, and the number one export from Australia to Indonesia is education, which rely on people movement.
There were over 130 participants in the webinar and questions during the Q&A session focused around opportunities through IA-CEPA for Indonesia in supply chains beyond supplying raw materials, and skills training in health, particularly nursing. There were also questions on comparing the COVID-19 pandemic to the Asian Financial Crisis and the Global Financial Crisis with confirmation that COVID-19 will have a significantly greater impact on Indonesia.
Thank you to all those involved in making this happen. For more information on CPA Australia Indonesia, please visit the CPA website.
For more information on Monash University, please visit our website. You can also find out more about our COVID-19 research here. If you are keen to explore collaboration in Indonesia, please contact the Monash Indonesia Representative Office (MIRO).