Indonesia

 Foreign and Economic Policies

 These principles are the foundation of Indonesia’s foreign policy, which is
independent and active. The policy is independent because Indonesia does not side
with world powers. As a matter of principle, so doing would be incompatible with the
country’s national philosophy and identity as implied in Pancasila. The foreign policy
is active to the extent that Indonesia does not maintain a passive or reactive stand
on international issues but seeks active participation in their settlement. In other
words, Indonesia’s independent and active policy is not a neutral policy, but it is one
that does not align Indonesia with the super powers nor does it bind the country to
any military pact. Essentially, it is a policy designed to serve the national interest
while simultaneously allowing Indonesia to cooperate with other nations to abolish
colonialism and imperialism in all their forms and manifestations for the sake of
world peace and social justice. This explains why Indonesia was one of the founding
members of the Non-Aligned Movement.
 Education System
 Primary Education. In Indonesia education is centrally controlled by the ministry of
national education. 6 years in primary school and 3 years in junior high school are
compulsory. The primary phase follows on after optional pre-school playgroups that
may commence in a child’s third year. Most elementary schools are government
controlled. Some offer accelerated programs that compress the phase to 5 years. As
Islamic education system operates in parallel to this.
 Middle Education. Junior high school offers a bridge between the gentler pace of the
elementary phase, and the challenges of senior high school that may follow. It also
assists educators to determine a possible future direction for their students. The
Islamic education system continues to provide an alternative.
 Secondary Education. There are two different kinds of Indonesian high schools
providing two streams of education for those who choose to optionally enroll. One of
these is aimed at those who intend to go on to university. The other is for those who
plan to find jobs right away. Other young people choose the Islamic alternative.
 Vocational Education. Vocational training is mainly provided by private training
colleges and initiatives by donor countries. Unfortunately this continues to occur
mainly in the cities. This continues to condemn most of the rural poor to a life of
drudgery and manual labor.
 Tertiary Education. There are 4 kinds of tertiary education institutions in Indonesia,
namely polytechnics, academies, institutes and universities. Some of these are state
controlled, some are religiously affiliated and some are privately funded.
 Challenges/Problems encountered by Indonesia
 Economic
 Slowing household consumption. The need to heed for household consumption
decline as it will majorly affect state spending, given more than half of
Indonesia's GDP is composed of household consumption.
 Decline in commodity prices. Although the government has diversified the
economy in recent years, Indonesian still relies heavily on commodity sector.
 Global financial market turbulence. The third risk is the interest rate hike by the
US central bank, which is predicted to trigger financial market turmoil. On
 Wednesday, Dec. 13, The Fed officially raised its benchmark interest rate by
0.25 percent to 1.25-1.50 percent.
 Political
 The Indonesian parliament continues to be dominated by secular-nationalist
parties.
 The emphasis on nationalism could undermine the prospect of greater ethnic
Chinese representation in the parliament.
 The perception of elevated levels of government corruption will continue to pose
major economic and social problems and can impede the provision of public
services.
 A flawed taxation system further hampers the ability of the government to enact
requisite financial legislation.
 The Indonesian National Armed Forces are seeking to increase their influence
in domestic politics through greater involvement in internal security matters.
 Environmental
 Unlawful Deforestation. Accounts on websites of Indonesian forests being
unlawfully logged, is among the largest environmental problems in Indonesia;
this issue stems from the abundance of Timber and the family member
destitution of a lot of Indonesia’s populace, as well as the weakness of
legislation enforcement. Logging affects the setting of Indonesia in many
various ways, such as flooding and landslides resultant from uncontrolled
logging and deforestation. One specific landslide in November 2003 declared
the lives of at the very least one-hundred-fifty individuals. On top of that, the
environmental troubles in Indonesia was exacerbated with the rough political
problem that made ecological defense complicated; it’s government’s lack of
clear authority, both regional and also local, added to generating weak
regulative organizations.
 Air Pollution. On top of that, the environmental troubles in Indonesia was
exacerbated with the rough political problem that made ecological defense
complicated; it’s government’s lack of clear authority, both regional and also
local, added to generating weak regulative organizations. It is obvious that
Indonesia possesses exceptional as well as important natural atmosphere; the
country is the home of the largest coral reef system of the world as well as the
globe’s greatest rainfall woodlands too. Its forests features as among the
world’s significant “carbon sinks” which implies that it normally sequesters world
carbon launches and becomes a very crucial aspect in quitting environment
modification. Indonesia’s lawful system would have to improve ecological
policies, in addition to its more stringent enforcement to better the current
environmental condition it remains in. This could be a huge obstacle for the
Indonesian government, but they have currently taken preliminary actions to
recuperate as well as conserve its degrading atmosphere.
 Rapid urban growth. It has created a number of environmental problems. New
and growing industries have harmed air and water quality, and expanding urban
development has encroached on rural areas. The migration of rural people to
cities has overtaxed groundwater supplies, and urban watercourses are often
polluted with solid wastes.
  Cultural
 Collectivism. Indonesian society is very collectivist which means that they tend
to place a higher importance on the group than on the individual. Family,
extended family and the community are very important and will always be
placed above individuals or business. Closely linked with collectivism is the
importance of personal relationships and relationship building. When doing
business in Indonesia, long-term relationships based on trust and familiarity are
essential. Personal contacts and networks are important in making business
deals and will help you improve your success of doing business in Indonesia.
 Communication Style. Differences in styles of communication are often a
reason for cross-cultural misunderstandings and faux-pas. To get a full
understanding of Indonesian business etiquette it is important to understand
their preference for a high context and indirect style. In other words,
Indonesians tend to place a high importance on body language and non-verbal
communication. Indonesians also tend to speak in a subtle way and would
never directly speak their minds in public.
 Time Management. Indonesians have a very relaxed attitude to time. The focus
on building relationships is highly valued and much time can be spent on this
before getting into the business task at hand. For people that come from
monochromic cultures this way of doing business can be very frustrating and
could cause misunderstandings when doing business in Indonesia.

Philippines

 Foreign and Economic Policies

 Article II, Section 2: "The Philippines renounces war as an instrument of national
policy, adopts the generally accepted principles of international law as part of the law
of the land and adheres to the policy of peace, equality, justice."
 Article II, Section 7: "The State shall pursue an independent foreign policy. In its
relations with other states the paramount consideration shall be national sovereignty,
territorial integrity, national interest, and the right to self-determination."
 Republic Act No. 7157, otherwise known as "Philippine Foreign Service Act of 1991",
gives mandate to the Department of Foreign Affairs to implement the three (3) pillars
of the Philippine Foreign Policy, as follows: 1. Preservation and enhancement of
national security; 2. Promotion and attainment of economic security; and 3. Protection
of the rights and promotion of the welfare and interest of Filipinos overseas.

 These eight foreign policy realities are:

 China, Japan and the United States and their relationship will be a determining
influence in the security situation and economic evolution of East Asia;

 Philippine foreign policy decisions have to be made in the context of ASEAN;

  The international Islamic community will continue to be important for the
Philippines;

 The coming years will see the growing importance of multilateral and inter-
regional organizations to promote common interests;

 As an archipelagic state, the defense of the nation's sovereignty and the

protection of its environment and natural resources can be carried out only to the
extent that it asserts its rights over the maritime territory and gets others to
respect those rights;

 The country's economic policy will continue to be friendly to both domestic and
foreign direct investments;

 The Philippines can benefit most quickly from international tourism

 Overseas Filipinos will continue to be recognized for their critical role in the
country's economic and social stability.

 Educational System
 Primary Education. Paaralang Elementarya or elementary education is the first part
of the educational system, and it includes the first six years of compulsory
education from grade 1 to 6, with an optional 7th grade offered by some schools.
Major subjects include maths, science, English, Filipino and social sciences.
Optional subjects include music, arts, physical education, and health. Private
school students may select subjects from a wider curriculum including religious
instruction in the dogma of their choice. Until 2004, primary students traditionally
sat for the National Elementary Achievement Test (NEAT) administered by the
Department of Education, Culture and Sports (DECS). However, the scores
obtained by students in the NEAT were not used as a basis for their admission into
Secondary school. During 2004, when DECS was officially converted into the
Department of Education (DepEd), and as a result of reorganization, the NEAT
was changed to National Achievement Test (NAT) by the Department of Education
(DepEd). Students from both public and private elementary schools take this exam
to measure a school's competency. As of 2006, only private schools have entrance
examinations for Secondary school.
 Junior High School. Secondary education lasted 4 years, and was aimed at
children aged 12-16. In general, education is provided by both public and private
schools. The names for secondary schools include 'high school', 'lyceum' and
'academy'; in general, however, the term 'high school' is used. Depending on the
subject, the language of education is English or Filipino. Filipino and makabaya (a
subject covering national identity, norms and values, among other things) are
taught in Filipino. English, mathematics and science are taught in English. As of
2011, all pupils in the third year of high school (grade 9) take the National Career
Assessment Examination (NCAE); initially this exam was taken in the fourth year of
 high school (grade 10). Some high schools are affiliated with higher education
institutions, in which case the diploma states that the curriculum is that of
secondary education as prescribed by the Department of Education.
 Senior High School. The Republic Act 10533 or the Enhanced Basic Education Act
makes 12 years of basic education for Filipino children compulsory. Primary and
secondary education is currently being reformed as part of the 'K-to-12' project.
Under this programme, education will become compulsory for children aged 5-18,
which will include 1 year of kindergarten, 6 years of primary education and 6 years
of secondary education. The current 'high school' will become 'junior high school'
(4 years) and the new 'senior high school' will last for 2 years (grades 11-12). The
reforms will be implemented in stages. The initial pupil cohort started under the
new structure in 2012 in grade 7 (the first year of secondary education), and will
receive the new grade 12 diploma in 2018.
 Tertiary Level. Most institutions of higher learning are regulated by the commission
for higher education. Colleges typically offer 1 or more specialized programs while
universities must offer at least 8 different undergraduate degree programs in a
wide array of subjects and at least 2 graduate programs. Public universities are all
non-sectarian and offer a wide-range of programs, with English as a medium of
instruction. Public universities are government funded, with the largest, the
University of the Philippines, receiving the substantial portion of the annual budget.
There are also a number of private tertiary institutions, sectarian or non-sectarian
as well as for-profit or not-for-profit. Most private institutions are Catholic non-profit
organizations. Most universities offer 4 year degree programs with 2 semesters per
year. 
 Challenges/Problems faced by the Philippines
 Economic
 Inflation. Inflation hit 4.6 percent in May 2018 (4.1 percent in the first five
months), definitely beyond the BSP’s sustainable range of two percent to four
percent.
 Fast depreciating value of the peso. It is down to a 12-year low against the dollar.
The peso closed at 53.12 against the dollar last week and is the region’s worst
performing currency. A widening trade deficit is to blame… the value of our imports
are more than our exports.
 Structural Problems. The roots of underdevelopment lie in the underlying
structure of the Philippines’ economy, which is mostly rural, agricultural, and
suffers from low productivity.
 Regulations. Commercial, regulatory, and labor market distortions have
prevented a similar transition from taking place in the Philippines. High
minimum wages and “regularization” policies that prevent companies from firing
employees apply only to the formal commercial sector, hobbling its growth. The
result has been two classes of workers—the privileged few who can enjoy the
benefits of these regulations in the modern sector and the vast majority with low
productivity jobs in the informal and agricultural sectors.
 “Legalism” Not the Answer. Additional laws and regulations would do little to
solve the paradox of the Philippine government, which does both too much and
too little to promote growth. Instead, policymakers should identify which rules
are productive and crucial to development and jettison those that are not.
  Political
 Defects in the political system, such as Constitutional provisions which create a
very strong presidency, which make it difficult to remove him/her from office in
spite of her/his unpopular and questionable political decisions; strong
presidency which controls politics and economic power (executive, legislative,
judicial) of government.
 Graft and corruption practices before, during, and after elections. For instance,
vote buying and “dagdag-bawas” practices in the counting of votes.
 Bureaucracy, nepotism, massive graft and corruption in the government.
 Black propaganda, mud-slinging and other dirty tactics to discredit political
opponents.
 A politics focused on personalities and not on genuine platforms of government.
 Lack of strong enabling laws to curb political dynasty, nepotism, political
opportunism, cronyism and the like.
 Lack of political will on the part of government to institute genuine land reform to
provide more social services, to allocate more budget to education, to
industrialize agriculture, to reform the judiciary, to combat graft and corruption,
to support local entrepreneurs, and may others.
 Lack of political will on the part of government to institute genuine land reform to
provide more social services, to allocate more budget to education, to
industrialize agriculture, to reform the judiciary, to combat graft and corruption,
to support local entrepreneurs, and may others.
 Entering into business ventures with foreign capitalist as well as the exploitation
and exploration of our natural resources.
 Governmental policy on the export of manpower and raw materials rather than
support to local entrepreneurs.
 Governmental reliance on foreign investors, MNC’s and TNC’s foreign debts
and foreign aid.
 Inefficient tax collection and tax evasion by individual and corporate taxpayers.
 Political and economic instability brought about by the peso devaluation,
deregulation policy, high cost of gasoline and crude oil products, military
threats, coup d\ etat, and unstable peace and order in the country.
 Privatization and commercialization of government-owned or controlled
corporations.
 Military abuses, police brutality and violation of human rights.
 The issue on Charter Change and shift to the Parliamentary System of
government.
 Extensive role of mass media in voter decision.
 Environmental
 Pollution. Pollution, in context, is the introduction of contaminants into the
environment causing adverse change. It is present through noise, air and water.
As we produce more noise, it can interfere with the behavior of certain animals
in the eco-system. Also, on some studies, the effect of sound waves turns into
heat causing a slight change in the temperature of the environment. Air pollution
is what we can often see in urban places. Smoke belching vehicles and gases
from factories are the culprits in contributing to air pollution. On water pollution,
 incessant throwing of garbage and inappropriate industrial waste disposal
affects our bodies of water, which in turn cause trouble in marine life.
 Global Warming. In almost any activity, we emit greenhouse gas such as using
our electricity, cooking and driving our cars. As we breathe out, we also produce
carbon dioxide. The more people in a certain area, the bigger carbon dioxide
are emitted into the environment. As these gases are produce, it generates heat
causing a change in the climate.
 Overpopulation. Overpopulation seeds into a lot of problems. With the need for
new homes, the development of new buildings, houses and establishments are
in order. After which the demand for electricity, food and other greenhouse
gases also increases. Scarcity of food can be experienced due to the limited
ability of the animals to populate fast. Thus, dishonest people nowadays resort
to using chemicals and medications to boost and fake the growth of these
animals. Overpopulation also means having more garbage to dispose.
 Natural resources depletion. Mining and quarrying has become rampant over
the years and are to be blamed for destroying the beauty of our environment.
Among the natural resources that we have, water, oil and forests are the top
three on the list. Fresh water, in reality, is only 2.5% of the world’s total water
volume. If the problems affecting our bodies of water continue, the demand for
drinking water will increase causing water shortage and worse, famine. Oil, on
the other hand, is used every day for transportation of goods and electricity.
Lastly, according to statistics, deforestation contributes an estimate of 12% to
17% of greenhouse gas emission per year. Trees emit oxygen and filter the air.
But with lesser trees, flash floods are likely to happen.
 Waste Disposal. Improper waste disposal creates a hazardous problem to
everyone. It may infect people not only physically but through the air and water.
Garbage thrown in the rivers and canals may not only block our waterways but
it invites rodents to infect the water and soon be transferred to humans.
Clogged waterways have a tendency to spill causing flash floods, which is what
is happening here in our country. Likewise, the lack of enough dumpsites and
landfills is also a hindrance in helping to solve our garbage management crisis.
 Cultural
 Colonial Mentality. Filipinos have this mindset that imported things are always
better than the locals, in practically every aspect of life. From household
products, to literature and choice of music. Filipinos are conditioned to think this
way. Some may think that this problem is something we can live but in reality,
this is a very serious problem and it threatens not the preservation of the
Philippine culture, but the economy as well. The economy gets affected when
Filipinos start to patronize foreign imported services and products over those
which were locally made and offered. This is believed to be injected by the
Americans during their occupation.
 Crab Mentality. The term was coined in comparison with the way crabs behave
since these creatures always try to pull and drag down one of their own
whenever one of them gets on the top. Filipinos may try to deny it but a lot of
them actually behave this way without actually being aware of it. Jealousy and
envy is obviously what drives someone to have this sort of mindset. Some
people hate the fact that someone is successful and they are not, instead of
 serving as an inspiration to do better, what they are going to do is try to destroy
the other person’s image, as if compensation to what they feel.
 “Ethnic Majority” and “Ethnic Minority”. A result of the Philippines’ colonial past.
The Filipinos who were assimilated by Spain became the “ethnic majority”.
While those who continued the practices of their ancestors were labeled as
“minorities” and “indigenous peoples”. And it is saddening that a lot of Filipinos
perceive minorities as uneducated, barbaric and ancient.