Indonesian Political, Business & Finance News

Archive: 5 November 2026

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Minister sees wiretapping case as opportunity for police reform

Abdurachman said the case involving a former National Police chief should be seen as an opportunity to renew and strengthen the force, while the government monitors legal proceedings for compliance and fairness. Police investigators allege three suspects arranged unauthorised surveillance of President Prabowo and other public figures from 2025 to 2026 outside any law-enforcement process.

Indonesia’s Manufacturing PMI Reaches 54 in October 2026, Says Industry Minister

Indonesia’s manufacturing Purchasing Managers’ Index rose to 54 in October, its strongest expansion in 31 months, according to Industry Minister Muhammad Sarmuji. He said the figure, alongside an Industry Confidence Index of 53.77 and stronger new orders, counters claims of an industrial downturn and signals continued confidence among businesses and investors.

Government plans to distribute NTB’s chilli surplus to regions in need

Trade Minister Budi Santoso says surplus chilli from regions such as NTB will be distributed to areas facing higher prices, citing a recent seven-tonne shipment from East Java to Halmahera. Prices for staple goods in Mataram were reported stable, with chilli and several other commodities selling below government reference prices, while authorities continue monitoring supplies ahead of Christmas and New Year.

Industry Minister Gives Update on Hybrid Car Incentives

Industry Minister Muhammad Sarmuji says discussions with Finance Minister Suahasil Nazara are continuing on a proposed incentive scheme for hybrid vehicles, with several ministries’ perspectives still to be reconciled. The proposals include tax relief and non-fiscal benefits such as exemption from odd-even traffic restrictions, dedicated parking and charging facilities, intended to reduce fuel use and emissions.

Unemployment in Jakarta falls by 12,000 in August 2026

Jakarta recorded 318,000 unemployed people in August 2026, down 12,000 from a year earlier, while the open unemployment rate fell to 5.75%. The rate declined across all five municipalities and the Thousand Islands, although unemployment varied considerably by area and educational attainment.

Malaysia Cuts Prices of Non-Subsidised Fuel: When Will Indonesia Follow?

Malaysia has cut retail prices for non-subsidised petrol and diesel for 5–11 November, citing easing regional fuel markets and lower Brent crude prices. Subsidised fuel prices remain unchanged, while the government expects fuel subsidy spending to reach about RM40 billion next year as it seeks to protect households and businesses.

Deputy Home Affairs Minister Urges Regional Council to Improve Coordination with Ministries and Agencies

Deputy Home Affairs Minister Ribka Haluk has urged the Regional Representative Council (DPD RI) to strengthen coordination with ministries and agencies to address regional problems. She said the ministry would use its data to identify regions with weak fiscal incentives and support people-focused programmes, while calling on the DPD to monitor programme implementation more robustly.

Social Affairs Ministry: People’s Schools Open to Children with Disabilities

Indonesia’s Social Affairs Ministry says its People’s School programme will accept children with disabilities, subject to individual assessments of their needs and ability to adapt. Children not yet ready for regular classes may first receive rehabilitation at ministry facilities, as the programme combines education, rehabilitation and vocational training.

Arriving in Central Kalimantan, Forestry Minister Expresses Grief over Forest-Firefighting Helicopter Incident

Forestry Minister Raja Juli Antoni travelled to Central Kalimantan after a Mi-17V5 helicopter incident during a forest and land fire-fighting mission in Tanjung Puting National Park. Three crew members died, five survivors were evacuated to Banjarmasin for medical treatment, and search and response operations are continuing, including for a crew member still missing.

Housing Ministry speeds up permanent-home construction after disasters in Sumatra

The Ministry of Housing and Settlement Areas is accelerating permanent-home construction for disaster-affected communities in Aceh, West Sumatra and North Sumatra, using different building systems by province. Of 50 construction and supporting-infrastructure packages, 45 had been awarded by the end of September 2026, with work on 7,952 homes due to be completed by 31 December 2026; officials say speed must not compromise procurement rules, safety or quality.

Teenager in Kupang Steals iPhone 15 After Learning Owner’s Passcode

Police in Kupang have arrested a 17-year-old suspected of stealing an iPhone 15 after using the owner’s passcode to access the device. The phone was resold several times before police traced it to a buyer in Soe for Rp10.3 million; the suspect is being questioned and is expected to be named a suspect.

The Hajj Is Redefining the Meaning of Innovation

The Hajj demonstrates that innovation should be judged by whether it makes essential services more accessible and effective, rather than by technological sophistication alone. Ahead of Saudi Arabia’s sixth Hajj Conference and Exhibition in November 2026, the article argues that ideas must be tested in real-world conditions and deliver practical benefits for pilgrims.

Refly Harun and Prosecutor Clash as Jokowi Testifies, Voices Raised

Roy Suryo’s lawyer, Refly Harun, and prosecutors clashed during a hearing in the defamation and electronic information case concerning allegations that Joko Widodo’s university diploma was false. The judge briefly called for a pause and urged the parties to lower their voices as Jokowi testified at the East Jakarta District Court.

Average Workers’ Wages Rise 2.7% in 2026 to Rp3.42 Million

Statistics Indonesia (BPS) reported that average workers’ wages reached Rp3.42 million in August 2026, up 2.7% from a year earlier. Financial and insurance activities recorded the highest average pay, while several service and household-related sectors had the lowest; wages in 11 business sectors were above the overall average.

Bali Police and Provincial Government Put Joint Disaster Response Forces on Standby

Bali Police and the provincial government have placed 404 personnel from the military, police, disaster agencies and other institutions on alert as the island enters the rainy-season transition. Authorities say 48 natural disasters were recorded across Bali in the first three days of November, and urge residents to heed official weather warnings.

MSCI Sends IHSG Tumbling 16.7% as Foreign Investors Pull Out Rp16.88tn

The IHSG fell 16.7% in October to 5,057 after MSCI announced a reclassification of Indonesia’s market, while foreign investors recorded net sales of Rp16.88 trillion. Despite the sell-off, daily share-trading value and the number of domestic capital-market investors increased, and companies continued to raise funds through public offerings.

Gerindra Spokesman Urges Police to Reveal Motive Behind Alleged Wiretapping of President

Gerindra spokesman Wihadi Wiyanto has urged the National Police to transparently establish the motive and those behind the alleged illegal wiretapping of President Prabowo Subianto. The palace says it is awaiting the police investigation into allegations involving wiretapping, deletion of electronic evidence and illegal access, while Wihadi also called for an internal ethics inquiry into any active senior officers involved.

Samarinda City Government Opens Job Fair Offering 501 Vacancies

Samarinda’s 2026 job fair is offering 501 vacancies across 25 companies and 105 job categories, as the city seeks to address an open unemployment rate of 5.31 per cent. The two-day event also provides online job-market access, financial literacy education and information for prospective Indonesian migrant workers.

Filming Permits at Mount Bromo Reopen After Area Declared Safe from Fire

The Bromo Tengger Semeru National Park authority has reopened permits for events and filming at Mount Bromo after monitoring found fire risks had fallen to a safe, controlled level. The move follows a temporary suspension introduced in September 2026 to reduce wildfire risk, with organisers required to apply under conservation-area regulations.

Hyundai Confirms Neira’s Domestic Content Will Exceed 60% Ahead of 2027 Rule

PT Hyundai Motors Indonesia says its new electric vehicle, the Neira, will exceed the government’s 60% domestic content requirement due to local battery production in Karawang and vehicle manufacturing in Cikarang. The model is set to be introduced in more detail at Gaikindo Auto Week 2026, with Hyundai prioritising Indonesian demand before exports.

Global Turmoil Intensifies, but Indonesia’s Financial Sector Remains Stable

The Financial Services Authority (OJK) says Indonesia’s financial services sector remains stable despite geopolitical conflict, energy-driven inflation and expectations of prolonged monetary tightening worldwide. Domestically, demand and manufacturing indicators are strengthening, while economic growth held at 5.4% in the third quarter of 2026.

OJK Flags Global Inflation as High Interest Rates Continue to Loom

OJK says rising energy prices are fuelling global inflation and keeping expectations of high interest rates in place, with monetary tightening potentially continuing until 2027. Despite global instability and risk-off sentiment, Indonesia’s financial industry remains stable as the economy grew by 5.47% year on year in the third quarter of 2026.

Profile: Abdul El-Sayed, Muslim Democrat Elected to the US Senate

Abdul El-Sayed, a progressive Democrat of Egyptian-American heritage and former public health official, has become the first Muslim elected to the US Senate after defeating Republican Mike Rogers in Michigan. His campaign focused on healthcare, housing costs and economic opportunity, while his criticism of US military support for Israel became a major point of controversy.

SIAL Food & Drinks Indonesia 2026 Opens, Featuring 500 Brands from 16 Countries

SIAL Food & Drinks Indonesia 2026 has opened in Jakarta, bringing together more than 500 brands from 16 countries and territories with businesses and professional buyers. The Trade Ministry said Indonesian processed-food exports reached US$4.49 billion in January–August 2026, up 13.47% year on year, and presented the exhibition as a way to build international partnerships and expand market access.

Netanyahu on the Brink as Israel’s President Starts Seeking a New Leader

Benjamin Netanyahu’s coalition has fallen short of a parliamentary majority, prompting President Isaac Herzog to consult party leaders on who should form Israel’s next government. Arab parties could prove decisive for opposition leader Gadi Eisenkot, while Netanyahu’s allegations of election fraud have been rejected by investigators for lack of evidence.

Roy Suryo’s Lawyer Asks Jokowi: Do You Have Another Name? Mulyono, Purwoko or Jack?

Former president Joko Widodo told a court that he has no other name, although Mulyono was his childhood name, after Roy Suryo’s lawyer asked about names allegedly used during university community service. Jokowi appeared as a witness in the defamation case, in which Suryo is accused of spreading false claims about the authenticity of Jokowi’s university diploma.

Repairs to Cultural Heritage Sites and Properties in Sumatra Continue after Disasters

Indonesia’s Ministry of Culture is carrying out rehabilitation work at cultural heritage sites and facilities affected by disasters in Aceh, West Sumatra and North Sumatra, with completion targeted for this year and work to continue into next year if needed. Plans in Aceh include repairs to 112 traditional master artists’ homes, the recovery of 314 heritage and suspected heritage objects, and the revitalisation of two museums.

Education Ministry Trains 58,000 Primary School Teachers to Prepare Them to Teach English

Indonesia’s Ministry of Primary and Secondary Education is training 58,482 primary school teachers to teach English, which will become compulsory for Year 3 pupils in the 2027/2028 academic year. The 80-hour programme is being delivered through 101 universities and designed to let teachers continue teaching their pupils while they attend training.

Samin Tan Accused of Causing Rp17.7 Trillion in State Losses Through Coal Mining Corruption

Prosecutors have accused mining businessman Samin Tan of causing Rp17.7 trillion in state losses by illegally mining, transporting and selling coal after his company’s mining contract was terminated in 2017. They allege the activity also benefited 13 port officials and a company executive, and have charged Tan under Indonesia’s corruption and criminal code provisions.

Japanese Police to Share Fraud Account Data to Prevent Losses

Japan’s National Police Agency will begin sharing details of bank accounts linked to fraud with 807 financial institutions nationwide, enabling quicker intervention when victims make transfers. The move is intended to prevent repeat payments, as losses from fraud reached 261 billion yen in the first nine months of the year and are expected to exceed last year’s record.

KPK Summons Agung Sedayu Group Director as Witness in Haniv Case

Indonesia’s Corruption Eradication Commission (KPK) has summoned Agung Sedayu Group’s marketing director, identified as VSW, to testify in an alleged gratification case involving former tax official Muhammad Haniv. The KPK suspects Haniv received Rp20.7 billion from taxpayer companies, including funds linked to a fashion show and payments made over several years.

Indonesia’s Manufacturing PMI Reaches 54 in October 2026, Says Industry Minister

Indonesia’s manufacturing Purchasing Managers’ Index rose to 54 in October 2026, its strongest expansion in 31 months, according to Industry Minister Muhammad Sarmuji. New orders and export orders strengthened, while food and beverage manufacturing grew by 6.77 per cent and attracted Rp47.74 trillion in investment in the first half of the year.

Indonesia’s Unemployment Falls to 7.38 Million: Here’s Why

Indonesia’s unemployment total fell by 77,000 to 7.38 million in August 2026, with seasonal planting and harvesting activity boosting agricultural employment. The labour force grew to 155.3 million, partly as university graduates entered the job market, while the data also showed increases in part-time work and underemployment.

Rumah Zakat Distributes 52,500 Litres of Clean Water to Drought-Hit Residents in Semarang

Rumah Zakat has delivered 52,500 litres of clean water to residents of Meteseh, Semarang, where about 150 households have faced a shortage for nearly five months. Although the rainy season is beginning, groundwater supplies have yet to recover, and the organisation says it will monitor conditions and provide further assistance if needed.

Indonesian Consulate in Johor Bahru Facilitates Return of 55 Indonesians

The Indonesian Consulate General in Johor Bahru facilitated the return of 55 Indonesian nationals and migrant workers deported from Malaysia, including one child. The consulate says it has assisted with the deportation of 5,202 Indonesians since January 2026, while urging prospective migrant workers to use official channels and follow legal procedures.

Honouring His Pledge to Livestock Farmers, Minister Amran Strengthens Integration of Maize Farmers and Cooperatives as a Permanent Solution

Agriculture Minister Andi Amran Sulaiman has outlined a supply-chain scheme linking maize farmers, livestock farmers, cooperatives and Bulog to stabilise feed supplies and protect farmers from price volatility. Under the plan, Bulog will buy surplus harvests for storage and make the stocks available during the lean season, while existing cooperatives will be strengthened.

Iran Reports Two Tankers on Fire in Hormuz and Says It Hacked Two Drones

Iran’s Islamic Revolutionary Guard Corps says two oil tankers and a tugboat caught fire while attempting to cross the Strait of Hormuz, and that its navy took control of two LUCAS drones using electronic warfare. The report comes amid renewed hostilities and diplomatic efforts over reopening the strategic waterway, including an Iranian proposal rejected by US President Donald Trump.

BP BUMN Pushes to Increase Defence Industry Production Capacity

BP BUMN and Danantara are backing the development of Indonesia’s defence equipment and national car industries through higher production capacity, modern technology and greater investment. The initiative is intended to strengthen domestic manufacturing and help meet national demand, with Pindad among the companies expected to benefit.

PLN and Bappisus Meet to Discuss Power Supply and Oversight

PLN and the Agency for Development Control and Special Investigations (Bappisus) discussed operational performance, project oversight and measures to strengthen Indonesia’s electricity reliability. Plans include raising capacity from 71 GW to 81 GW over the next decade, examining nuclear power, and pursuing the government’s 100 GWp solar programme while limiting outages and preventing budget leakages.

KPAI Urges People’s Schools to Improve Access to Education for Children with Disabilities

Indonesia’s Child Protection Commission (KPAI) has called for the People’s School programme to provide inclusive facilities and stronger protections so children with disabilities can access education on equal terms. The appeal comes amid findings that children with disabilities and those in conflict with the law who live in child welfare institutions are at risk of being out of school; the programme currently operates 182 schools and aims to build 500 permanent sites by 2029.

Tanjung Emas Customs and Semarang Prosecutors Destroy 90.2 Tonnes of Kratom

Tanjung Emas Customs and the Semarang District Prosecutor’s Office destroyed 90.2 tonnes of kratom worth around Rp4.96 billion, seized during an attempted export to India involving falsified customs documents. Four people were convicted in the case; officials also outlined export restrictions on kratom and reported strong customs revenue growth through October 2026.

Camel Group expands its multi-technology battery portfolio at the 140th Canton Fair

Camel Group showcased batteries for electric two- and three-wheelers, low-speed vehicles and automotive low-voltage applications at the 140th Canton Fair. Its portfolio includes lead-acid, lithium-ion and sodium-ion technologies, with its 12V sodium-ion battery entering a pre-development project with a European carmaker; the company also highlighted its manufacturing, research and overseas service network.

KPK summons five former Bank BJB directors as witnesses in advertising case

Indonesia’s Corruption Eradication Commission (KPK) has summoned five former Bank BJB directors and a former legal division head as witnesses in an alleged corruption case involving advertising procurement from 2021 to 2023. Investigators estimate the case, involving six advertising agencies, caused state losses of around Rp223.6 billion; five people have been named suspects, and four were detained in August 2026.

Sarolangun Regency Partners with Askrindo to Strengthen Protection for MSMEs

Sarolangun Regency has signed a cooperation agreement with state-owned insurer Askrindo to expand insurance and suretyship protection for local infrastructure, public assets and businesses. The partnership will also seek to improve credit guarantees for farmers and micro-enterprises, supporting economic resilience in a regency whose economy grew by 4.78% in 2025.

Tensions Flare as Prosecutor and Roy Suryo’s Lawyer Clash During Jokowi’s Testimony

A hearing in the defamation case against Roy Suryo was briefly suspended after his lawyer and a prosecutor exchanged heated remarks while questioning former president Joko Widodo. The dispute centred on repeated questions and courtroom procedure; Roy Suryo is accused of spreading false information about Jokowi’s diploma and faces charges under Indonesia’s Criminal Code and Electronic Information and Transactions Law.

To Sustain JKN, BPJS Kesehatan Uses Rp10 Trillion to Pay Healthcare Claims

BPJS Kesehatan says the first Rp10 trillion government assistance allocation for the Health Social Security Fund was fully used by 28 October 2026 to pay claims from healthcare facilities. A further Rp10 trillion is expected in November, with the support intended to maintain the National Health Insurance (JKN) programme’s funding while claims continue to be processed under established rules.

Government Seeks to Develop Downstream Industries to Stabilise Nickel Prices

The government is encouraging investment in downstream industries to absorb processed nickel products amid reported oversupply, with the aim of supporting market balance and price stability. Investment Ministry official Heldy Satrya Putera said the policy would complement the ban on nickel ore exports by building a more complete domestic industrial ecosystem.

Lampung Governor Sets Out Three Steps to Accelerate Regional Investment

Lampung Governor Rahmat Mirzani Djausal has outlined a three-part plan to attract investment, centred on faster digital permitting, regulatory certainty and a more supportive business climate. The province’s economic growth and investment forum brought together more than 100 prospective investors, with officials highlighting downstream processing and project readiness as priorities for turning interest into realised investment.

CCTV Captures Moments Before Gas Explosion in West Jakarta as Residents Scream in Panic

A suspected leak from a 3-kilogram LPG cylinder caused an early-morning explosion in Kampung Guji, West Jakarta, injuring seven people and damaging 10 homes. Police say the blast occurred when a resident tried to light a gas stove and are investigating the incident.

Culture Ministry backs literary development through National Talent Management

The Culture Ministry is using its National Talent Management programme to nurture young writers, build a talent pool and raise Indonesian literature’s international profile, including through translation initiatives. Minister Fadli Zon said cultural heritage and intellectual property could also support social cohesion and sustainable economic growth.