Indonesian Political, Business & Finance News

Archive: 13 April 2026

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The Legal Architecture of Indonesia's Sharia Economy and Finance: Enabling the Common People to Smile Happily

Indonesia's sharia economy and finance have transitioned from the periphery to the mainstream, forming a key part of national development strategies aimed at enhancing competitiveness, equity, and economic growth. A robust and integrated legal architecture, grounded in the 1945 Constitution and Pancasila, ensures sustainability by preventing fragmentation and overlapping authorities, while drawing on legal theories from Radbruch, Rousseau, Kelsen, and Hart to legitimise its positive law status. The Sharia Economic and Finance Master Plan (MEKSI) 2025-2029 serves as a functional bridge between constitutional visions and sectoral policies, touching on legal substance, structure, and culture to foster widespread prosperity and well-being for ordinary citizens.

Indonesia seeks stronger Russia ties as Prabowo lands in Moscow

President Prabowo Subianto has arrived in Moscow for a state visit to strengthen strategic ties with Russia, particularly in the energy sector amid global geopolitical tensions. He is scheduled to hold a one-on-one meeting with President Vladimir Putin to discuss energy security and bilateral cooperation, highlighting Indonesia's commitment to active diplomacy for economic stability and national interests. This visit underscores Indonesia's proactive engagement with key partners to secure oil supplies disrupted by issues like restricted access through the Strait of Hormuz.

Video: This Insurance Business is Predicted to Profit as War Heats Up

Indonesia's insurance industry recorded a 6.8% year-on-year asset growth to Rp1,219.35 trillion and a 3.5% increase in premium income to Rp62.37 trillion by February 2026, aligning with robust economic expansion that also boosted reinsurance premiums by 7.41%. While sectors like property insurance, credit and surety, marine hull, and motor insurance—particularly for electric vehicles—are expected to grow up to 8%, challenges persist in health insurance and large claims; the full outlook for 2026 was discussed in a CNBC Indonesia interview with INARE President Commissioner Firdaus Djaelani.

Rosan Reveals Investment Realisation to Reach Rp497 Trillion in Early 2026

Investment Minister Rosan Perkasa Roeslani has disclosed that investment realisation for the first quarter of 2026 is projected to reach Rp497 trillion, marking a 7% year-on-year growth and absorbing 627,000 jobs, up 5.5% from the previous period. The government has set an annual investment target of Rp2,041.3 trillion for 2026 to support an 8% economic growth rate as outlined in the 2025-2029 National Medium-Term Development Plan, with a cumulative target of Rp13,032.8 trillion by the end of the period. This projection underscores the government's efforts to bolster national economic expansion through enhanced investment activities.

KDM Signs Agreement on Waste Management into Electricity Energy

West Java Governor Dedi Mulyadi, along with several regents and mayors, signed a joint agreement to address urban waste through environmentally friendly technology that converts waste into electricity energy, following directives from President Prabowo Subianto. The initiative will establish Waste-to-Energy facilities at two sites: TPA Sarimukti in West Bandung Regency, serving multiple cities and regencies, and Kayumanis in Bogor City, handling waste from Bogor and Depok. This move, supported by Environment Minister Hanif Faisol Nurofiq, aligns with Presidential Regulation No. 109 of 2025 and aims to resolve long-standing waste issues in urban agglomerations exceeding 1,000 tons daily, marking a significant step towards sustainable energy and environmental management in Indonesia.

Bahlil Officially Issues Bioethanol-Biodiesel Regulation, Here is the Timeline

Minister of Energy and Mineral Resources Bahlil Lahadalia has officially mandated the blending of Biofuel (BBN) with petroleum fuels (BBM) through Ministerial Decree No. 113.K/EK.05/MEM.E/2026, effective from 3 March 2026, to bolster national energy security. The policy outlines a phased roadmap up to 2030, including biodiesel blends rising to B50 for subsidised diesel nationwide by 2027, bioethanol starting at E5 in six Java regions in 2026 and expanding to E10 in eight regions by 2029, and initial bioavtur blending for aviation fuel from 2027 at key airports. This initiative promotes sustainable energy by integrating renewable biofuels into commercial fuels, supporting environmental goals and reducing fossil fuel dependency.

KPK Examines Aide to Inactive Riau Governor as Suspect in Extortion Case

Indonesia's Corruption Eradication Commission (KPK) is examining Marjani, the aide to the inactive Riau Governor Abdul Wahid, as a suspect in an alleged extortion or bribery case within the Riau Provincial Government for the 2025 fiscal year. This follows the earlier designation of Marjani as a suspect, alongside the governor and two other officials, in a scheme involving a 5% fee or Rp 7 billion payment linked to a public works department unit. The ongoing investigation underscores KPK's commitment to pursuing evidence in corruption cases, with the suspects facing charges under anti-corruption laws.

Global Gold Price Plummets to Rp80 Million, Here Are the Main Causes

The global gold price has fallen to its lowest level in nearly a week, reaching approximately Rp80.75 million per ounce, driven by a strengthening US dollar and surging oil prices that have diminished expectations for Federal Reserve interest rate cuts this year. Failed peace negotiations between the US and Iran have heightened inflation concerns, exacerbated by threats of a US naval blockade in the Strait of Hormuz and warnings from Iran's Revolutionary Guard. This decline, which exceeds 11 percent since the onset of the US-Israel war in Iran on 28 February 2026, underscores the vulnerability of precious metals to geopolitical tensions and energy market volatility.

25,000 New Beneficiary Families in Second Quarter 2026 Social Assistance Distribution

The Indonesian Ministry of Social Affairs has identified approximately 25,000 new beneficiary families for the second quarter 2026 social assistance programme following the latest data updates. This addition stems from the BPS-led renewal of the National Integrated Social Welfare Database, where 25,665 out of 27,176 previously unclassified families were ranked in the lowest deciles eligible for aid, while 11,014 existing recipients were removed due to inclusion errors. The ministry emphasises enhanced accuracy, transparency, and targeting through periodic updates, integration with civil registry data, and public complaint channels to ensure benefits reach the intended vulnerable groups.

DPR Member Pushes for Fairer Student Admission System

Abdul Fikri Faqih, a member of the Indonesian House of Representatives' Commission X, has called for reforms to the student admission system between state and private universities to ensure greater fairness and balance. He highlighted issues such as the extended timelines for state university independent pathways, which disadvantage private institutions, and the need to regulate academic programmes to avoid overlaps. These recommendations will inform discussions on the National Education System Bill to foster a more inclusive and sustainable higher education ecosystem.

Government Wants to Adopt UAE's Family Office Model in Bali

Indonesia's Minister of Investment and Downstreaming, Rosan Roeslani, has discussed with the National Economic Council the establishment of a family office in Bali, following President Prabowo Subianto's directive for a special financial centre on the island. The government is studying regulations and implementation, drawing inspiration from the successful model in Abu Dhabi, UAE, to create a competitive investment ecosystem. Rosan expressed optimism that this initiative will attract high-quality global investments, with ongoing communications proving fruitful despite some aspects needing refinement.

UI Law Faculty Steps In to Investigate Allegations of Student Group Discussing Harassment

The Faculty of Law at Universitas Indonesia (FH UI) is investigating allegations that students created a chat group containing conversations with elements of sexual harassment, following viral screenshots on social media depicting verbal abuse and objectification of women. The Dean has condemned such behaviour that undermines human dignity and contradicts academic legal and ethical values, pledging thorough verification and strict action if violations, including potential criminal offences, are confirmed. FH UI prioritises the safety and comfort of its academic community, offering safe reporting channels and urging restraint from spreading unverified information.

Ministry of Higher Education, Science, and Technology to Strengthen Private Universities through PP-PTS 2026

The Indonesian Ministry of Higher Education, Science, and Technology (Kemdiktisaintek) has launched the 2026 Private Higher Education Strengthening Programme (PP-PTS) to enhance the quality and accessibility of higher education by bolstering private universities, which comprise over 95% of the nation's tertiary institutions. Officials emphasise that this long-term strategy aims to reduce disparities in educational quality across regions and improve graduate competitiveness in line with national development needs. The programme, evaluated as successful in prior years, will operate transparently with performance-based funding to ensure sustainable improvements in teaching and institutional capacity.

3,511 Uninhabitable Houses in Klungkung, Most in Nusa Penida

In Klungkung Regency, Bali, 3,511 uninhabitable houses continue to be occupied by residents, representing 5.78% of the total 60,794 housing units, with the highest concentration in Nusa Penida at 1,024 units. The local Public Works Department plans to renovate 54 units using the regional budget and 200 units via the national Self-Help Housing Stimulus Assistance programme in 2026, amid ongoing efforts to address the issue despite funding constraints. Officials anticipate annual increases in funding and continued proposals to the central government to reduce the number of such dwellings.

Pramono Signs Utility Network Regulation, Tangle of Cables in DKI to be Addressed Soon

Jakarta Governor Pramono Anung has signed a regional regulation on integrated utility network facilities (SJUT) to tackle the chaotic overhead cables in the capital. The initiative aims to relocate cables underground, enhancing urban aesthetics and public safety by reducing risks from dangling wires. While acknowledging the process will take time due to its broad scope and multiple stakeholders, Pramono stated that prioritisation will focus on high-risk and densely active areas, with the provincial government committed to a dedicated programme for resolution.

Indonesian National Police Plans to Establish Police University, Awaiting Government Approval

The Indonesian National Police (Polri) is advancing plans to establish the Police University (Unipol) to enhance the quality and professionalism of its human resources, building on police education initiatives dating back to 1946. The project requires government approval, including preliminary permissions from the Higher Education Directorate and the State Ministry for Administrative Reform, followed by a presidential regulation. In a related development, from 2026, police trainees at the Police College will be directed straight to master's level programmes to strengthen the education system.

OSS Strengthened, Q1 2026 Investment Projected to Reach Rp 497 Trillion

The Indonesian government is enhancing the Online Single Submission (OSS) system with additional funding from the Ministry of Finance to streamline digital business licensing, integrating it with 18 ministries using AI and blockchain technologies, as mandated by recent regulations. Investment Minister Rosan Roeslani projects Q1 2026 investment realisation at Rp 497 trillion, a 7% year-on-year increase, absorbing 627,000 jobs, up 5.5%, amid strong investor interest despite global geopolitical challenges. This supports the national 2026 investment target of Rp 2,041.3 trillion and a five-year accumulation of Rp 13,032.8 trillion, bolstering economic stability through political openness and non-alignment.

US-Iran Negotiations Deadlocked: What Are the Next Steps?

Negotiations between the United States and Iran in Islamabad, Pakistan, collapsed on Sunday (12/04) after both sides blamed each other for the failure to reach an agreement on ending the six-week war initiated by US and Israeli attacks on Iran, with key sticking points being Iran's nuclear programme and control over the Strait of Hormuz. US officials demanded firm commitments from Iran to abandon nuclear weapons pursuits, while Iran called for the US to build trust through sanctions relief; despite a fragile ceasefire agreed earlier in the week, President Trump announced a US naval blockade of the strait following the talks' breakdown. Analysts view the conflict as structural and predict that while the ceasefire may hold short-term through backchannel diplomacy, further direct negotiations are unlikely soon, highlighting the need for sustained mediation to prevent escalation amid global market disruptions.

Police State Cilegon Civil Servant Distributed Meth Outside Workplace

Police in Cilegon have identified a 45-year-old civil servant, MA, as a methamphetamine distributor arrested for drug abuse, clarifying that his operations occurred outside his workplace environment. MA, who works at the Cilegon Civil Service Police Unit, has been an active drug user since 2004 and transitioned to dealing by portioning and photographing the substance for buyers. The drugs were sourced from a fugitive accomplice, B, highlighting ongoing efforts by narcotics officers to curb such activities among public servants.

NasDem Politician on Merger Issue with Gerindra: Not Easy

NasDem Deputy Chairman Saan Mustopa has stated that merging with Gerindra would be challenging due to differing ideologies and the evolving democratic landscape in Indonesia. The proposal, reportedly floated by President Prabowo Subianto to NasDem leader Surya Paloh during a February 2026 meeting, could combine nearly 35 million votes from the 2024 elections but faces resistance as NasDem prioritises internal consolidation. Saan views such discussions as routine but emphasises the need for thorough planning, noting no deep internal talks have occurred yet.

Pramono Prepares Regulations for Compensation for PAM Jaya Service Disruptions

Jakarta Governor Pramono Anung has announced plans to establish mechanisms for compensating PAM Jaya customers affected by disruptions in clean water services, as outlined during a plenary session at the DKI Jakarta DPRD. This initiative responds to criticisms from PKS faction member Ismail, who advocated for reciprocal accountability, ensuring that the state-owned water utility faces penalties similar to those imposed on customers for late payments. The proposed regulations aim to reinforce the principles of quality, quantity, continuity, and affordability in water supply services, potentially strengthening consumer protections in the capital's public utilities sector.

KNPI urges youth to maintain unity amid government impeachment issues

The Chairman of the Indonesian National Youth Committee (KNPI), Haris Pertama, has called on Indonesian youth to preserve national stability and unity by avoiding provocation from divisive public narratives, particularly those surrounding unconstitutional impeachment efforts against President Prabowo's administration. He emphasised the importance of adhering to constitutional democratic processes and supporting the government's priority development programmes amid global geopolitical challenges. Haris highlighted the youth's role as a constructive force in fostering national unity to advance Indonesia's progress and sovereignty.

SESPIBANK® Batch 82 Collaborates with EDHEC Business School Paris, LPPI Sharpens Competencies...

The Indonesian Banking Development Institute (LPPI) has launched SESPIBANK® Batch 82, its flagship programme since 1988, aimed at equipping top banking executives with strategic foresight to navigate technological disruptions and complex risks. In collaboration with EDHEC Business School in Paris, participants will receive international training focused on intelligent business transformation, including exposure to global startup ecosystems. This initiative underscores the robustness of Indonesia's banking sector, with positive credit growth and strong capital ratios, positioning graduates to drive sustainable national banking reforms.

Q1 2026 Investment Realisation Projected to Reach Rp 497 Trillion

Indonesia's investment realisation for the first quarter of 2026 reached Rp 497 trillion, marking a 7% year-on-year increase from Rp 465 trillion the previous year and contributing 24.3% towards the annual national target. This achievement is expected to create 627,036 jobs, a 5.5% rise from last year, with major investments from Singapore, China, Japan, South Korea, and the US. Despite global geopolitical challenges, political stability and a conducive investment climate continue to attract foreign investors, supporting the government's long-term economic growth targets outlined in the 2025-2029 National Medium-Term Development Plan.

Cigarette Production Plummets in March, Lowest Since When?

Indonesia's cigarette production dropped sharply in March 2026 to 20 billion sticks, marking a 29.3% decline from February and 17.7% from the previous year, the lowest for that month since at least 2017. This downturn aligns with historical patterns due to the extended Eid al-Fitr holiday period from 17 to 24 March, which reduced manufacturing activities following peak pre-holiday consumption. Despite the March slump, cumulative production for the first quarter of 2026 reached 71.2 billion sticks, up 4.1% year-on-year but below the nine-year average.

New OJK SLIK Policy Eases Home Subsidy Credit Applications for Low-Income Groups

The Indonesian Ministry of Housing and Settlement Areas, in collaboration with the Financial Services Authority (OJK), has introduced a policy allowing individuals with SLIK credit records of Rp1 million or less to apply for subsidised housing loans, marking a significant step towards achieving the government's goal of building 3 million homes. This decision, resulting from persistent advocacy by Housing Minister Maruarar Sirait, includes additional measures such as faster credit repayment updates and enhanced data access for the Housing Finance Savings Agency (BP Tapera). The policy, endorsed by OJK Commissioner Chair Friderica Widyasari Dewi, is set to take effect by the end of June 2026 following system adjustments, aiming to bolster homeownership among low-income earners under President Prabowo's administration.

Mandatory Vehicle Insurance Regulations Under Development, A Solution to Reduce Accident Losses

Indonesia's Ministry of Finance is examining the implementation of mandatory third-party liability insurance for traffic accidents, as mandated by the Financial Sector Development and Strengthening Law (UU P2SK) No. 4 of 2023, to deepen the insurance market and foster industry growth. Officials are drafting a government regulation that requires parliamentary approval and coordination with the Financial Services Authority (OJK), with examples including coverage for traffic accidents, fire, and disaster risks to homes. This binding insurance aims to provide additional protection to the public and mitigate accident-related losses.

Poverty and Unemployment Rates in West Java Decline in 2025

The West Java Provincial Government achieved a performance score of 3.6672 in 2025 for regional development, leading to a reduction in poverty to 6.78% (3.55 million people) and open unemployment to 6.66%, surpassing targets. Efforts included affordable food initiatives, subsidies in health and energy sectors, business capital aid, and training for migrant workers, with increased job absorption in agriculture, education, and hospitality offsetting declines in mining. This progress highlights effective local policies in boosting incomes, reducing expenditures, and enhancing employment across key sectors.

Australian PM Calls for Continuation of US-Iran Peace Negotiations

Australian Prime Minister Anthony Albanese has urged the continuation of peace negotiations between the United States and Iran to end the conflict in the Middle East. Speaking in an interview with the Australian Broadcasting Corporation, he addressed US President Donald Trump's announcement of a blockade on the Strait of Hormuz, emphasising the need for permanent peace, de-escalation, protection of civilian lives and infrastructure, and the restoration of freedom of navigation through the strait. Albanese noted that Australia has not been asked to join the US blockade and hopes for the swift recovery of shipping freedom in this vital trade route.

Home Affairs Minister Asks Low-Impact Disaster Areas in North Sumatra to Donate Funds to Aceh

Indonesia's Minister of Home Affairs, Tito Karnavian, has urged several local governments in North Sumatra that were minimally affected by recent disasters to donate portions of their additional budgets to more severely impacted regions in Aceh on humanitarian grounds. Specific allocations include Rp 50 billion from Medan and Deli Serdang, Rp 30 billion from Simalungun and Asahan, and Rp 25 billion from other districts to aid areas like Aceh Utara and Gayo Lues. This inter-regional grant mechanism, communicated via Zoom and supported by local leaders, seeks to ensure equitable disaster relief and has been reported to the DPR's Commission II for backing.

BKPM Archives - Indonesian Tax Consultants Association: Government Studies Family Office Scheme to Attract Global Funds

The Indonesian government is exploring the implementation of a Family Office scheme, inspired by the successful model in Abu Dhabi, to draw global investment funds into the country. Minister of Investment Rosan Roeslani stated that discussions with the National Economic Council are underway to develop necessary regulations and operational mechanisms. This initiative aims to effectively manage investments from wealthy families, with ongoing assessments of legal systems like common law and potential fund inflows.

Prabowo Arrives in Moscow, Russia, Ready to Meet President Vladimir Putin

Indonesian President Prabowo Subianto has arrived in Moscow for a working visit, where he is scheduled to meet with Russian President Vladimir Putin to strengthen bilateral ties and strategic cooperation, particularly in the energy sector. The visit underscores Indonesia's commitment to active diplomacy and building mutually beneficial partnerships with key global players like Russia to support economic stability and growth. Accompanied by key ministers, this diplomatic engagement highlights Indonesia's proactive role on the international stage.

Ministry of Higher Education, Science, and Technology Pushes for Strengthening Students through Impactful Education

The Deputy Minister of Higher Education, Science, and Technology, Fauzan, has urged the enhancement of students' roles via the Impactful Education Programme, highlighting its importance during the closing of the 5th Congress of the United Banten Student Executive Body in Serang. He emphasised the strategic value of such forums in fostering leadership, critical thinking, and collaboration among the youth to drive social justice, democracy, and regional development. Student representatives and university directors echoed the need for impactful education to bridge community aspirations with government efforts, positioning students as key agents of change.

Poltracking Survey: 74.1 Percent of the Public Satisfied with Prabowo-Gibran Performance

A recent Poltracking Indonesia survey from 2-8 March 2026 reveals that 74.1 percent of the public is satisfied with the performance of President Prabowo Subianto and Vice President Gibran Rakabuming Raka, with trust in the government standing at 75.1 percent. This high approval rating underscores the administration's political stability and public legitimacy amid national dynamics. The free nutritious meals programme (MBG) emerged as the most impactful initiative, perceived as beneficial by 36.5 percent of respondents, significantly bolstering public confidence.

KDM Urges Relevant Parties to Support Vehicle Tax Payment Facilitation

West Java Governor Dedi Mulyadi has temporarily deactivated the head of the Soekarno-Hatta Samsat office in Bandung City due to the failure to implement a policy simplifying annual motor vehicle tax payments, which no longer requires the original owner's KTP. This action follows reports of staff ignoring the governor's circular and poor service to the public, prompting an investigation by the Inspectorate and Regional Personnel Agency. The initiative aims to streamline the payment process and boost public compliance with vehicle tax obligations.

TPS3R Sadu Kencana in Tabanan Focuses on Waste Sorting Education

The TPS3R Sadu Kencana facility in Dauh Peken Village, Tabanan, Bali, prioritises educating the community on source-based waste sorting over profit margins, serving around 530 customers equivalent to 600 households since its establishment in 2023. It handles three types of pre-sorted waste—organic, inorganic, and residue—further processing 24 categories daily to prevent accumulation and odour, with waste transported to third parties. The initiative attracts international volunteers from countries like the UK, Spain, Germany, and Canada, who actively participate in sorting and exchange experiences, enhancing the community's waste management education efforts.

Parliament: Decrease in Mobility and Road Accident Figures for 2026 Eid Exodus

Indonesia's House of Representatives Commission V has noted a 4.57% decline in public mobility during the 2026 Eid al-Fitr exodus and return, with total travellers dropping to 147.55 million from 154.62 million the previous year. Road accidents also decreased, with police data showing 2,727 incidents compared to 2,888 in 2025, and the Ministry of Transportation reporting a 6.31% reduction to 3,517 cases. Despite lower overall mobility, public transport usage surged by 10.87% to 23.54 million passengers, highlighting a shift towards safer, communal travel options amid government efforts to manage holiday traffic.

Poltracking Survey: Free Nutritious Meals Programme Most Felt Benefits, 55% of Public Satisfied

A Poltracking Indonesia survey reveals that the Free Nutritious Meals (MBG) programme is the most beneficial government initiative felt by the public, with 36.5% of respondents rating it highest, followed by wage subsidies and free healthcare services. Overall satisfaction with MBG stands at 55%, despite 88% awareness, indicating a need for improved communication and implementation to address public feedback. The findings underscore the programme's top ranking in both perceived benefits and targeting accuracy under President Prabowo Subianto's administration.

KPK Summons City Secretary and KONI Head of Madiun City as Witnesses in Maidi Case

The Corruption Eradication Commission (KPK) has summoned Edwin Susanto, Chairman of the Indonesian National Sports Committee (KONI) for Madiun City, and Soeko Dwi Handiarto, the City Secretary, as witnesses in the extortion case involving suspended Madiun Mayor Maidi. Maidi, along with his confidant Rochim Ruhdiyanto and Public Works and Spatial Planning Agency Head Thariq Megah, faces charges related to project fees, CSR funds, and gratuities in the Madiun City Government. The investigation uncovers demands for payments, including Rp 350 million from a foundation for road access permissions and Rp 600 million from a developer, highlighting ongoing corruption concerns in local governance.

City Government: Mataram Hajj Pilgrims to Enter Dormitory on 26 April

The Mataram City Government has announced that prospective Hajj pilgrims from the city for the 1447 Hijriah/2026 season will begin entering the Hajj dormitory on 26 April 2026, with Kloter 5 departing for the Holy Land the following day. Mataram has been allocated a quota of 854 pilgrims, divided into three kloters, with two being complete city groups of 378-388 each, while the remainder joins mixed kloters from other districts in West Nusa Tenggara. Officials emphasised improved coordination, communication, and logistics based on previous evaluations to ensure a smoother pilgrimage, including a formal send-off by the mayor and preparations for uniforms and accommodations.

IBC Warns Government of Risks in Revising DHE Rules, Could Undermine Investor Confidence

The Indonesian Business Council (IBC) has cautioned the government against revising the Devisa Hasil Ekspor (DHE) regulations for natural resource exports, warning that mandating deposits in state-owned banks and capping Rupiah conversion at 50% could erode investor trust and regulatory predictability amid global uncertainties. Chief Economist Denni Purbasari acknowledges the government's aim to bolster domestic retention for economic stability but urges careful calibration, open dialogue with businesses, and continued structural reforms to preserve competitiveness and attract foreign investment. This comes as President Prabowo Subianto's policy seeks to strengthen the national economy through patriotic measures.

Minister Rosan Confident Q1 Investment Realisation to Rise 7% to Rp 497 Trillion

Indonesia's Minister of Investment and Downstreaming Rosan Roeslani is optimistic that first-quarter investment realisation in 2026 will reach Rp 497 trillion, marking a 7% year-on-year increase, aligning with the government's national investment plan outlined in Presidential Regulation No. 117 of 2025. This target is supported by a projected 5% growth in job absorption, creating 627,000 new positions, with foreign direct investment contributing around 30% from key countries like Singapore, China, Japan, South Korea, and the United States. Amid global geopolitical challenges, Indonesia's open and non-aligned foreign policy is seen as a key advantage in attracting international investors and fostering cooperation.

Two Men Steal 46 Railway Tracks in Lampung, Losses Nearly Rp700 Million

Two men in Lampung have been arrested for stealing 46 railway tracks belonging to PT KAI Tanjungkarang, causing estimated losses of Rp670.7 million to the state-owned railway company. The suspects, Alif and Pariyoni, were apprehended by Way Kanan Police with the stolen iron rails and a truck used for transport. Authorities are investigating potential accomplices, while PT KAI urges the public to report such sabotage that disrupts national infrastructure.

45,866 Investors Stuck in Sritex (SRIL), Including Lo Kheng Hong with Rp30 Billion

PT Sri Rejeki Isman Tbk (SRIL), known as Sritex, is among 18 companies set for delisting from the Indonesia Stock Exchange (BEI) on 10 November due to bankruptcy, leaving 45,866 investors, including prominent investor Lo Kheng Hong with holdings worth Rp30.56 billion, unable to trade their shares. The BEI mandates a share buyback process from 11 May to 9 November 2026, requiring investors to monitor company disclosures closely. This development underscores the financial woes of a major national textile player and highlights risks in the Indonesian capital market for retail and institutional investors.

ADB: Indonesia Needs to Boost Manufacturing to Absorb Formal Workforce

The Asian Development Bank (ADB) highlights structural challenges in Indonesia's labour market that hinder the expansion of formal job creation, despite economic growth. High levels of informal employment persist, limiting productivity gains and structural transformation towards higher-quality jobs. ADB recommends focusing on high-productivity sectors like manufacturing, which require elevated skills and education, to better translate growth into formal employment opportunities.

Finance Ministry Allocates New Budget for OSS System Improvements

The Indonesian Ministry of Finance has begun disbursing additional funding to enhance the digital Online Single Submission (OSS) business licensing system, aiming to accelerate processes and provide greater certainty for investors. This move follows approval after nearly a year of requests from the Minister of Investment, Rosan Roeslani, to fully integrate OSS with 18 ministries and agencies as mandated by Government Regulation No. 28. The upgrades are expected to streamline operations, reduce negative practices, and minimise face-to-face interactions between businesses and officials.

Out-of-Pocket Healthcare Costs in Indonesia Reach Rp 175 Trillion, OJK Encourages Utilisation of Insurance

Out-of-pocket healthcare expenditure in Indonesia has reached Rp 175 trillion, accounting for 28.8% of total national health spending, prompting the Financial Services Authority (OJK) to collaborate with the government to reduce this figure. OJK's Executive Head of Insurance, Guarantee, and Pension Fund Supervision, Ogi Prastomiyono, highlighted the low 5% contribution from commercial health insurance and is working with the Ministry of Health to enhance product efficiency and appeal. This initiative aims to shift more citizens towards insurance coverage, including BPJS and commercial options, to alleviate financial burdens on households.

These 5 Regions Dominate Indonesia's Rice Stocks, Bulog Continues to Build Reserves

Indonesia's government rice reserves have reached 4.647 million tonnes, distributed across the country by Perum Bulog, with an additional 21,582 tonnes of commercial rice bringing the total to 4.668 million tonnes. The five regions controlling the largest reserves are East Java (1.117 million tonnes), South and West Sulawesi (801,855 tonnes), West Java (740,177 tonnes), Central Java (342,519 tonnes), and Lampung (291,567 tonnes), all ready for distribution to stabilise prices and support remote areas. Bulog's domestic procurement for 2026 has hit a six-year high of 1.9 million tonnes equivalent, while plans for temporary warehouses in East Kalimantan aim to address price surges in remote districts.

That Narrow Alley Named Gang Tempe

Gang Tempe in South Jakarta has evolved from a modest tempeh production hub since 1983 into a thriving cluster of 37 artisans producing popular tempeh chips, supported by government-linked cooperatives and financial aid from BRI for equipment upgrades. This community exemplifies resilient small-scale entrepreneurship, with products reaching international markets in Asia and the Middle East despite challenges like rising raw material costs. The story highlights the potential of home-based industries to drive local economies and global trade in Indonesia.

Anthropic CEO: AI Will Not Only Replace Jobs, But Also Unprepared Humans

Dario Amodei, CEO of Anthropic, warns that AI could eliminate up to half of entry-level white-collar jobs in the near future, far surpassing initial expectations. This rapid transformation is already evident in the tech industry, where thousands of jobs have been lost to AI-driven automation, forcing experienced professionals to adapt to new roles like AI data trainers. Amodei highlights the paradox of AI creating opportunities while narrowing prospects for those unprepared to adapt, underscoring the urgent need for societal readiness amid accelerating technological change.