Indonesian Political, Business & Finance News

Archive: 12 May 2026

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Video: Indonesia's Hantavirus Differs - Trump Plans Air Strikes on Iran

Indonesia's Deputy Health Minister Dante Saksono Harbuwono stated that transmission of Hantavirus from human to human is still under research, with the government monitoring developments following reports of deaths on a foreign cruise ship. Meanwhile, US President Donald Trump is considering further air strikes due to stalled talks with Iran, marking the latest update in the US-Iran conflict as reported by Axios. This segment was featured on CNBC Indonesia's Evening Up programme.

Foreign Ministry: Ratification of APSA Still in Process in Each ASEAN Member State

Indonesia's Foreign Ministry has stated that the ratification of the ASEAN Petroleum Security Agreement (APSA) remains underway in each ASEAN member's domestic processes, with technical aspects handled by the Ministry of Energy and Mineral Resources. APSA aims to bolster regional energy resilience through enhanced coordination, information sharing, and mutual assistance during supply disruptions, allowing voluntary, commercially-based support among members. ASEAN Secretary-General Kao Kim Hourn has assured completion before the 49th ASEAN Summit in November, while Indonesia proposes hosting an oil storage hub to further secure regional energy supplies.

Deputy Foreign Minister urges businesspeople to contact Indonesian embassies regarding investment obstacles

Indonesia's Deputy Foreign Minister Arif Havas Oegroseno has encouraged global businesspeople to reach out to Indonesian embassies first when facing investment hurdles in the country, highlighting the Ministry of Foreign Affairs' role in bridging foreign investors with the government. At an international seminar hosted by the Ministry of Finance, Finance Minister Purbaya Sadewa announced the establishment of a Task Force Debottlenecking to address economic bottlenecks through regular sessions and a dedicated website, emphasising the need for synergy with the Foreign Ministry to disseminate this information worldwide. This initiative aims to streamline issue resolution, monitor progress, and facilitate smoother foreign investment to bolster Indonesia's economy.

DPD RI: Southern Central Java Route Has Potential to Become National Food Buffer

Members of the Indonesian Regional Representative Council (DPD RI) have highlighted the potential of the southern Central Java region, known as Jasela, to serve as a national food buffer through enhanced agriculture, fisheries, and integrated regional connectivity. The discussion addressed challenges such as population pressure, poverty disparities, and land conversion, emphasising the need to treat the food sector as a strategic industry to achieve food self-sufficiency. Bank Indonesia and academics underscored the importance of inter-regional collaboration, digitalisation, and alignment with Sustainable Development Goals to boost productivity and economic stability.

Indonesia urges global mangrove action at UN Forum on Forests

At the 21st Session of the United Nations Forum on Forests in New York, Indonesia's Environment Minister Hanif Faisol Nurofiq urged global action to protect mangroves, highlighting the country's stewardship of nearly one-third of the world's mangrove fields, which comprise 23 percent of the global total. He promoted the World Mangrove Center as a hub for international collaboration on research, innovation, and sustainable restoration to bolster climate mitigation, coastal resilience, and biodiversity conservation. The initiative, under the Ministry of Forestry's oversight of 80 percent of Indonesia's mangroves, aims to accelerate global restoration efforts and deliver benefits to coastal ecosystems and communities worldwide.

Global Investors Complain About Investment Barriers in Indonesia, Purbaya Promises Swift Resolution

At the International Seminar on Debottlenecking held at the Ministry of Finance, Finance Minister Purbaya Yudhi Sadewa assured global investors of Indonesia's commitment to improving the investment climate through the Strategic Government Programme Acceleration Task Force (Satgas P2SP), which addresses regulatory bottlenecks hindering key projects. Ambassadors from Switzerland and France highlighted delays in IEU-CEPA implementation and unresolved issues for 11 French companies due to regulatory hurdles, prompting Purbaya to pledge direct intervention using his budgetary authority to expedite resolutions. The seminar underscored the shift in global competition towards trust, efficiency, and infrastructure readiness, with the task force having resolved 45 of 142 complaints received online.

Free health checks covered 19 million people in January-April: minister

Indonesia's free health checks programme, launched in February 2025, has already examined 19 million people from January to April, surpassing its first-year target of 70 million with 46 million annual check-ups and 24 million school-based screenings. Health Minister Benjamin emphasised the programme's role in early detection of preventable diseases like hypertension, tuberculosis, and diabetes, aiming to reduce the substantial costs borne by the state insurer BPJS and foster a culture of regular health monitoring among Indonesians. The initiative is expected to expand to 150 million people this year, with ongoing construction of healthcare facilities to support preventive care across community health centres, schools, and institutions.

Bogor Regency Establishes New Face for Regional-Owned Enterprise Sayaga Wisata

The Bogor Regency Government in West Java has advanced to the final stage of selecting directors for its regional-owned enterprise (BUMD), PT Sayaga Wisata, narrowing down 15 candidates to three: Sambas Setia Permana, Irfan Awaludin, and Ahmad Hidayatullah. Regent Rudy Susmanto outlined the 2026-2029 business plans, emphasising the optimisation of assets like hot springs, Gudawang Cave, and revitalised rest areas through collaborations with investors to boost tourism and related sectors. The new directors will be evaluated periodically on business performance and contributions to regional revenue, with a focus on profitability and measurable dividend targets.

TP PKK Expert Yane Ardian Appreciates Regional Commitment to Addressing Zero Dose during Visit to South Lampung

Yane Ardian Bima Arya, an expert from the National TP PKK, praised the South Lampung Regency Government's commitment to tackling zero dose children—those who have not received complete basic immunisation—during a monitoring visit. The regency has achieved 92% coverage of its target of 4,967 children, up from 88.2%, highlighting effective local efforts to ensure no child is left behind in accessing essential health rights. This initiative is expected to boost the Human Development Index and set an example for other regions, emphasising collaborative education and barrier identification to enhance public health services.

BSI Records 17.1% Profit Increase to Rp2.2 Trillion in First Quarter of 2026

PT Bank Syariah Indonesia (BSI) reported a 17.1% year-on-year increase in net profit to Rp2.2 trillion for the first quarter of 2026, driven by robust growth in third-party funds (DPK) reaching Rp376.8 trillion and low-cost funds (CASA) at Rp236.24 trillion. The bank's success stems from expanding hajj and umrah savings services targeting younger demographics, boosting its customer base to 6.11 million hajj savers and elevating BSI to the fifth largest bank in Indonesia by profit and assets, which grew 14.78% to Rp460.13 trillion. To sustain this performance, BSI is focusing on low-cost funds, sustainable financing, and fee-based income from gold business.

Bahlil Reports to Prabowo on Fuel Stocks and Stalled Mining Permits, Here's What He Said

Energy Minister Bahlil Lahadalia briefed President Prabowo Subianto on the national energy reserves, confirming that stocks of fuel oil, LPG, and crude oil exceed minimum standards and pose no immediate concerns. He also updated on the ongoing evaluation of mining business permits (IUP), particularly those in forest areas that have been issued but never activated, following the President's directive two months ago to revoke unclear permits in protected zones. This initiative aims to safeguard national interests by ensuring mining activities are properly managed and not exploited by inactive holders.

Banten DPRD Member Reveals Nephew Contacted by SPMB Broker, Suspected Data Leak

A member of the Banten Provincial Legislative Council (DPRD) has reported that his nephew was contacted by an individual posing as an administrator offering assistance with the verification process for the Pre-SPMB (Pra-Seleksi Penerimaan Murid Baru) in Banten, raising suspicions of a data breach. The incident highlights potential vulnerabilities in the student admission system, where personal and academic data appear to have been accessed by unauthorised parties, possibly brokers targeting high-achieving candidates. Yeremia urged the Banten Education and Culture Office to expedite the verification process, potentially using AI, to prevent exploitation and alleviate parental anxiety.

GPEI Highlights Decline in Bali Exports, SMEs Tending Towards Trading Imported Goods

The Indonesian Exporters Association (GPEI) in Bali has raised concerns over a 17% year-on-year drop in the province's exports, primarily due to elevated logistics costs from global geopolitical tensions and a shift among small and medium enterprises (SMEs) towards importing and reselling cheap Chinese goods rather than local production. This trend is exacerbated by higher domestic production costs compared to imports, leading to reduced economic circulation and job creation. GPEI urges a thorough mapping of downstream ecosystems to enhance local competitiveness, support domestic raw materials, and integrate technology for sustainable export growth.

Danantara eyes bigger stake in GoTo

Indonesia's state asset fund Danantara is considering increasing its stake in technology firm PT GoTo Gojek Tokopedia, currently holding less than 1 percent of its shares after an initial purchase earlier this year. Chief Investment Officer Pandu Patria Sjahrir stated that decisions will be based purely on business fundamentals and long-term prospects, with no specific ownership target yet determined. This move aligns with CEO Rosan Roeslani's earlier comments on gradually expanding ownership, highlighting state interest in bolstering key digital economy players.

National Police Criminal Investigation Agency Takes Over Drug Case Allegedly Involving Former Kutai Narcotics Unit Head AKP Deky

The Indonesian National Police's Criminal Investigation Agency (Bareskrim) has assumed control of a drug trafficking case in West Kutai, East Kalimantan, following the discovery of new evidence implicating former Narcotics Unit Head at West Kutai Police Resort, AKP Deky Jonathan Sasiang, in a syndicate led by drug lord Ishak. Deky is currently under special placement and examination by the East Kalimantan Regional Police's Professional and Security Division. This development underscores ongoing efforts to combat corruption within law enforcement and dismantle major drug networks in the region.

To Secure Projects from Bekasi Regency, Former Bekasi Regent Ade Kunang Appoints Angkot Driver as Director

In a corruption trial at the Bandung District Court, former Bekasi Regent Ade Kunang and his father HM Kunang face allegations of appointing a former angkot driver as a company director to secure government projects in Bekasi Regency. Prosecutors presented testimony from three businessmen, including Rudin, who admitted to being Sarjan's proxy and unaware initially of his role as a shadow director. This case highlights the elaborate schemes used to manipulate public procurement processes, underscoring ongoing issues of graft in local Indonesian governance.

Four-Year Sentence for Ibam Accompanied by Dissenting Opinion from Two Judges, Here Are the Considerations

In the corruption case involving the procurement of Chromebook laptops, former technology consultant Ibrahim Arief, known as Ibam, was sentenced to four years in prison by the Jakarta Corruption Court, but two judges issued a dissenting opinion arguing that there was no direct involvement or malicious intent on his part. The dissenting judges highlighted that Ibam merely provided consultations to Ministry of Education officials without authority to influence decisions, was not part of the key WhatsApp group mentioned in the trial, and did not lobby for Chromebooks or receive kickbacks. This case underscores tensions in proving intent in public procurement corruption trials within Indonesia's education sector.

GOTO Announces Rp3.5 Trillion Share Buyback Plan

PT GoTo Gojek Tokopedia Tbk (GOTO) has announced a share buyback programme valued at up to Rp3.5 trillion, to be funded entirely from internal cash reserves, aiming to optimise its capital structure and better reflect the company's fundamental value in its share price. The plan requires shareholder approval at an Extraordinary General Meeting scheduled for 18 June 2026, with the buyback to occur over the following 12 months if approved, limited to no more than 10% of issued and paid-up capital. This move is expected to provide greater flexibility in capital management and enhance returns for shareholders, in compliance with prevailing regulations.

Reporting to Prabowo, Bahlil States Fuel and LPG Stocks Exceed National Minimum Standards

Minister of Energy and Mineral Resources Bahlil Lahadalia has assured President Prabowo Subianto that Indonesia's stocks of fuel oil (BBM), LPG, and crude oil are all above the national minimum standards, ensuring no supply issues. This update was provided during a meeting at the Presidential Palace on 12 May 2026. Additionally, Bahlil reported on the ongoing restructuring of mining permits, particularly in forested areas and underutilised mining business permits (IUP), following the President's instructions for evaluation of inactive companies.

Indonesian Navy Monitors Smuggling-Prone Routes in Malacca Strait and South China Sea

The Indonesian Navy, under Commander Denih Hendrata, is intensifying surveillance along key maritime routes like the Malacca Strait and South China Sea to combat illegal smuggling activities, which are facilitated by proximity to multiple countries. Efforts include enhancing command centres, deploying agile patrol vessels, and strengthening forces at regional outposts, alongside collaborations with law enforcement agencies and local communities for effective enforcement. This multifaceted approach aims to bolster Indonesia's maritime security and deter smuggling operations in these vital waterways.

LPEI Credit Corruption Case: BJU Group Boss Demands 8 Years in Prison

Hendarto, the director and beneficial owner of companies within the Bara Jaya Utama (BJU) Group, has been prosecuted for an eight-year prison sentence in a corruption case involving export financing from Indonesia's Export Financing Agency (LPEI). The prosecutors seek restitution of Rp 1.6 trillion and USD 14.95 million, after accounting for seized assets and partial repayments, highlighting the defendant's actions in undermining national export efforts and public trust in state institutions. This case, spanning 2014-2016, also implicates several LPEI executives and underscores ongoing efforts to combat corruption in public financing bodies.

65% of Indonesians Exposed to Scams Weekly, Losses Exceed Rp9 Trillion

Indonesia is grappling with a surge in digital scams, resulting in cumulative losses of Rp9.1 trillion from November 2024 to January 2026, according to the Financial Services Authority (OJK), with an average of 1,000 daily complaints and 65% of the population exposed at least once a week. The Director General of Digital Ecosystem at the Ministry of Communication and Digital Affairs, Edwin Hidayat Abdullah, stressed the need for integrated collaboration across industries, policies, and technology to bolster digital defences. At the VIDA Beyond Liveness event, VIDA unveiled ID FraudShield, an AI-based, multi-layered innovation to detect and counter advanced identity fraud techniques like injection attacks and GPS spoofing in real-time.

Lighter Sentence: Judge Reveals Mitigating Factors for Nadiem's Former Consultant Ibam

The Central Jakarta Corruption Court has sentenced Ibrahim Arief, alias Ibam, a former technology consultant to ex-Education Minister Nadiem Anwar Makarim, to four years in prison and a fine of Rp500 million, significantly less than the prosecutors' demand of 15 years. The judges cited mitigating factors such as Ibam's lack of prior convictions, his advisory role without direct policy-making power, and no evidence of personal financial gain from the corrupt Chromebook procurement deal that caused substantial state losses during the COVID-19 pandemic. Two dissenting judges argued that Ibam should not be convicted, highlighting insufficient proof of his involvement in lobbying or budget planning.

Banten Police Chief Requests Action Against Mining Trucks Violating Operating Hours

The Banten Provincial Police Chief, Inspector General Hengki, has called for consistent enforcement against mining transport vehicles operating outside designated hours, from 5:00 to 22:00 WIB, during a coordination meeting attended by key police and provincial officials. The measures aim to address traffic congestion, road damage, and safety risks posed by overloaded and non-compliant vehicles, with support from Sabhara personnel to handle potential resistance. Business owners in the non-metallic mining sector are urged to assist in maintaining operational order to prevent violations.

BPJS Kesehatan and Tanjungpinang City Government Strengthen Synergy in JKN Programme

BPJS Kesehatan and the Tanjungpinang City Government in Riau Islands Province are enhancing cross-sectoral collaboration through a communication forum to ensure the National Health Insurance (JKN) programme is targeted, sustainable, and meets community needs. Discussions focused on careful reactivation of health insurance premium assistance recipients (PBI JK), emphasising the role of local communities in data verification to maintain support for those still in need. The city plans to cover premiums for 26,500 underprivileged residents at Rp35,000 per person per month via the 2026 regional budget, advancing Universal Health Coverage goals.

137 Lampung Inmates Involved in Love Scamming Face Loss of Parole and Remission Rights

Indonesian Minister of Immigration and Correctional Services Agus Andrianto has announced that 137 inmates in Lampung convicted of love scamming will be denied parole and remission, with potential placement in special cells and stricter supervision for repeat offenders. The case was uncovered after the discovery of 156 mobile phones used for online fraud, including video call sex scams affecting 1,286 victims, 671 of whom were targeted with explicit calls and 249 who transferred money. This crackdown highlights ongoing efforts to curb criminal activities within correctional facilities, ensuring additional penalties for those who continue offending during rehabilitation.

Shopee Pours Additional Support for Sellers of Local Products

Shopee Indonesia has launched the Local Business Acceleration Voucher programme to bolster the competitiveness of local sellers offering 100% local products on its platform, providing promotional vouchers to enhance exposure and sales. This initiative builds on previous efforts like the Local Shopping Day campaign and the Shopee Pilih Lokal channel, which have driven significant sales growth, with Shopee allocating up to Rp100 billion in support from January to May 2026. The move underscores the platform's commitment to sustaining local businesses in the rapidly evolving digital economy.

Bahlil Lahadalia Strengthens Downstream Integration of Electric Vehicle Battery Ecosystem

Indonesia's Minister of Investment, Bahlil Lahadalia, has reaffirmed the government's commitment to developing a comprehensive electric vehicle battery ecosystem from upstream to downstream, leveraging the country's 29% share of global nickel reserves to capitalise on the global shift towards green energy. Key investments include a US$1.6 billion Hyundai plant in Karawang and a US$9.8 billion collaboration with LG Energy Solution through the Indonesia Battery Corporation, involving state-owned enterprises like Antam, aimed at enhancing domestic value addition and reducing emissions. This strategy, despite bureaucratic challenges and international criticism, positions Indonesia competitively in the EV market while promoting environmental benefits and long-term fiscal efficiency through subsidies for electric vehicles and motorcycles.

Purbaya Rebukes Economists Predicting Economic Slowdown: They Don't Know My Strategies

Finance Minister Purbaya Yudhi Sadewa has expressed optimism about Indonesia's economic growth remaining above 5.5 per cent in the third and fourth quarters of 2026, dismissing predictions of a slowdown by economists who overlook the government's multifaceted strategies. He highlighted initiatives such as incentives for the electric vehicle sector, expanded financing for export-oriented industries like textiles, furniture, and footwear, and leveraging the Indonesian Export Financing Agency to boost liquidity, while also ensuring active private sector involvement and effective market mechanisms in banking. This comes after the Central Statistics Agency reported a robust 5.61 per cent year-on-year growth in the first quarter of 2026, surpassing the previous year's figure.

KPK Probes Alleged Corruption in Investment of Indonesia-Japan Joint Venture PPT

Indonesia's Corruption Eradication Commission (KPK) is investigating alleged corruption in the management of capital investments and long-term loans at PPT Energy Trading Co., Ltd., a joint venture between PT Pertamina and several Japanese companies, spanning 2015 to 2022. On 11 May 2026, investigators examined two witnesses from Pertamina affiliates regarding investment and acquisition activities, building on a probe announced in July 2025 that also links to suspected corruption in Pertamina's liquefied natural gas procurement from 2011 to 2021. The case has led to travel bans for three individuals and the identification of a suspect, whose identity remains undisclosed, highlighting ongoing efforts to combat graft in state-owned energy sector investments.

Deputy Interior Minister Urges Regional Heads to Abandon Ceremonial Meeting Patterns

Deputy Interior Minister Bima Arya Sugiarto has called on regional leaders to shift from ceremonial meetings to direct execution of cross-sectoral programmes, emphasising the need for progressive approaches to address concrete issues such as food security and rapid energy transition. He highlighted the importance of real-time big data for effective inter-regional cooperation, particularly in food distribution, and urged unified understanding of policies exempting electric vehicles from taxes to support long-term benefits like improved air quality and green job creation. This push comes amid complex global challenges and Indonesia's race to optimise its demographic bonus towards the Golden Indonesia 2045 vision, promoting innovation over mere tax hikes to boost local revenues.

DKI Provincial Government Affirms It Will Not Tolerate Illegal Parking, Jakarta's Parking System to be Overhauled

The DKI Jakarta Provincial Government has vowed to eradicate illegal parking practices in the capital, announcing plans to reform the parking management system for greater organisation and transparency. This follows allegations of illegal operations at Blok M Square in South Jakarta, where operators are suspected of underreporting revenues and evading proper taxes, prompting an investigation by the Transportation Agency and Regional Revenue Agency. The Jakarta DPRD's Special Committee on Parking has sealed the site's parking gates, temporarily making parking free, highlighting significant revenue potential exceeding Rp 3 billion monthly that may not be fully remitted to the government.

Finance Minister Purbaya: Out of 142 Complaints Received via Business Bottleneck Channel, 45 Resolved

Finance Minister Purbaya Yudhi Sadewa reported that the government's debottlenecking channel has received 142 business obstacle complaints as of 12 May 2026, with 83 discussed publicly and 45 already resolved. He introduced the Task Force for Accelerating Strategic Government Programmes (Satgas P2SP) to facilitate these issues for global investors, aiming to enhance transparency and efficiency in resolving barriers. This initiative underscores the government's commitment to improving the investment climate, encouraging private sector contributions to national economic growth and inviting international investors to Indonesia.

To Help Resolve Investment Barriers, Purbaya Introduces P2SP Task Force to Global Investors

Finance Minister Purbaya Yudhi Sadewa has introduced the Government Strategic Programme Acceleration Task Force (Satgas P2SP) to global investors as a mechanism to effectively address business bottlenecks by coordinating with various ministries and local governments. The task force, operational since December 2025, aims to facilitate smoother investments in Indonesia, with the Ministry of Finance empowered to impose budget cuts on non-compliant entities. Through collaboration with the Ministry of Foreign Affairs, the initiative seeks to promote the task force internationally, ensuring investors know where to report obstacles encountered in the country.

Indonesian Navy Saves 25 Million Lives by Thwarting Drug Trafficking at Sea

The Indonesian Navy (TNI AL) has saved an estimated 25 million lives in 2025 by disrupting drug smuggling operations in Indonesian waters, with the highest success in June preventing harm to over 24 million people. This achievement stems from strong collaboration with customs, police, maritime authorities, local governments, and the public, involving intensified patrols and aerial support. The Navy vows to maintain vigilance and calls for ongoing societal cooperation to combat maritime crimes and reduce national losses from drug trafficking.

Singapore and Indonesia seek to deepen cooperation as both mark 60 years of diplomatic ties in 2027

Indonesia and Singapore's foreign ministers met in Jakarta to strengthen bilateral ties ahead of their 60th anniversary in 2027, focusing on expanding collaborations in digital and green economies, energy projects, and regional partnerships like SIJORI and the ASEAN Power Grid. They highlighted mutual benefits in trade, investment, and sustainable energy, with Singapore positioned as a key investor and hub for Indonesia's vast energy potential. The discussions also addressed geopolitical challenges, such as the Middle East crisis, and expressed gratitude for Indonesia's assistance in a recent volcanic eruption rescue operation involving Singaporean victims.

Indonesia to roll out EV incentives in June to curb fuel imports

Indonesia's Finance Minister Purbaya Yudhi Sadewa announced that the government will introduce incentives for electric vehicles in June to reduce reliance on fuel imports amid elevated global oil prices due to Middle East conflicts. The programme includes subsidies for 100,000 electric cars and 100,000 motorcycles, with tax breaks of 40 to 100 per cent for EVs depending on battery type, aiming to shift consumption patterns towards electricity and bolster economic resilience. This initiative aligns with President Prabowo Subianto's agenda for energy self-sufficiency, optimising excess electricity capacity and enhancing national energy security.

PTFI Strengthens Central Papua's Economy Through Long-Term Investments

PT Freeport Indonesia (PTFI) has significantly transformed Central Papua's socio-economic landscape over the past 5-10 years by creating jobs, enhancing education and healthcare access, and fostering local businesses, with local Papuan workers now comprising 40.9% of its workforce. Through partnerships with over 400 local entrepreneurs and investments in infrastructure like roads, electricity, and clean water, PTFI is building a sustainable economic foundation that extends beyond mining operations. This long-term commitment underscores the company's role in empowering communities and promoting self-reliant growth in the region.

Deputy Interior Minister: If Demographic Bonus Not Harnessed, 'Golden Indonesia' Will Remain Just a Dream

Deputy Interior Minister Bima Arya Sugiarto has urged local governments to leverage Indonesia's demographic bonus to boost economic growth and escape the middle-income trap, warning that failure to do so would render the vision of Golden Indonesia 2045 unattainable. He highlighted that Indonesia's productive population currently outnumbers the non-productive by a ratio of 100:45, but this advantage will diminish by 2039, varying by region, and emphasised the need for double-digit economic growth over the next 10-15 years to achieve major economy status. The Ministry of Home Affairs is focusing on strategies, in collaboration with other ministries, to enable regional contributions to high economic growth.

Kia Inaugurates New Dealer in Surabaya

Kia has strengthened its expansion in Indonesia by inaugurating a new dealer named Kia Spazio Tower in Surabaya, managed by Kia Azimut Group, as part of its strategy to broaden its network in East Java. The facility, spanning 199 square metres with a semi-outdoor and indoor concept, aims to provide a comfortable vehicle exploration experience and full ownership services from purchase to aftersales. This move aligns with Kia's repositioning strategy to enhance product and service accessibility in the growing SUV and MPV segments in the region.

Deputy Interior Minister Urges Regions to Optimise Food Security and Energy Transition

Deputy Interior Minister Bima Arya has called on regional leaders to adopt a progressive, issue-specific approach to address critical challenges like food security and energy transition amid global uncertainties and Indonesia's push towards Golden Indonesia 2045. He emphasised the need for real-time big data to facilitate cooperation in food distribution between surplus and deficit regions, and urged implementation of a recent circular exempting electric vehicles from motor vehicle taxes to promote long-term benefits in efficiency, air quality, and green jobs, despite short-term revenue impacts. Additionally, Bima encouraged innovative strategies to boost local revenues through optimising regional potentials rather than relying solely on tax hikes.

Finalisation of Sultan Hotel Execution: A Bet on the State's Credibility

The Pusat Pengelolaan Komplek Gelora Bung Karno (PPKGBK) is set to redevelop Block 15 GBK, the site of the Sultan Hotel in Central Jakarta, following a court approval for its execution and evacuation. PPKGBK aims to transform the area into a green, modern public space that maximises benefits for the community and recovers long-overdue state royalties, while providing support services for affected parties to uphold humanitarian values. This move underscores the government's strong legal position and commitment to inclusive public asset management, potentially enhancing state credibility amid ongoing disputes.

Sugiono and Singapore's Foreign Minister Discuss "ASEAN Golden Triangle", Planning This

Indonesian Foreign Minister Sugiono and his Singaporean counterpart Vivian Balakrishnan have discussed reviving the "ASEAN Golden Triangle" concept through enhanced SIJORI cooperation involving Singapore, Johor in Malaysia, and Indonesia's Riau Islands, aiming to boost regional economic growth amid global uncertainties. The talks highlighted strong bilateral ties, including Singapore's position as Indonesia's top foreign investor, ongoing projects like Nongsa Digital Park and Kendal Industrial Area, and the importance of securing key trade routes such as the Malacca and Singapore Straits. This partnership is seen as a model for global cooperation in maintaining stable shipping lanes and advancing digital and green energy initiatives.

Strengthening Fundamentals and Delivering 35.7% Total Shareholder Return, Telkom Records Resilient Performance in 2025

PT Telkom Indonesia (Persero) Tbk concluded its 2025 fiscal year with robust financial results, including a consolidated net income of Rp17.8 trillion and normalised net income of Rp22.7 trillion, driven by revenues of Rp146.7 trillion and an EBITDA of Rp72.2 trillion. The company achieved a Total Shareholder Return of 35.7%, reflecting positive market response to its TLKM 30 transformation strategy, which emphasises operational excellence and digital ecosystem leadership. This resilience underscores Telkom's adaptation to macroeconomic pressures and telecom sector challenges, while committing to consistent shareholder value through high dividend payouts and an ongoing share buyback programme.

FKD-MPU 2026 Working Meeting in Central Java Agrees on Six Strategic Agreements

The FKD-MPU 2026 Working Meeting in Semarang, themed 'Synergy MPU 2026: Strengthening Inter-Regional Connectivity Towards National Food Self-Sufficiency and Energy Resilience', brought together officials from 10 provinces to coordinate responses to food and energy challenges, particularly the prolonged dry season from El Niño in 2026-2027. Key speakers, including Central Java Governor Ahmad Luthfi and Deputy Minister of Home Affairs Bima Arya Sugiarto, emphasised the need for central-local government synergy, optimisation of regional budgets, and inter-provincial cooperation to bolster sustainable food and energy security. The forum culminated in six strategic agreements, covering integrated food resilience, regional enterprise collaborations, energy strengthening, implementation of action plans, support for national infrastructure priorities like the Giant Sea Wall, and ongoing monitoring, underscoring Central Java's role in driving national self-sufficiency goals.

Indonesia's Strong Geography Positions ITS Indonesia as Key Player in Regional Urban Air Mobility

Denon Prawiraatmadja, Founder and CEO of Whitesky Group, has urged Intelligent Transport System Indonesia (ITS Indonesia) to take a strategic role in developing Urban Air Mobility (UAM) in Indonesia and the Southeast Asian region, highlighting the country's unique geographical advantages and growing mobility needs. Speaking at a Focus Group Discussion with ITS Indonesia President William P. Sabandar and stakeholders from transport, technology, industry, and regulatory sectors, Denon emphasised the importance of cross-sector collaboration to build an integrated ecosystem for long-term UAM growth. He noted that ITS Indonesia's intelligent transport concepts align seamlessly with UAM visions, positioning Indonesia to lead in addressing urbanisation challenges and enhancing connectivity through efficient, adaptive mobility systems.

Police Arrest Man for Netting Hundreds of Napoleon Fish in Thousand Islands

The Directorate of Water and Air Police of Metro Jaya Regional Police has arrested a man for capturing and selling over 180 protected Napoleon wrasse fish in the waters of Panggang Island, North Thousand Islands, Jakarta. The suspect, identified as SH, admitted to engaging in the illegal activity since 2023, selling the fish domestically without proper permits, in violation of regulations protecting the species. Authorities are charging him under fisheries laws, facing up to eight years in prison, and reaffirm their commitment to combating illegal fishing to preserve marine ecosystems.

11,000 Social Aid Recipients Removed for Playing Online Gambling

Indonesia's Social Affairs Minister Saifullah Yusuf, known as Gus Ipul, has announced the removal of over 11,000 social aid recipients in the first quarter of 2026 and 75 families in the second quarter, due to their alleged misuse of funds for online gambling. This marks a significant decline from last year's 600,000 cases, thanks to coordination with the Financial Transaction Reports and Analysis Centre (PPATK), aiming to ensure aid reaches the truly needy. Eligible individuals can reapply through local channels or apps for a second chance.

Finance Minister Ready to Stabilise Bond Market as Exchange Rate Hits Rp17,500

Indonesia's Finance Minister Purbaya Yudhi Sadewa has announced plans to intervene in the bond market starting tomorrow to stabilise yields on government securities and mitigate pressure on the rupiah, which has weakened to Rp17,500 per US dollar. Utilising the bond stabilisation fund through mechanisms like buybacks, the government aims to prevent excessive yield rises that could trigger capital outflows from foreign investors. This move underscores efforts to maintain financial market stability amid currency depreciation, with fiscal projections remaining secure despite the rupiah's position above budgeted assumptions.

Too Many Players, Mutual Fund Competition in Indonesia Unhealthy - Babel Insight

Indonesia's mutual fund industry is plagued by an excessive number of 95 active investment management companies, leading to unhealthy competition and hindering the growth of large-scale businesses, as highlighted by Naresh Krishnan of Principal Asset Management. Compared to India, which has only 30 firms despite a much larger population, this fragmentation weakens the industry's bargaining power and risks market erosion through aggressive fee undercutting. To foster sustainable growth, experts call for enhanced investor education, routine savings programmes targeting millennials and Gen Z, and robust distribution infrastructure to reach broader audiences.