Indonesian Political, Business & Finance News

Archive: 10 June 2026

Showing 1,201-1,250 of 1,647 articles

BI Governor Reveals 5 Reasons Why the Dollar Could Return to Rp17,500 in 2027

Bank Indonesia Governor Perry Warjiyo has outlined five reasons underpinning the central bank's confidence that the rupiah will strengthen below Rp18,000 per US dollar by 2027. The projection aligns with the government's macro-economic framework, which forecasts a trading range of Rp16,800 to Rp17,500. Key factors include improving global conditions, new export proceeds regulations, and coordinated efforts to maintain attractive investment yields.

Satria Confirms Pyrolysis Machines at Klungkung TOSS Centre Are Environmentally Friendly

Klungkung Regent I Made Satria has verified that the new pyrolysis waste processing machines at the TOSS Centre in Kusamba Village produce minimal pollution, emphasising the system uses high-temperature heating rather than incineration. During the trial, Satria also secured a commitment for local worker training and requested formal emissions testing before full operations commence. The facility, developed with private partners, is expected to process up to 168 tonnes of waste daily by mid-July 2026.

MSME Minister: Rupiah Weakening Adversely Affects Small Businesses

Minister of Micro, Small, and Medium Enterprises Maman Abdurrahman has acknowledged the negative impact of the rupiah's depreciation against the US dollar on the MSME sector. Sectors such as tofu and tempeh traders, which rely heavily on imported soybeans, and those dependent on plastic materials are feeling the strain. The minister assured that the government is coordinating with the Ministry of Finance, Bank Indonesia, and the Ministry of Trade to mitigate the effects.

Iran Affirms Strait of Hormuz Is Not International Waters

Iran's Foreign Minister Abbas Araghchi has declared that the Strait of Hormuz is not an international waterway but is shared between Iran and Oman. He warned against foreign interference, emphasising that Iran's armed forces are ready to counter any violation of its territory. The statement comes amid heightened tensions following a US-Israeli attack and a subsequent naval blockade imposed by Washington.

Climate Change Fueling Dengue Surge, Children Increasingly Vulnerable, Doctor Says

The Indonesian Paediatric Society (IDAI) has warned that climate change is triggering a surge in dengue fever cases, making children with underdeveloped immune systems particularly vulnerable. Warmer temperatures are enabling the Aedes aegypti mosquito to breed more massively and spread to previously unaffected highland areas. Indonesia recorded over 131,000 dengue cases and 544 deaths up to October 2025, prompting calls for climate control and community mosquito eradication efforts.

BKPM Accelerates Integrated Biofuel Development in Lampung

Indonesia's Investment Ministry (BKPM) is fast-tracking an integrated bioethanol plant in Lampung to advance plantation downstreaming and bolster national energy security. The project, backed by a joint declaration between the Lampung provincial government, Pertamina NRE, and Toyota, aims to create a model for agriculture-based renewable energy. Lampung was selected for its robust feedstock availability and strategic position to supply energy to Sumatra and Java.

BMKG: 2026 Dry Season to Arrive Earlier in 40 Regions

Indonesia's Meteorology, Climatology and Geophysics Agency (BMKG) has forecast that the 2026 dry season will commence earlier than normal across nearly 40 per cent of the country. This shift coincides with an increased probability of an El Niño phenomenon developing from the middle of this year, leading to drier and longer-lasting conditions. The agency warns that the peak of the dry season is expected in August 2026, with potential for significant drought affecting the majority of the archipelago.

Pramono declines to debate Transjabodetabek subsidies, focuses on service improvement

Jakarta Governor Pramono Anung Wibowo has said he does not wish to argue with neighbouring regions over subsidy contributions for the Transjabodetabek bus service. He stressed that ensuring good inter-regional transport services is the priority, while acknowledging that some tariff adjustments are inevitable. Pramono confirmed Jakarta will continue to subsidise the route, despite the financial burden of maintaining bus stops outside the capital.

Three Waste-to-Energy Projects Gain National Strategic Project Status

Three waste-to-energy (PSEL) facilities in Bekasi, Bogor Raya, and Denpasar Raya have been officially designated as National Strategic Projects by the Indonesian government. The status aims to accelerate the development of the facilities under the management of PT Denera, a subsidiary of Danantara Investment Management. The projects are expected to contribute to urban waste management, renewable energy targets, and emission reduction efforts.

Solid Amidst Turmoil, MIND ID Group Performance Exceeds Market Expectations

Indonesia's state-owned mining holding company MIND ID has reported robust financial results across all its subsidiaries for 2025, successfully navigating global commodity price volatility and geopolitical unrest. Key performers included PT Aneka Tambang with a 106% profit surge driven by gold, and PT Freeport Indonesia, which reaped the benefits of its copper downstreaming strategy. The group's overall performance provided a significant contribution to state revenues through taxes, royalties, and dividends.

Lebak Government Salaries Funded by Regional Budget, Official Claims No Delays

The Lebak Regency administration has confirmed that salaries for Government Employees with Work Agreements (PPPK) are fully funded by the local 2026 budget. Acting Regional Secretary Halson Nainggolan stated that the local government remains committed to timely payments, including the 13th and 14th month salaries, sourced from locally generated revenue and general allocation funds.

Autonomous Trash Skimmer Officially Launched, Pertamina Aims for Cleaner Waters

Indonesia's state energy firm Pertamina has launched an AI-powered autonomous vessel to tackle marine debris, collaborating with the Sepuluh Nopember Institute of Technology. The 'Autonomous Trash Skimmer' was unveiled in Bali as a pilot project to protect marine ecosystems and support the tourism-dependent economy. The initiative integrates hybrid energy and smart navigation to collect waste, representing a shift from conventional methods to technology-driven environmental solutions.

Minister Agus Inspects House Renovations in Warungkiara Prison Environs

Immigration and Corrections Minister Agus Andrianto reviewed a social housing renovation programme near Warungkiara Prison in Sukabumi, West Java. Funded by the harvest proceeds of inmates, the initiative repaired five substandard homes and two mosques using concrete products manufactured by prisoners. The programme aligns with President Prabowo's national agenda on food security and the construction of three million affordable homes.

Belawan Customs Hands Over Illegal Mangrove Charcoal to Ministry of Forestry

Belawan Customs has handed over five containers of suspected illegal mangrove charcoal to the Directorate General of Law Enforcement at the Ministry of Forestry. The shipment, valued at approximately 1.1 billion rupiah, was destined for Saudi Arabia, Italy and South Korea. The exporter was found to lack the required timber legality verification, underscoring ongoing efforts to combat forestry crimes through joint enforcement operations.

Industry Minister Requests Additional Rp 1.59 Trillion Budget from Parliament: What For?

Indonesia's Minister of Industry, Agus Gumiwang Kartasasmita, has requested an additional budget of Rp 1.59 trillion from the House of Representatives (DPR). The request follows a significant 19.5% cut to the ministry's indicative budget ceiling for 2027, which has shrunk to Rp 2.01 trillion. The extra funds are sought to support priority programmes including industrial downstreaming, machinery restructuring, and strengthening small and medium enterprises.

Profile of Abi Nurwardani, Muara Enim Education Secretary Arrested by KPK After Three Months in Office, Owns Rp9.7 Billion in Assets

Abi Nurwardani, the recently appointed Secretary of the Muara Enim Education and Culture Department, has been named a suspect in a graft case following a sting operation by the Corruption Eradication Commission (KPK). He was arrested alongside the regent and two other individuals over alleged bribery related to procurement projects. Asset declarations reveal the official, who also chairs the local teachers' association, holds property worth Rp9.7 billion, primarily in land and buildings across Java and Sumatra.

Gold Plunges 2%, Forecast to Hit US$3,500 Amid Rising Dollar and Iran Tensions

Gold prices have slumped by nearly two per cent to an 11-week low, battered by a strengthening US dollar and rising oil prices driven by escalating US-Iran tensions. The sell-off has fuelled inflation fears and expectations of higher interest rates, with one strategist warning a breach of the US$4,100 level could open the door to a decline towards US$3,500.

Jakarta's 499th Anniversary: List of Free Transport and Tourist Attractions on 27-28 June

The Jakarta provincial government will waive fees for public transport and major tourist attractions, including Ancol and Ragunan, on 27-28 June 2026 to celebrate the city's 499th anniversary. Governor Pramono Anung also announced the upcoming inauguration of revitalised public spaces and transport links, such as the new KRL station connecting Jakarta International Stadium to Ancol.

PDIP's Said Abdullah Calls on Government to Open Itself to Criticism Amid Economic Crisis

Said Abdullah, Chair of the House Budget Committee, has urged the government to open itself to criticism rather than blaming external factors for the weakening rupiah and falling stock index. The PDIP politician outlined three key steps to restore market confidence, including policy consistency and fiscal discipline. He also called for improvements in the management of free meal programmes and village cooperatives, as well as reforms to stock exchange governance.

PRR Task Force Affirms Driftwood in Aceh Can Be Utilised

The head of the Aceh Regional Command Post for the Post-Disaster Rehabilitation and Reconstruction Task Force has confirmed that driftwood from recent floods can be legally utilised. Approximately 70 per cent of the timber has already been processed, while the remaining 30 per cent, categorised as debris, still holds economic value. A regulatory framework involving local governments and law enforcement is being established to facilitate its use for public infrastructure and housing.

BI South Sulawesi Partners with Content Creators to Strengthen Sharia Economic Literacy

Bank Indonesia's South Sulawesi office is engaging content creators and influencers through a 'Training of Trainers' programme to enhance public understanding of Islamic economics and finance. The initiative aims to shift information dissemination towards more creative, digital-first approaches that resonate with the public, moving beyond traditional media. The central bank views this as part of its broader support to position Indonesia as a global hub for the sharia economy.

Teenager Dies After Falling from Apparalang Cliff in Bulukumba, Management Under Investigation

Police in Bulukumba, South Sulawesi, have launched an investigation into the death of a 17-year-old girl who drowned after falling from the Apparalang cliff tourist site. The local parliament has also summoned the site's management for a hearing. The tourist area has been closed with police lines as authorities probe potential criminal negligence.

Elon Musk's Wealth Set to Become Unlimited as He Has No Rival

Elon Musk's net worth could surpass US$1 trillion following a planned initial public offering for SpaceX, which may reach a valuation of US$1.77 trillion. Already the world's richest person with a fortune of US$826 billion, Musk far outpaces his closest rival, Google co-founder Larry Page. A successful listing would also make Musk the owner of two of America's most valuable companies, alongside Tesla.

Pakistan launches deadly strikes on Afghanistan

Pakistan has carried out airstrikes in Afghanistan’s Khost, Kunar and Paktika provinces, killing at least 26 people including women and children, according to Afghan officials, while Islamabad claims it targeted militant hideouts. The attacks mark the deadliest violence in weeks and further strain already fraught relations between the Taliban-led Afghan government and Pakistan over cross-border militancy. The renewed hostilities threaten regional stability and continue to disrupt bilateral trade along the largely closed border.

Pakistan carries out new deadly strikes on Afghanistan: Officials

Pakistani airstrikes have killed at least 12 civilians in eastern Afghanistan, primarily children, according to Afghan officials, marking a serious escalation after weeks of calm. The Taliban government condemned the violation of airspace, while previous tensions have seen hundreds of civilian casualties and the border largely closed, freezing bilateral trade. The ongoing conflict centres on Islamabad's demand that Kabul curb cross-border militant groups, a charge the Taliban denies.

Brace Yourselves, Indonesians: Wallets Thin as Loan Instalments Choke

Senior economist Radhika Rao from DBS Bank forecasts Bank Indonesia will raise its benchmark interest rate by a further 50 basis points to 6% by the end of Q3-2026 to stabilise the rupiah. The anticipated tightening, driven by prolonged Middle East geopolitical tensions and external inflationary pressures, signals a proactive policy stance. The central bank has already lifted rates by 50 basis points in the past month, with the rupiah temporarily strengthening below the Rp18,000 per US dollar level after the latest hike.

Makassar City Government Strengthens Flood Mitigation via Smart JAMP from Japan

The Makassar City Government is advancing its flood management strategy through an international collaboration with Japan's Nihon Suido Consultants. The partnership, originating from a Letter of Intent signed in November 2025, will implement the Smart JAMP project, a real-time flood monitoring technology. Mayor Munafri Arifuddin stressed that the Japanese government-funded initiative is crucial for addressing the city's recurring annual flooding problem.

MSC: Consumers Play Key Role in Maintaining Fishery Sustainability

The Marine Stewardship Council (MSC) has emphasised the crucial role consumers play in preserving ocean health by choosing responsibly sourced seafood. The non-profit's message coincides with World Ocean Day 2026, highlighting a gap between public concern and understanding of sustainable fisheries management. Scientific studies presented by the MSC demonstrate that fish stocks, such as Iberian sardines and Eastern Atlantic bluefin tuna, can recover robustly when science-based management is applied consistently.

PT WIKA Tirta Jaya Jatiluhur Distributes Over 23,000 Litres of Free Drinking Water Through Sustainable CSR Programme

PT WIKA Tirta Jaya Jatiluhur (WTJJ), a subsidiary of state-owned construction firm WIKA, has distributed more than 23,660 litres of free drinking water to the public between January and May 2026. The initiative, equivalent to roughly 47,000 standard bottles, aims to provide equitable access to clean water while reducing single-use plastic waste. The company states the programme aligns with its ESG principles and contributes directly to several UN Sustainable Development Goals.

El Niño to Bring Drier, Longer Dry Season Across Most of Indonesia, BMKG Warns

Indonesia's Meteorology, Climatology, and Geophysics Agency (BMKG) has warned that an El Niño event beginning in mid-2026 will likely cause the upcoming dry season to be drier and longer than normal for most of the country. The agency predicts a 92 percent chance of a strong El Niño intensity, with over half of the nation's seasonal zones expected to experience below-normal rainfall. The government has been urged to prepare mitigation measures, particularly for agriculture, water resources, and forest fire risks.

High Demand Drives BSI Gold Installment Service Growth of 97.90% in a Year

Bank Syariah Indonesia's gold instalment facility recorded 97.90% year-on-year growth, reaching Rp 16.93 trillion in realisation by April 2026. The surge reflects increasing public appetite for gold as a sharia-compliant investment hedge against inflation. BSI, now operating as a bullion bank, is strengthening its ecosystem through an expanded partnership with ANTAM to support the government's gold monetisation agenda.

Permendag Baru E-Commerce Terbit, Ini 10 Poin Pentingnya - CNN Indonesia

Indonesia has introduced a new trade minister regulation (Permendag 19/2026) to overhaul its e-commerce landscape, replacing the previous 2023 rules. The regulation mandates online seller licensing, prioritises local products in marketplace algorithms, and reinforces a price floor on imported goods to protect domestic industries. It also increases transparency requirements for platforms regarding seller fees and for foreign merchants concerning their legal identities.

BKPM Accelerates Development of Integrated Biofuel Plant in Lampung

The Ministry of Investment and Downstreaming (BKPM) is fast-tracking an integrated bioethanol plant in Lampung province to boost downstreaming in the plantation sector and strengthen national energy security. A joint declaration was signed with regional government and companies including Pertamina NRE and Toyota to develop the supply chain. The project, slated for commercial operation by late 2028, will utilise multi-feedstock such as molasses, sorghum, and biomass waste.

Pramono Speaks Out on Planned Transjabodetabek Fare Hike

Jakarta Governor Pramono Anung has confirmed an imminent decision on adjusting Transjabodetabek public transport fares, whilst assuring that subsidies will remain to avoid burdening residents. The adjustment considers the heavy subsidy borne by the provincial government, including maintenance of bus stops outside Jakarta. Pramono emphasised that any increase will be carefully calibrated to prevent commuters from switching back to private vehicles.

AGIBOT Holds APC 2026 in Jakarta, Pushing Robotics and AI Adoption

Chinese robotics firm AGIBOT is expanding into Indonesia through a partnership with Denka Pratama Indonesia, hosting a conference in Jakarta to promote humanoid robots and embodied AI for industrial transformation. The move aims to capitalise on Indonesia's fast-growing robotics market, which is projected to nearly double in value to USD 47.75 million by 2030. The company introduced a Robot as a Service (RaaS) model to lower adoption barriers for local businesses.

New Shopping Destination Targets Urban Communities and Young Families

Ranch Market has opened a new outlet at K-MALL Kemayoran in North Jakarta, targeting young families and urban professionals. The supermarket chain aims to provide a modern lifestyle shopping experience that integrates quality products with leisure activities. The company sees strong potential in Kemayoran as a growing lifestyle hub.

Judge tells Customs and Excise case suspect: 'If you lie, you go to hell'

A Jakarta Corruption Court judge has sternly warned a Customs and Excise intelligence official against giving false testimony, reminding him of divine retribution in the afterlife. Sisprian Subiaksono, a suspect in the case, was testifying as a witness in the trial of three Blueray Cargo executives. The defendants are accused of bribing Customs and Excise officials with SGD 61.3 billion and luxury goods worth Rp 1.8 billion.

Minister Declares Child Online Gambling a National Priority, Warns of Secondary Criminal Behaviour

Minister of Women's Empowerment and Child Protection, Arifah Fauzi, has declared protecting children from online gambling a national priority, citing the exposure of 200,000 children to digital gambling. The minister warned that online gambling drives children towards secondary crimes such as theft and illegal loans, compounding mental health issues and academic decline. The government is accelerating a Presidential Regulation on child protection in the digital realm whilst the communications ministry actively takes down harmful content.

National Police Traffic Corps Chief Reviews Free Healthcare for Kemayoran Fire Victims

The head of the National Police Traffic Corps, Inspector General Agus Suryonugroho, has inspected a free medical post established for residents affected by a major fire in Kemayoran, Central Jakarta. The initiative aims to restore the physical and psychological condition of displaced victims, particularly through the provision of general health checks and medication. The humanitarian action is part of the lead-up to the Indonesian National Police's 80th anniversary, under the theme 'Polri for the Community'.

Purbaya Optimistic Rupiah Will Strengthen Gradually in Second Half of 2026

Finance Minister Purbaya Yudhi Sadewa has expressed confidence that the Indonesian rupiah will stage a gradual recovery in the latter half of 2026, citing better policy coordination and revised export proceeds regulations. The government expects the currency to stabilise between Rp16,800 and Rp17,500 per US dollar in 2027, supported by easing geopolitical tensions and improved global growth.

Mother and Child in Depok Slashed with Machete After Confronting Burglar

A mother and her child were attacked with a machete in Sukamaju Baru, Depok, after they discovered a burglar inside their home. The suspect, who was attempting to steal a mobile phone, grabbed a decorative machete from the house and slashed the victims when they resisted. Both victims suffered injuries to their fingers and face and are receiving treatment at Husada Cibinong Hospital.

Indonesia Ready to Receive KF-21 Boramae Fighter Jet Prototype

Indonesia is set to receive a prototype of the KF-21 Boramae fighter jet from South Korea after fulfilling its financial obligations in the joint development project. The decade-long partnership formally concluded in June 2026, with the handover of one of six existing prototypes agreed upon between the two nations. Officials highlighted the collaboration's value in technology transfer and human resource development for Indonesia's defence industry.

RI Ambassador says costs for KF-21 prototype fully paid, ready for delivery

Indonesia has completed its financial contribution payments for the joint development of South Korea's KF-21 Boramae fighter jet prototype. Indonesian Ambassador to South Korea Cecep Herawan confirmed that one of the six prototypes is set to be handed over to Indonesia in the near future. The envoy highlighted the importance of the knowledge transfer component, which supports human resource development within Indonesia's defence industry.

President Prabowo Departs for Lampung to Inaugurate KH Muhammad Thohir Regional Hospital

President Prabowo Subianto travelled to Lampung to inaugurate RSUD Kiai Haji Muhammad Thohir Krui, marking progress in the government's healthcare infrastructure initiative. The visit follows discussions on the construction of 66 regional hospitals across Indonesia, with 20 completed and 10 already operational in 2025. The president was accompanied by key ministers, including the Health Minister who also briefed him on flagship programmes such as free health screenings and tuberculosis case management.

Foreign Media Spotlight Bank Indonesia's Surprise Rate Hike, Report These Details

Bank Indonesia's unexpected decision to raise the benchmark interest rate to 5.5% has drawn attention from international media outlets. The surprise move aims to stabilise the rupiah amid massive capital outflows and depleted foreign reserves, marking the first off-cycle hike in eight years. Reports link the currency's weakness to global volatility and concerns over the government's substantial spending plans.

Student Data Mapping Stage Extended to 11 June 2026, Pupils Still Have Time to Complete Forms

The West Java provincial government has extended the deadline for the Prospective New Student Mapping (PCMB) data entry to 11 June 2026 to accommodate pupils who have not yet completed their submissions. Officials aim to maximise secondary education access through this extension. Pupils who remain unplaced after the mapping stage will still have the opportunity to apply through two subsequent admission phases.

Japanese Investment Exploration in Jakarta Transport Projects a Good Opportunity

A public policy analyst has described the exploration of Japanese investment opportunities in Jakarta's strategic transport projects as a very good opportunity to accelerate and expand public transport services. He stressed that central government support and public transparency are key to realising the potential investment. The initiative is also seen as a chance to create broader job opportunities for the public.

OJK Responds to State-Owned Bank Share Buyback Plans

Indonesia's Financial Services Authority (OJK) has affirmed its support for share buybacks by state-owned banks as a means to demonstrate confidence and maintain market stability amidst current pressures. The regulator highlighted that 65 listed companies have disclosed buyback plans without a general shareholders' meeting since March 2025, allocating a total of Rp65.34 trillion. OJK emphasised its commitment to monitoring market developments and ensuring all capital market activities remain orderly, fair, and transparent.

Indonesia calls ASEAN states to uphold centrality amid global tension

Indonesia’s Foreign Minister Sugiono called on ASEAN members to maintain a cohesive, outward-looking and adaptable regional cooperation to secure a peaceful and resilient future for all. Delivering a recorded address on behalf of President Prabowo Subianto at the third ASEAN Future Forum in Hanoi, he stressed that unity and centrality across the political, economic and socio-cultural pillars must be upheld and integrated more effectively. The intervention underscores Jakarta’s push for a whole-of-ASEAN community approach and greater collective ambition in the face of deepening global challenges.

Guppies Raised on Screens Develop Brain Abnormalities

New research from Stockholm University indicates that young guppies exposed only to video screens develop brain structures similar to those raised in total isolation. The study highlights the critical importance of real-time interactive feedback for normal brain development, showing social interaction shapes specific brain areas. While not directly applicable to human children, the findings provide a compelling analogy suggesting that the quality of interactive experience matters more than the quantity of visual information.