Indonesian Political, Business & Finance News

Archive: 10 June 2026

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BMKG Places Bima Regency, NTB on Alert for Meteorological Drought Due to El Niño

Indonesia's Meteorology, Climatology and Geophysics Agency (BMKG) has declared a meteorological drought alert for Bima Regency in West Nusa Tenggara, the only region in the province warranting the status. The warning follows the intensifying El Niño phenomenon, which has caused extreme rain-free days, with one sub-district recording no rainfall for 40 consecutive days. The agency forecasts the weak El Niño will strengthen to a moderate category by June 2026, potentially impacting agricultural productivity.

Navy's Kodaeral VI Visits Pertamina to Secure Vital Energy Assets in Sulawesi Sea

Indonesian Navy's Regional Fleet Command (Kodaeral) VI has pledged full support to safeguard Pertamina's energy infrastructure in the Sulawesi Sea. The commitment was made during a meeting between Commander Rear Admiral Andi Abdul Aziz and Pertamina Patra Niaga's Sulawesi management in Makassar. Both parties emphasised that secure maritime fuel distribution is critical for economic stability and national defence.

President Prabowo Urges Young Entrepreneurs to Ignore Cynics at HIPMI National Meeting

President Prabowo Subianto has called on the Indonesian Young Entrepreneurs Association (HIPMI) to disregard cynical commentators and remain focused on national progress. Speaking at the XVIII HIPMI National Conference in Bandar Lampung, he stressed the need for militant entrepreneurs who never give up.

Five BPK Civil Servants Caught in KPK Sting Operation

Indonesia's Corruption Eradication Commission (KPK) has apprehended five civil servants from the Supreme Audit Agency (BPK) in a sting operation. The arrests are linked to an alleged bribery case involving the audit of smart board procurement in Muara Enim Regency. The case has been elevated to the investigation stage, with the KPK set to name suspects.

Prabowo says Indonesia remains open to foreign investors

President Prabowo Subianto has reassured foreign investors that Indonesia remains welcoming, countering speculation that his administration might deter overseas capital. Speaking at a national conference, he emphasised that investor interest remains strong but stressed compliance with Indonesian laws and the elimination of unlawful business practices. To streamline processes, the government has formed a task force aimed at resolving licensing and regulatory bottlenecks, which the finance minister estimates could unlock over US$30 billion in delayed investment.

Dissenting Opinion in Unram Student Murder Case at Nipah Beach, Defendant Sentenced to Six Years

The panel of judges at Mataram District Court delivered a split verdict in the murder trial of a University of Mataram student, with two judges convicting the defendant whilst the chief judge dissented. Despite the disagreement, defendant Radiet Adiansyah was found guilty of assault causing death and sentenced to six years in prison, a lighter sentence than the prosecutors' demand of 13 years. The dissenting judge argued a third party was responsible for the killing, but the majority dismissed the defendant's alibi of a robbery.

Prabowo Responds to The Economist's Criticism, Asserts Indonesia Chooses Its Own Path

President Prabowo Subianto has responded to criticism from The Economist regarding Indonesia's democratic trajectory and development policies, asserting the nation has its own path and need not emulate Western countries. In a published letter, he welcomed criticism as essential to democracy but argued some critiques overlook daily societal challenges, defending programmes like the free nutritious meals initiative. He rejected claims of democratic backsliding and stated his government will answer critics through tangible results rather than rhetoric.

Sumatra Blackout Serves as Alarm for National Electricity System Vulnerability

The recent mass blackout across Sumatra has been described as a severe warning sign for Indonesia's energy security, exposing fundamental infrastructure weaknesses. An expert warns that the outage, which disrupted supply chains for key commodities, also highlights a looming financial risk from rupiah depreciation and dollar dependency in the energy sector. The government is being urged to conduct transparent stress tests and mitigate currency risks to safeguard energy sovereignty ahead of 2045.

Dave Laksono: Indonesia-Vietnam Dialogue Forum Key to Building ASEAN's Future

Deputy Chairman of Indonesia's House of Representatives Commission I, Dave Laksono, emphasised that the ASEAN Future Forum (AFF) 2026 in Hanoi was pivotal for strengthening bilateral ties with Vietnam. Discussions focused on expanding trade, investment, maritime cooperation, and energy security. The delegation also explored technology transfer and digital capacity building to enhance mutual competitiveness.

Learning from the Bitter Experience of 2022: Smallholder Palm Oil Prices Could Crash to Rp500

The head of the Serikat Petani Kelapa Sawit (SPKS) warns that current fresh fruit bunch (FFB) price volatility echoes the 2022 crisis, when an export ban caused prices to plummet to Rp500 per kilogram. Although baseline prices in 2026 are significantly higher than in 2022, the primary challenge has shifted to ensuring mills comply with provincially set prices. Farmers remain vulnerable due to weak bargaining positions and widespread non-compliance by companies.

Wilmar Group Unit Continues Fishery Support Programme for Serang Fishermen

PT Multi Nabati Asahan, a Wilmar Group subsidiary, is continuing its support for fishermen in Serang, Banten, through a fishing equipment assistance programme that has been running since 2019. The initiative, conducted with the local cooperative Berkah Bahari Jaya, aims to sustain economic activity amid rising operational costs and declining catches. The cooperative reports that many fishermen are seeking alternative employment in factories due to challenging conditions.

Geographical Factors Increase Complexity of Seasonal Prediction in Indonesia, Says BMKG

Indonesia's Meteorology, Climatology, and Geophysics Agency (BMKG) has highlighted the extreme difficulty in predicting seasonal transitions due to the complex interplay of large-scale ocean phenomena and the nation's unique archipelagic geography. The interaction of local sea temperatures, the Indian Ocean Dipole, and El Niño–Southern Oscillation with mountainous topography creates distinct microclimates. The agency forecasts a significant expansion of drought zones across the country from June 2026, though relief is expected with the onset of the rainy season in the fourth quarter.

Abidin Fikri Earns Doctorate with Dissertation on Medical Personnel Distribution

House of Representatives member Abidin Fikri has been awarded a doctorate in law, examining the inequitable distribution of medical workers across Indonesia. His research argues that regional imbalances in healthcare staffing are unconstitutional and proposes a legal reconstruction to mandate centralised, data-driven recruitment and improved welfare for those serving in remote areas. The work aims to contribute to a more integrated and just national health system.

Police and Jakarta Online Taxi Drivers Strengthen Public Security Synergy through Social Service

The Indonesian National Police held a social service event for online motorcycle taxi drivers in Central Jakarta as part of the 80th Bhayangkara Day celebrations. Senior officers emphasised the drivers' role as crucial partners in reporting road-level intelligence to maintain public order and safety. The initiative is part of a nationwide programme distributing 300,000 social aid packages, along with house renovations and clean water provision.

Lampung Governor Accompanies President to Inaugurate KH M Tohir Hospital in West Pesisir Regency

President Prabowo Subianto, accompanied by Lampung Governor Rahmat Mirzani Djausal, inaugurated the KH Muhammad Thohir Krui Regional General Hospital in West Pesisir Regency. The facility, funded by the state budget at Rp152.99 billion, aims to provide equitable specialist healthcare access for coastal and remote communities. It represents a central and provincial government synergy to reduce patient referrals to Bandar Lampung and beyond.

Health Minister: Krui Hospital Inauguration Strengthens Healthcare in Underdeveloped Regions

Health Minister Budi Gunadi Sadikin stated that the newly inaugurated KH Muhammad Tohir Regional General Hospital in Krui aims to improve access to quality healthcare in Indonesia's underdeveloped, frontier, and outermost (3T) regions. The facility, inaugurated by President Prabowo Subianto, is equipped to handle the country's top causes of death, including stroke, heart disease, cancer, and kidney ailments, reducing the need for long-distance travel by residents. The government is also deploying modern medical equipment and specialist personnel to ensure the hospital operates optimally.

Capturing Advertising Potential in the Railway Ecosystem

Indonesia's state railway operator KAI is leveraging its vast network of 629 stations and 6,957 kilometres of track to develop a transit advertising ecosystem. Through its subsidiary KAI Wisata, the company is digitally marketing its 270 million square metres of assets, targeting over 430 million annual passengers. This initiative aims to boost non-transport revenue by offering brands access to a captive audience via experiential and Digital Out-of-Home media.

Antam Ready to Engage in Nickel Downstreaming and Electric Vehicle Projects

State-owned mining company PT Aneka Tambang (Antam) has committed to accepting a special government assignment to accelerate the national nickel downstreaming programme. The initiative involves developing an integrated battery ecosystem from upstream mining to battery recycling. This move aims to boost the added value of Indonesia's mineral resources and strengthen the country's position in the global supply chain.

KPK Deputy Chair Fitroh Rohcahyanto Denies Links to National Nutrition Agency Corruption Case

The Corruption Eradication Commission (KPK) has officially denied allegations linking its Deputy Chair, Fitroh Rohcahyanto, to a corruption scandal involving the National Nutrition Agency's free meal programme. Fitroh stated he does not know one of the suspects, former BGN deputy head Sony Sanjaya, and confirmed his charitable foundation has no connection to the case. The Attorney General's Office has named three top former BGN officials as suspects for mismanagement and price mark-ups in the programme.

Baznas Launches Nationwide Amil Certification Scholarship Programme

Indonesia's National Alms Agency (Baznas) has launched a scholarship programme to certify amil zakat professionals across eight provinces, targeting 200 participants. The initiative aims to enhance the professionalism, standardisation, and integrity of zakat managers, in line with national regulations. Officials stated that improving amil competency is a strategic investment to strengthen the national zakat ecosystem and boost public trust.

Health Ministry: AI use must be accompanied by strong governance and ethics

Deputy Health Minister Dante Saksono Harbuwono has stressed that the adoption of artificial intelligence in healthcare must be underpinned by robust governance and ethical standards to safeguard patient safety. While AI has demonstrated superior accuracy in detecting diseases such as tuberculosis, lung cancer, and stroke, the government warns that unchecked innovation poses risks including misdiagnosis and data breaches. The ministry is pushing for concrete regulations, data governance frameworks, and patient consent protocols ahead of forming a dedicated AI oversight body.

Himbara Optimistic BI Rate Hike Won't Hamper Credit Growth

Indonesia's state-owned banks, collectively known as Himbara, are confident that the recent increase in the benchmark interest rate will not stifle credit growth. The banks cited robust liquidity, strong capitalisation, and resilient asset quality as buffers that will allow them to maintain their intermediary function. Bank executives stated the rate hike was a necessary step by the central bank to preserve macroeconomic stability and rupiah exchange rate certainty amid global volatility.

HNW Calls for Collective Action to Build Just Peace

MPR Deputy Speaker Hidayat Nur Wahid has urged cross-national and interfaith collaboration to achieve sustainable world peace, asserting that true peace cannot exist without independence and justice for all nations. Speaking at a global dialogue forum in Jakarta, he highlighted Indonesia's constitutional mandate to oppose colonialism and reiterated support for Palestinian statehood. The forum also heard from Deputy Foreign Minister Anis Matta, who described a current civilisational transition marked by geopolitical conflict and weakening international institutions.

Six-year-old boy in Central Jakarta falls into coma after alleged persecution by two teenagers

A six-year-old boy in Central Jakarta was hospitalised in a coma after two teenagers allegedly forced him against a leaking electrical pole in a local park. The victim, who has since regained consciousness, remains traumatised, and his family has reported the incident to the Central Jakarta Metro Police. Local residents confirmed the park has been closed for repairs, but no arrests have been made so far.

BNI Assesses Potential Impact of BI-Rate Hike on Loan Demand

PT Bank Negara Indonesia (BNI) is closely monitoring the potential impact of the recent BI-Rate increase on credit demand, particularly from sectors sensitive to funding costs. The state-owned bank views the 25-basis-point rise to 5.50 percent as a necessary step to maintain macroeconomic stability amid global challenges. BNI remains committed to supporting the real sector by strengthening digital transformation, risk management, and good corporate governance to ensure sustainable, prudent lending.

Post-Disaster Recovery in Aceh Continues to Show Progress, Says Task Force

Home Affairs Minister Tito Karnavian has reported significant progress in post-disaster recovery efforts across Aceh Province. Key public services including government, healthcare, and education have largely returned to functional normalcy, though permanent infrastructure repairs are still needed. The government is now accelerating the rehabilitation of housing, flood-prone river systems, and other critical infrastructure through central and regional coordination.

KPK Detains Five BPK Auditors in Sting Operation, Soon to Determine Legal Status

Indonesia's Corruption Eradication Commission (KPK) is questioning five civil servants from the Supreme Audit Agency (BPK) caught in a sting operation. The case has been elevated to the investigation stage, with suspects soon to be named. The operation is linked to an alleged bribery scheme involving the Muara Enim regency administration to manipulate audit findings on a smart board procurement.

Legislator Backs Agriculture Minister Amran to Stabilise Farmers' Palm Oil FFB Prices

A senior Indonesian legislator has praised Agriculture Minister Andi Amran Sulaiman for his swift action to arrest falling fresh fruit bunch prices affecting oil palm smallholders. The government has identified nearly 274 companies lagging in price adjustments and has requested a police probe into suspected market manipulation. Minister Amran reports signs of recovery, with 70 to 80 percent of firms now aligning with pricing rules.

Director General of Immigration Urges Elimination of Inappropriate Old Work Culture

Indonesia's Director General of Immigration has called for a comprehensive internal reform following a recent organisational crisis, urging all staff to abandon outdated and improper work practices. He stressed that public service must be transparent and responsive to restore trust, with a renewed focus on accessibility and integrity. The leadership emphasised that no individual holds the privilege to commit violations in the modern era.

Unej Students Transform Coffee Skin Waste into Antioxidant-Rich Snack

Students at the University of Jember have developed a novel snack bar from cascara, a by-product of coffee production, addressing agricultural waste. The ChocoCara Bar combines dried coffee skins with oats, almonds, and dates to create a high-antioxidant treat without added sugar. The innovation was presented at a campus food exhibition, highlighting efforts to link academic research with market needs and sustainability.

Tangerang City Government Engages Students to Socialise PP Tunas

The Tangerang city administration is involving junior high school students to disseminate information about a new government regulation on child protection in digital spaces. The initiative uses School Information Groups to promote safe and age-appropriate use of social media. The regulation, known as PP Tunas, governs digital governance and child protection.

The Growing Importance of Character Education Amid a Changing World of Work

As the modern workplace increasingly demands soft skills like collaboration and leadership, a new educational institution in Depok argues that academic achievement alone is insufficient. Pelita Harapan Group is launching a school integrating STEM with character and leadership development to prepare students for a complex future. The initiative underscores a broader need for holistic education that builds integrity and adaptability to keep pace with technological and social change.

Indonesian Navy Foils Multi-Trillion Rupiah Illegal Rare Earth Export

The Indonesian Navy has thwarted an attempt to illegally export Rare Earth Elements (REE) and other hazardous materials worth trillions of rupiah from Batam waters. The seizure, based on intelligence and a patrol in May, involved tugboat TB Capricorn 106 and barge TK Capricorn 92.210 carrying dozens of containers. The case is now being investigated jointly with the Attorney General's Office to determine the cargo's exact composition and potential criminal charges.

WHO: 1.5 million die annually from contaminated food

The World Health Organization has warned that unsafe food causes approximately 1.5 million deaths and 866 million illnesses globally each year. Children under five are disproportionately affected, accounting for nearly a third of all food poisoning cases despite representing only 9 percent of the world's population. The WHO is urging governments to utilise national data to prioritise public health interventions targeting food safety.

Prabowo: I Want to Be President Because Indonesia Has Been on the Wrong Path Since the 1990s

President Prabowo Subianto has stated that his repeated presidential bids were driven by a conviction that Indonesia has been heading in the wrong direction since the 1990s. Speaking at the HIPMI national conference in Bandar Lampung, he dismissed claims that his ambition was merely about attaining office, referencing his four previous unsuccessful attempts before winning in 2024. The statement was made during a speech focusing on building national economic strength with young entrepreneurs.

Danantara COO Meets Securities Leaders: Banks Now in Their Best Position

Dony Oskaria, Chief Operating Officer of Danantara, has held meetings with around 30 securities firm leaders to discuss government programmes and support for the capital market. The state-owned enterprise official highlighted that the fundamentals of Indonesian banks are currently at their strongest. He expressed support for share buybacks, noting that such actions are reasonable when stock prices do not reflect strong company fundamentals.

Jambi Task Force Strengthens Preparedness Ahead of Dry Season to Anticipate Forest Fires

The Jambi Forest and Land Fire Task Force is deploying personnel to dozens of high-risk posts as the province braces for a peak dry season predicted for August to September 2026. Governor Al Haris, citing over 1,200 hotspots already recorded this year, stressed the need for early vigilance to prevent a repeat of the devastating fires in 2015 and 2019. Coordinated efforts involving the military, police, and local agencies are being intensified, including integrated patrols and strict law enforcement against illegal land burning.

BNPB deploys water bombing helicopters to South Sumatra as fires rage

Indonesia's National Disaster Mitigation Agency (BNPB) has deployed patrol and water bombing helicopters to South Sumatra to combat 24 detected fire hotspots. The aerial intervention is crucial as burnt land in the province has reached 182.54 hectares this year. The agency is intensifying coordination across Sumatra's fire-prone clusters ahead of the peak dry season forecast.

Education must evolve to face global challenges, says Brunei minister

Brunei's Minister of Education has called for education systems to become more resilient, inclusive, and forward-looking to navigate rapid technological shifts and global uncertainty. Speaking at an international symposium, she stressed that challenges like the digital divide and pedagogical reform are too large for any single institution or nation to tackle alone. The minister highlighted the necessity of collective effort and knowledge exchange among stakeholders to achieve meaningful progress.

Purwakarta Chief Prosecutor Speaks Out After Name Linked to Free Nutritious Meals Issue

Purwakarta District Attorney Apsari Dewi has denied allegations linking her to the Free Nutritious Meals (MBG) programme, dismissing documents that name her as a kitchen owner or affiliate as hoaxes. She expressed regret over the circulation of an unverified list on social media that includes her name alongside other officials, which emerged amid a legal case involving a former deputy head of the National Nutrition Agency. Apsari called on the public to verify information critically and avoid spreading unaccountable rumours.

PLN Denies Power Supply Shortage Caused Madura Blackouts

State-owned electricity firm PLN has refuted claims that supply shortages were behind recent blackouts in Madura and other parts of Indonesia. The company attributes the outages to measured operational adjustments and technical works aimed at maintaining long-term grid reliability. PLN says it is progressively strengthening infrastructure in Madura to support business growth and public activity.

Social Affairs Ministry Demonstrates Digital Social Assistance System to House

Indonesia's Ministry of Social Affairs has demonstrated an integrated digital system for social assistance distribution to members of the House of Representatives. The platform uses biometric verification and cross-referenced national databases to instantly determine applicant eligibility. The system aims to enhance transparency, prevent identity fraud, and increase public trust in social protection programmes.

JALA SARA Indonesia Tegaskan Kerukunan Harus Diperjuangkan

Komunitas JALA SARA Indonesia menekankan bahawa kerukunan bukanlah sesuatu yang datang secara semula jadi, melainkan mesti diperjuangkan melalui sikap saling menghormati dan berdialog. Dalam sebuah perbincangan di RRI Atambua, ketua komuniti itu memberi amaran terhadap bahaya penyebaran berita palsu dan ujaran kebencian yang boleh mencetuskan konflik sosial. Mereka turut menyeru pengukuhan literasi digital serta penglibatan aktif generasi muda dalam memelihara kepelbagaian sebagai kekuatan asas negara.

Kemayoran Indah Golf Revitalisation Set to Become Regional Economic Engine

The Kemayoran Complex Management Centre (PPK Kemayoran) is revitalising Kemayoran Indah Golf as part of a strategy to optimise state assets and boost Non-Tax State Revenue. The project aims to transform the area into a new centre of economic growth through a mixed-used development concept. The initiative, managed in partnership with PT Accola Hotel Indonesia, seeks to enhance the area's competitiveness and catalyse fresh economic activity.

Asperindo Calls for Cancellation of Jasper and SGHA Tariffs to Curb Logistics Costs

The Indonesian Express, Postal and Logistics Services Association (Asperindo) has urged the government to revoke new cargo security and handling tariffs, warning they will inflate national logistics costs and undermine business competitiveness. The proposed charges, set at Rp700 per kilogram for security screening and Rp340 per kilogram for handling, are branded as a form of multiple charging that ultimately burdens consumers. Asperindo proposed a suspension of the tariffs pending stakeholder review, an audit for cost duplication, and measures to enhance transparency in air cargo operations.

BI Optimises GPIPS and KLM Incentives to Safeguard Food Security and Inflation

Bank Indonesia is strengthening its inflation control and food security programmes to keep price rises within the 1.5–3.5 percent target range. The central bank is combining the GPIPS scheme and macroprudential liquidity incentives to boost agricultural productivity and distribution. Officials stressed that stable food prices are essential to protect purchasing power and sustain economic growth amid global supply uncertainties.

Attending the Launch of the 2026 Economic Census, Munafri: Becomes the Basis for Development Direction

Makassar Mayor Munafri Arifuddin attended the launch of the 2026 Economic Census, emphasising its strategic role in providing accurate data for evidence-based policy making. The census, initiated by Statistics Indonesia, is being piloted in South Sulawesi first and aims to map the national economic landscape including MSMEs and the digital economy. Comprehensive data from the census is considered essential for directing effective development, identifying growth sectors, and fostering a healthy investment climate.

CAPD Not Yet Equal to Hemodialysis, Reform of Dialysis Service System Deemed Urgent

The low uptake of Continuous Ambulatory Peritoneal Dialysis (CAPD) in Indonesia is not due to poor efficacy but stems from systemic barriers including inadequate patient education, limited service availability, and financing schemes that favour haemodialysis. With over 98% of dialysis patients relying on hospital-based haemodialysis, the government is under pressure to enforce regulations and expand access to home-based peritoneal dialysis. The Health Ministry has acknowledged the stark disparity and committed to broader training and distribution efforts to relieve the catastrophic burden of kidney disease on the national health insurance system.

Get Ready! Government Prepares Special Sweetener to Boost Citizens' Purchasing Power

The Indonesian government is preparing a stimulus package to mitigate the impact of rising fuel prices following the recent hike in Pertamax prices. Coordinating Minister for Economic Affairs Airlangga Hartarto confirmed the plans but declined to specify details, stating they require President Prabowo Subianto's approval. The stimulus aims to support public purchasing power amid inflationary pressures from the fuel price adjustment.

Sumatran Elephant Population Grows as Calf Born in Riau's Tesso Nilo National Park

A healthy female Sumatran elephant calf has been born at the Elephant Flying Squad camp in Tesso Nilo National Park, Riau, marking the fourth such birth in eight years. The calf, the fifth offspring of a 55-year-old domesticated elephant named Ria, was discovered by a mahout and found to be in excellent condition by a veterinary team. This birth reinforces the park's critical role as a habitat for the critically endangered species.