Indonesian Political, Business & Finance News

Archive: 11 June 2026

Showing 651-700 of 1,603 articles

Red and White Village Co-ops Must Sell Goods Cheaper Than Market Prices, Minister Says

Minister of Cooperatives Ferry Juliantono has stated that the new Kopdes Merah Putih village cooperatives must undercut market prices, especially for subsidised goods like LPG and rice. The initiative aims to combine affordable groceries with microfinance loans capped at a 6% interest rate. Lawmakers, however, have raised concerns over whether the allocated working capital of around Rp300 million per cooperative is sufficient to stock thousands of product lines.

PDIP Proposes Prabowo Adopt Sukarno's Geopolitics to Address Global Conflicts

PDIP Secretary-General Hasto Kristiyanto has urged President Prabowo Subianto to employ the geopolitical framework of Indonesia's first president, Sukarno, to navigate global tensions. Speaking at a university lecture, Hasto argued that Sukarno's systematic geopolitical cycle is highly relevant for positioning Indonesia as a peace facilitator in regions like the Middle East and the Korean Peninsula. He also suggested that Prabowo initiate a major international conference, akin to the 1955 Asia-Africa Conference, to mediate global conflicts.

Final 0.5% MSME Income Tax Becomes Permanent, Turnover up to Rp500 Million Remains Tax-Free

The Indonesian government has made the 0.5% final income tax rate for micro, small, and medium enterprises permanent for those with annual turnover up to Rp4.8 billion under Government Regulation No. 20 of 2026. The policy also maintains a full tax exemption for micro businesses earning up to Rp500 million annually, aiming to provide long-term certainty and encourage business growth. Officials highlighted that the regulation seeks to curb business fragmentation practices used to improperly access the tax facility, which have cost the state tens of trillions of rupiah.

Indonesian navy foils strategic mineral smuggling near Batam

The Indonesian Navy has intercepted a tugboat and barge near Batam smuggling rare earth elements and hazardous radioactive materials, exercising its authority under international and national maritime law. The operation underscores Indonesia's vigilance against the illegal export of prohibited strategic minerals and highlights successful coordination between agencies to protect the nation's maritime territory and resources.

SMA KTB Officially Certified for International Baccalaureate Curriculum, IBO Commends National Police Chief

SMA Kemala Taruna Bhayangkara (KTB) in Jakarta has been officially authorised to offer the International Baccalaureate Diploma Programme (IBDP). The International Baccalaureate Organization praised National Police Chief General Listyo Sigit Prabowo for his leadership in establishing the school. The certification marks a significant collaboration between Indonesian law enforcement and international education bodies to create a flagship institution.

List of Influencers Questioned by Police Over Hanania Travel Umrah Case So Far

The Greater Jakarta Metropolitan Police have examined six social media influencers as witnesses in the alleged fraud case against Hanania Group, a travel agency accused of embezzling umrah pilgrimage funds. Several influencers claimed they received only complimentary trips in exchange for social media exposure rather than monetary payments. The director of the company has been named a suspect and detained on charges of fraud, embezzlement, and money laundering.

Minister Tito Urges Local Governments to Speed Up Data Collection on Permanent Housing for Sumatra Disaster Survivors

Minister Tito Karnavian has called on local administrations to accelerate the verification of permanent housing recipients for Sumatra disaster survivors, criticising delays that have hampered central government reconstruction efforts. He stressed that valid 'by name by address' data is essential for targeted construction and warned that regions failing to submit this data would be deprioritised. The housing schemes involve both on-site construction and communal relocation, relying on collaboration between national agencies and local authorities.

Trump's Rhetoric Amounts to Empty Promises; Iranian Regime Not Collapsing Under US Onslaught

Contrary to earlier predictions following US-Israeli strikes, betting market sentiment now overwhelmingly indicates the Iranian regime will survive the current conflict. US intelligence reports reveal Iran has rapidly restored its military capabilities, repairing most missile sites and retaining significant offensive capacity. Analysts suggest Tehran is now focused on leveraging its resilience for advantage in any future negotiations.

Indonesian navy hunts suspected foreign fishing vessels

The Indonesian Navy has intensified patrols in the North Natuna Sea following reports from local fishermen about almost daily incursions by suspected foreign fishing vessels near the nation's outermost islands. Rear Admiral Nurlan ordered the warship KRI John Lie-358 to bolster surveillance to safeguard maritime sovereignty, although an early morning search on Thursday yielded no contacts. The military emphasised the crucial role of fishermen as informants to help monitor and protect Indonesia's vast territorial waters against unauthorised entry.

Single-Door Export Through Danantara Hinders Downstream Coal Investment: PERHAPI

The Indonesian Mining Experts Association (PERHAPI) warns that PT Danantara Sumberdaya Indonesia's (PT DSI) single-door export policy, effective June 2026, is deterring investment in the national downstream coal sector. Chinese investors have reportedly expressed fears over contractual uncertainty, potentially stalling high-value projects like coal gasification. The government maintains the policy is crucial for improving governance, preventing financial leakages, and optimising state revenue from strategic commodities.

Unwilling to Rely on External Parties, Muhammadiyah Builds IV Fluid Factory in Malang

Muhammadiyah's Economic and Business Assembly has commenced construction of an intravenous fluid factory in Malang, East Java, with a total investment of Rp800 billion. The facility, operated by PT Suryavena Farma Indonesia, aims to supply the organisation's network of 130 hospitals and hundreds of clinics independently. The initiative reflects a broader strategy to strengthen community-based economic self-sufficiency in line with national development goals.

KPK Names Five Suspects in BPK Audit Bribery Case

Indonesia's Corruption Eradication Commission (KPK) has named five suspects in an alleged bribery case linked to the conditioning of audit findings by the Supreme Audit Agency (BPK) for the Muara Enim Regency government. Two of the suspects, a private party and a BPK audit team leader, have been detained, while the inactive regent was already in custody on prior charges. The case marks the 13th sting operation conducted by the KPK in 2026.

Raffi Ahmad on Photo at Blueray and iPhone 17: 'Just Small Talk'

Celebrity Raffi Ahmad has acknowledged posing for a photograph outside Blueray Cargo's New York office but maintains his conversation about shipping an iPhone 17 was merely polite small talk. His name emerged in a customs bribery trial where a witness claimed a request was made to ship electronics for him. Indonesia's Corruption Eradication Commission has confirmed his mention in the case.

Duo The Virgin Stars in Mystery Drama 'Tanah Sengketa' Highlighting Land Rights

Indonesian pop duo The Virgin are starring in 'Tanah Sengketa', a mystery drama that tackles land disputes and property rights. The film, directed by journalists Muda Saleh and Sadly Fafa Rachman, follows an idealistic student who uncovers a dark criminal conspiracy while trying to establish a free learning centre on disputed land. The creators aim to use the film to educate the public about the importance of guarding land certificates and the dangers of land mafia practices.

Natuna strengthens maritime security amid foreign fishing fears

The Natuna district administration is coordinating with maritime authorities and fishermen to address concerns over foreign fishing vessels suspected of operating in Indonesian waters. Local fishermen report reduced catches, attributing the decline to foreign boats using more advanced equipment, and have highlighted difficulties in reporting sightings due to a lack of communication tools at sea. The local government plans to secure communication support for fishermen and will work with central authorities to review policies and protect local fisheries productivity.

Sukabumi Regency Government Achieves 12th Unqualified Opinion from BPK RI

The Sukabumi Regency Government has secured its 12th consecutive Unqualified Opinion (WTP) from the Audit Board of Indonesia for its 2025 fiscal year financial report. The award was presented directly to the Regent at the BPK's West Java representative office. The BPK praised the region's commitment to orderly and transparent financial management while urging continued follow-up on audit recommendations.

Motorcycle Theft Syndicate in Central Jakarta Busted, Stolen Goods Sold Cheaply

Police in Central Jakarta have dismantled a motorcycle theft ring, arresting three suspects linked to a series of thefts in May 2026. The suspects used specialised tools to steal motorcycles and sold them for Rp 2.5 million each. A fourth suspect remains at large while the search continues for the buyer of the stolen vehicles.

Public Works Minister: Community-Based Infrastructure Budget Needs for 2027 Reach IDR 6.32 Trillion

The Indonesian Ministry of Public Works has stated that its community-based infrastructure (IBM) programme requires a total budget of IDR 6.32 trillion for fiscal year 2027. However, the current indicative budget ceiling only allocates IDR 1.65 trillion, covering a fraction of the proposed 16,026 locations. Minister Dody Hanggodo has appealed to the House of Representatives for support to optimise funding, emphasising the direct physical and economic benefits these projects deliver to communities.

Ministry of Hajj and Umrah Shares Tips to Avoid Fictitious Hajj Badal Scams

Indonesia's Ministry of Hajj and Umrah has issued a public warning over fictitious badal hajj services, labelling offers priced around Rp10 million as irrational. The ministry outlined key checks, including verifying the pilgrim's prior hajj status, the requirement for a Saudi-issued tasreh permit costing over Rp25 million, and the official licensing of travel agents. New regulations may soon require agents and guidance groups to submit formal reports to improve accountability.

Searching for MSMEs in the Tax Law

The perennial confusion over Indonesia's tax rules for MSMEs has resurfaced following the issuance of Government Regulation Number 20 of 2026. The public debate highlights a fundamental disconnect between the popular, economic definition of UMKM and the stricter administrative fiscal proxy used by the tax regime. At the heart of the misunderstanding is the fact that the 0.5% final income tax facility targets taxpayers with a certain gross turnover of up to Rp4.8 billion, not the broader MSME empowerment category which has a significantly larger sales threshold.

Japan PM to Propose Three Energy Security Principles at G7 Summit

Japan's Prime Minister Sanae Takaichi is set to propose three principles aimed at reinforcing energy security during the G7 summit in France. The initiative focuses on maintaining free and transparent energy trade, expanding strategic oil reserves, and bolstering cooperation between oil-producing and consuming nations. The proposal also calls for protecting key maritime routes and rejecting opaque export restrictions.

Minister Requests Education Ministry to Map Teacher Requirements Audit

Minister of State Apparatus Empowerment Rini Widyantini has urged the Ministry of Primary and Secondary Education to compile a comprehensive audit of teacher requirements amidst the policy to phase out non-civil servant teachers. The government is currently devising selection schemes to transition remaining honorary teachers into either permanent civil servant (PNS) or contract-based government employee (PPPK) positions before the end of 2026. This directive follows the issuance of a circular mandating the abolition of non-ASN teacher status by 31 December 2026.

Pertamina's Balikpapan Refinery and PTK Collaborate on Infrastructure Management

PT Kilang Pertamina Balikpapan (KPB) and PT Pertamina Trans Kontinental (PTK) have signed a memorandum of understanding to bundle port, marine, and construction services. The collaboration aims to support a new 320,000 DWT Single Point Mooring and jetty as part of the Balikpapan refinery expansion. The synergy is designed to ensure safe and reliable operations for the distribution of crude oil and refined products, bolstering national energy resilience.

CORE assesses soybean subsidy effective in easing production cost pressures

CORE Indonesia researcher Eliza Mardian says the government's targeted soybean subsidy is an effective short-term measure to cushion production costs for tofu and tempeh makers. She noted the mechanism, channelled directly to producers via Bulog, minimises leakage risks compared with blanket subsidies. Long-term, she urged prioritising domestic production, import diversification, and supply chain efficiency to reduce import dependency.

Polda Metro Jaya examines nine influencers in Hanania Group umrah fraud case

Jakarta police have questioned six social media influencers to date as part of an investigation into Hanania Travel, an umrah tour operator. The influencers allegedly received free pilgrimage trips and cash payments in exchange for promoting the company. One influencer has returned IDR 30 million to investigators, while two others failed to appear for questioning.

Altercation After Thanksgiving Mass in NTT: Three Brimob Members Stabbed in Incident Allegedly Involving TNI Soldiers

Three members of the Indonesian National Police's Mobile Brigade (Brimob) were stabbed during a post-celebration altercation in Labuan Bajo, East Nusa Tenggara, allegedly involving Indonesian Army (TNI) personnel. The incident occurred after a thanksgiving mass for a newly appointed Brimob officer, reportedly triggered by a sudden misunderstanding. A joint team from the TNI Military Police and the East Nusa Tenggara Regional Police's internal affairs division has been formed to investigate the matter professionally, with leaders from both institutions affirming their solid relationship.

Agriculture Minister Amran Sulaiman Urges IPB Students to Learn from Failure

Agriculture Minister Andi Amran Sulaiman has called on IPB University students to embrace risk and learn from failure as a pathway to success in agribusiness. Speaking at a public lecture, he stressed that leaving one's comfort zone is essential for building entrepreneurship and strengthening national food security. The minister highlighted the vast potential of the agribusiness sector for young intellectuals equipped with technology and resilience.

Agriculture Minister Amran Delivers Guest Lecture at IPB: Learning from Failure to Achieve Success

Agriculture Minister Andi Amran Sulaiman urged students at IPB University to embrace failure as a vital step towards success, highlighting its role in building character and resilience. Speaking at a guest lecture, he shared his personal business setbacks and stressed the importance of leaving one's comfort zone and persevering under pressure. He also underscored the agricultural sector's robust performance, noting record rice production and GDP growth, positioning it as a pillar of the national economy.

Government Targets MBG Recipient Refocusing to Be Completed Within One Month

The Indonesian government is aiming to complete a refocusing of the Free Nutritious Meal (MBG) programme within one month, identifying elite schools that do not require the intervention. Coordinating Minister for Food Zulkifli Hasan stressed there will be zero tolerance for food safety violations, including hygiene standards in programme kitchens. The National Nutrition Agency will also impose a moratorium on new kitchen openings while redirecting benefits to the most needy communities.

Tangerang Environment Agency Seals Illegal Rubbish Dump to Prevent Environmental Pollution

The Tangerang City Environment Agency has sealed an illegal rubbish dump operating without a permit on Jalan Gembor Raya. The enforcement action, supported by local police, aims to prevent environmental pollution harming nearby residents. Authorities warned that further crackdowns on other unlicensed disposal sites across the city are imminent.

Home Affairs Ministry prepares Rp1 trillion for high-performing regional incentives

Indonesia's Ministry of Home Affairs has allocated Rp1 trillion in fiscal incentives for high-performing regional governments, a programme that began in 2026 and is proposed to continue next year. The initiative aims to foster a competitive climate among regions by rewarding quantitative achievements such as inflation control, reducing unemployment and poverty, and boosting local revenue. Minister Tito Karnavian highlighted that the scheme transitioned from the Ministry of Finance to allow his ministry to directly couple performance reviews with fiscal rewards.

Global Banks Urged to Be on Full Alert for AI-Related ‘Catastrophe’

The Financial Stability Board has issued a stark warning to financial institutions worldwide about the systemic risks posed by the rapid adoption of artificial intelligence, particularly autonomous ‘Agentic AI’. The global standard-setter urges banks to implement robust safeguards and treat AI agents as synthetic employees to prevent illegal actions, data breaches, and systemic disruptions.

Indonesia finds irregular surge in free meal kitchens

Indonesia's government has uncovered an irregular surge in the number of kitchens for the Free Nutritious Meal (MBG) programme, with 6,877 additional units suspected of being linked to location trading. The Head of the National Food Agency warned that inflated kitchen numbers could waste up to Rp1 trillion per month in incentives, prompting an immediate restructuring. The National Nutrition Agency will impose a moratorium on new kitchens, review existing service points, and refocus beneficiaries to ensure the multibillion-rupiah programme is fiscally sustainable and effectively targeted.

OIKN Proposes Additional Rp15.5 Trillion Budget for 2027 to Meet Targets

The Nusantara Capital City Authority (OIKN) has requested an extra Rp15.5 trillion for the 2027 fiscal year to accelerate development and ensure the new capital becomes functional by 2028. The total budget requirement stands at Rp22.2 trillion, far exceeding the indicative ceiling of Rp6.7 trillion, with the funds earmarked for legislative and judicial buildings, housing, and essential infrastructure. Parliament's Commission II has expressed full support for the proposal but requested detailed priority matrices before further discussions.

Iranian President: US Threats to Infrastructure Show Desperation

Iranian President Masoud Pezeshkian has dismissed US threats to target his nation's vital infrastructure as a sign of desperation. His remarks follow President Donald Trump's suggestion that he may order new strikes on power plants and bridges in Iran. The escalating rhetoric comes amid reported military exchanges between US and Iranian forces in the region.

Indonesian WHV participant dies in Australian crash, cause under investigation

An Indonesian national on a Work and Holiday Visa has died following a traffic collision in Victoria, Australia. The Indonesian community in Melbourne is raising funds to support the victim's family and two injured survivors. Authorities are investigating the incident while the Indonesian Consulate General assists with the repatriation of the deceased.

Viral Video: Children Block Wrong-Way Motorists at Ciawi Junction in Bogor

A video of young boys physically blocking motorcyclists driving against the traffic flow in Bogor has gone viral, prompting a police response. Officials acknowledged the children's actions as a sharp rebuke but stressed that adults must obey traffic laws to avoid endangering themselves and others. Authorities noted that enforcement and signage improvements at the junction have been ongoing due to persistent violations.

Prabowo Approves Jusuf Kalla's Rp70 Trillion Power Plant Investment

President Prabowo Subianto has given his approval for former Vice President Jusuf Kalla to proceed with a substantial investment in green energy infrastructure. The plan, valued at up to Rp70 trillion, involves the construction of hydroelectric and gas-fired power plants. JK stated the projects are crucial for achieving national energy self-sufficiency and supporting economic growth targets of up to 8%.

Kelok 23 Road in Yogyakarta Set to Open in September 2026

The Kretek–Girijati road, known as Kelok 23, in Yogyakarta is on track to begin operations in September 2026, with physical progress reaching 94.1 per cent. The 5-kilometre route forms part of the Southern Cross Route development and aims to boost connectivity and tourism along the south coast. Authorities anticipate the remaining unfinished section and supporting facilities, including a rest area for local MSMEs, to be completed by mid-2027.

KPK Updates Information, Names Five Suspects in BPK Audit Findings Bribery Case

Indonesia's Corruption Eradication Commission (KPK) has revised its statement to confirm five suspects in a bribery case involving the conditioning of BPK audit findings on the Muara Enim Regency government. The suspects include the non-active regent and a BPK audit team leader, though only two new individuals have been detained as others were already in custody. The case stems from a series of sting operations in June 2026 and relates to the conditioning of audits for the 2025 fiscal year.

Clean Water Waqf Brings New Hope to Thousands in Oenai Village, NTT

The Al-Qur'an Waqf Board (BWA) has inaugurated its 65th Clean Water Waqf facility in Oenai Village, East Nusa Tenggara, providing piped water to over 1,000 residents. The system, built with 4,200 metres of HDPE piping, delivers water directly to homes, a mosque, and a community health post. The project marks a significant improvement in access to clean water for communities that have long faced scarcity.

Bulog CEO confirms readiness to implement additional food aid in July

State logistics firm Bulog has confirmed its readiness to distribute additional food aid for three months starting July 2026, backed by government rice reserves of 5.3 million tonnes. The programme aims to strengthen national food security, boost public purchasing power, and stabilise consumer rice prices. A related meeting also discussed a plan to subsidise soybeans by Rp2,000 per kilogramme to maintain affordability.

Minister Trenggono Requests Additional Rp30 Trillion Budget for Fishermen's Villages

Maritime Affairs and Fisheries Minister Sakti Wahyu Trenggono has proposed an additional budget of Rp30 trillion for the 2027 fiscal year to accelerate key government programmes. The largest portion, Rp9.45 trillion, is earmarked for constructing 600 new Merah Putih Fishermen's Villages, aiming to reach 1,000 locations by 2027. Other priorities include revitalising saltwater tilapia ponds, developing thematic inland fish farming, and empowering coastal communities to bolster food self-sufficiency and economic growth.

Education Ministry Urged to Compile Teacher Demand Balance Sheet

Minister for Administrative and Bureaucratic Reform Rini Widyantini has instructed the Ministry of Primary and Secondary Education to create a comprehensive teacher demand balance sheet. This directive is intended to validate staffing requirements and prevent shortages amid the government's ongoing policy to phase out non-civil servant teachers by the end of 2026.

IPPNU Alumni Council Launches 'Women Building the Nation' Movement

The Nahdlatul Ulama-affiliated IPPNU Alumni Council has inaugurated its new leadership and launched a national strategic programme aimed at empowering women. The 'Women Building the Nation' movement will focus on five key agendas including independence, self-reliance, and environmental stewardship. The council emphasised that female alumni must be part of the solution to national challenges such as economic inequality and weakened social solidarity.

Jakarta Provincial Government Prepares Parking Facilities for Jakarta Fair Kemayoran 2026

The Jakarta Provincial Government has readied six parking areas with a combined capacity of nearly 5,000 cars and over 5,600 motorcycles for the Jakarta Fair Kemayoran 2026, which runs from today until 12 July. Authorities are urging visitors to use official parking and public transport to ease congestion. A range of integrated public transport options, including commuter lines, Transjakarta buses, and special event routes, will serve the JIExpo Kemayoran site.

Thailand records rise in tourist arrivals in May 2026

Thailand welcomed 2.35 million foreign tourist arrivals in May 2026, a 3.54% year-on-year increase, generating 108 billion baht in revenue. Malaysia, China, India, Russia and Singapore were the top five source markets. The Thai government is also boosting domestic tourism by promoting short-haul trips and aligning the sector with sustainability trends.

Profile of Newly Appointed Traffic Corps Law Enforcement Director Kombes I Made Agus Prasatya

Kombes I Made Agus Prasatya has been inaugurated as the new Director of Law Enforcement for the Indonesian National Police's Traffic Corps. He played a pivotal role in reforming the management of non-tax state revenue from traffic fines, culminating in a groundbreaking ministerial regulation that allows the Police, Attorney General's Office, and Supreme Court to share the funds proportionally. His appointment is expected to drive the modernisation of traffic law enforcement through the expansion of the Electronic Traffic Law Enforcement system.

Supply of MinyaKita Subsidised Cooking Oil in Bangka Island Secured

The availability of the subsidised MinyaKita cooking oil across Bangka Island is confirmed to be secure, with 516,000 litres currently stored in the local state logistics agency warehouse. The state logistics agency Bulog has guaranteed distribution through official channels at the mandated retail price ceiling. Officials assure the public that the ample stock and smooth supply chain will meet demand through the end of the month.

Jusuf Kalla and Son Meet Prabowo to Discuss Energy Projects and International Conflicts

Former Indonesian Vice President Jusuf Kalla and his son Solihin met with President Prabowo Subianto to discuss accelerating national energy development, including a proposed investment of up to IDR 70 trillion. The discussion covered plans for new hydropower and gas-fired power plants to support the country's target of 8% economic growth. Talks also touched upon international peace issues, including the situations in Southern Thailand and Pakistan-Afghanistan relations.