Indonesian Political, Business & Finance News

Archive: 17 June 2026

Showing 1,001-1,050 of 1,429 articles

Indonesia expands paralympic training center facilities

The Indonesian government is advancing the second phase of the International Paralympic Training Centre in Karanganyar, adding an education building and a sports arena to better support athletes with disabilities. Public Works Minister Dody Hanggodo stated the expansion, based on operational needs identified by the national paralympic committee, aims to improve mobility and efficiency within the 80,000-square-metre complex. State builder PT Nindya Karya confirmed the project adjustments are designed to deliver sustainable infrastructure and strengthen Indonesia's paralympic ecosystem for future international competitions.

Luhut Claims Social Assistance Digitalisation Will Not Use State Budget, How Is That Possible?

Coordinating Economic Minister Luhut Binsar Panjaitan has stated that the government's social assistance digitalisation programme will be funded without using the State Budget (APBN), with state-owned telco Telkom reportedly set to finance the initiative. The programme aims to transform the social aid paradigm into an economic empowerment ecosystem using AI, with an initial pilot project covering 42 districts and a national launch targeted for late 2026. The government is also expanding its 'Perlinsos Digital' portal, which has already registered nearly 370,000 citizens, supported by 60,000 agents to bridge the digital literacy gap.

Kramatwatu Residents Complain Sand Trucks Violate Operational Hours

Residents of Kramatwatu, Serang Regency, are protesting against sand and stone trucks that continue to violate restricted operating hours on the Cilegon-Serang highway. The violations have led to dangerous road conditions and a recent fatal hit-and-run incident involving a pedestrian. Locals are urging the government to enforce the existing regulations more strictly.

Youth Organisations Urged to Strengthen Support for National Development Agenda

The Central Board of the Indonesian National Youth Committee (DPP KNPI) is consolidating efforts to mobilise youth organisations and student groups across Indonesia to support President Prabowo Subianto's government. KNPI Chairman Haris Pertama stated the movement aims to back the administration's firm stance against economic practices deemed harmful to the nation, such as cartels and rent-seeking.

Cash Worth Rp51.6 Billion from Eddy Tansil's Bank Assets Handed Over to the State by AGO

The Indonesian Attorney General's Office has surrendered Rp51.6 billion in cash and other assets belonging to convicted fugitive Eddy Tansil to the state. The assets, recovered through negotiations with a bank, are part of a larger Rp82.68 billion haul linked to Tansil's 1990s embezzlement of US$430 million from a state bank. Tansil remains at large after escaping prison in 1996.

IHSG Corrects 0.84% in Session 1 After 17% Rally

The Jakarta Composite Index (IHSG) fell 0.84% to 6,202.47 in the first trading session on Wednesday, snapping a five-day rally that had lifted the index by 17% from its recent low. The decline was led by utilities and energy stocks, with Barito Renewables Energy weighing heavily, while Bank Rakyat Indonesia and Bank Central Asia provided support. Analysts note the index must reclaim 6,452.78 this week to confirm a medium-term bullish reversal.

BPDP Encourages Magelang SMEs to Develop Palm Oil Derivative Products

The Indonesian Palm Oil Plantation Fund Management Agency (BPDP) is promoting the development of palm oil-based products among small and micro enterprises (UKMK) in Magelang, Central Java, despite the region not being a palm oil producer. A workshop highlighted the availability of raw materials through national supply chains and the potential for products like soap, cosmetics, and crafts. Local government officials expressed support, viewing this as an opportunity to boost the regional economy and align with national growth targets.

Foreign tourist visits to Indonesia rise amid global dynamics

Indonesia recorded 4.68 million foreign tourist arrivals in the first four months of 2026, an 8.24 percent increase from the same period last year. The tourism sector's contribution to GDP in the first quarter is estimated at 4.01 to 5.00 percent, equivalent to Rp248 to Rp309 trillion. The government is promoting village tourism and hosting events to sustain growth despite global economic uncertainty.

Ministry of Law and LAN Launch FKK to Align National Policy

The Ministry of Law and the National Institute of Public Administration (LAN) have launched the Policy Communication Forum (FKK) to synchronise evidence-based policymaking across government bodies. The forum aims to ensure ministerial programmes align with President Prabowo Subianto's national development priorities, such as food and energy security. It brings together government, academics, businesses, and civil society to produce integrated policy recommendations and improve public services.

Russian Warship Fires Warning Shots at British Yacht in the English Channel

A Russian frigate fired warning shots at a British-flagged yacht in international waters of the English Channel, escalating tensions between London and Moscow. The incident occurred shortly after the UK seized a sanctioned Russian oil tanker, though British sources described the yacht encounter as a separate event. The retired British couple aboard the yacht were unharmed and later interviewed by Royal Navy personnel.

Digitalisation of Social Assistance Expanded, Potential Efficiency Gains Reach Rp 260 Trillion

Indonesia is expanding its digital social protection system to 42 regencies/cities and one province following a successful pilot in Banyuwangi. The new portal allows citizens to register for social aid in minutes using only their national ID number and facial verification, drastically reducing wait times and costs. The initiative, led by the Digital Transformation Acceleration Committee, aims to integrate data across eight ministries to ensure aid reaches the right recipients.

US-Iran Peace Deal: Rupiah Still Awaiting Positive Impact

A peace agreement between the United States and Iran is seen as a positive signal for the global economy, potentially easing energy prices and market uncertainty. However, economists caution that the impact on the Indonesian rupiah and domestic financial markets will not be immediate. The currency's recent weakness is also attributed to lingering domestic factors that affect investor risk perception.

Muharram and the Public Integrity Agenda

The Islamic New Year offers a moment to reflect on the Hijrah as a model for social transformation rooted in trust and moral legitimacy. This historical lesson is applied to contemporary Indonesia, where infrastructure and economic progress must be underpinned by stronger institutional integrity. The article argues that public trust and ethical governance, concepts echoed by modern economists, are essential foundations for long-term national development.

The 4% Rule: How to Calculate Your Ideal Retirement Fund and Its Limitations

The 4% rule, a popular retirement withdrawal strategy, suggests drawing 4% of total assets in the first year of retirement, adjusted for inflation thereafter. While offering a simple starting point for calculating retirement needs, financial experts warn it is not a one-size-fits-all solution and can be risky if applied rigidly, especially outside the US market context. For Indonesian workers, factors such as BPJS Ketenagakerjaan benefits and differing inflation rates must be considered when adapting this rule.

Kazan tightens security for Russia-ASEAN summit delegates

Security has been significantly heightened in Kazan, Russia, ahead of the Russia-ASEAN summit commemorating 35 years of bilateral relations. Local authorities have tested 189 designated routes for the delegations and boosted protection around accommodation sites. The summit, scheduled for 17-19 June, will see President Vladimir Putin hold bilateral meetings on the sidelines.

Homes Flattened After Destructive M6.7 Earthquake in Central Sulawesi

A magnitude 6.7 earthquake that struck Central Sulawesi on Tuesday has left one person dead and over 300 displaced, with Sigi Regency suffering the most severe damage. The National Disaster Management Agency (BNPB) reported 67 homes damaged, alongside collapsed bridges, places of worship, and a key provincial road. Emergency response teams are conducting rapid assessments and preparing to declare a state of emergency in the hardest-hit areas.

Head of National Nutrition Agency Appoints Agustina Arumsari as Spokesperson

The Head of the National Nutrition Agency (BGN), Nanik Sudaryati Deyang, has appointed Deputy Head Agustina Arumsari as the agency's official spokesperson. The appointment follows a closed working meeting with the House of Representatives' Commission IX, which discussed the BGN's 2027 budget ceiling. The move aims to strengthen institutional communication and ensure transparent, accurate public information regarding the agency's strategic programmes.

Environment Ministry engages indigenous communities to tackle land degradation

Indonesia's Ministry of Environment is incorporating indigenous wisdom into national efforts to combat land degradation. The initiative is part of a broader 'ecological repentance' movement, which includes a national programme to plant two billion trees. The government acknowledges the longstanding role of indigenous communities in preserving the environment.

BNPB Confirms No Tsunami Following Magnitude 6.7 Earthquake in Central Sulawesi

Indonesia's National Disaster Management Agency (BNPB) has confirmed that no tsunami occurred after a magnitude 6.7 earthquake struck Palu, Central Sulawesi. The agency urged the public to disregard false information circulating on social media, explaining that the earthquake's inland epicentre made a tsunami impossible. Viral videos showing receding seawater in Palu Bay were attributed to normal astronomical tides, not seismic activity.

Qodari: 'Gentengisasi' programme drives local MSME economy

The 'Gentengisasi' (roof tile) housing programme, launched by President Prabowo, aims to improve housing quality while directly boosting local micro, small, and medium enterprises (MSMEs). The initiative has already generated Rp3 billion in transactions from central and regional government orders, with tiles sourced from the Jatiwangi MSME centre in Majalengka. The government views the scheme as a way to align the construction of liveable homes with the strengthening of the people's economy through domestic products.

ORI: Ineffective Internal Oversight Affects Public Service Quality

The Indonesian Ombudsman (ORI) has identified ineffective internal supervision as a key factor behind poor public service quality in government institutions. The body also criticised a prevailing culture where officials expect to be served rather than serving the public. ORI emphasised its role as an independent external watchdog and urged citizens to report any maladministration free of charge.

Rupiah opens weaker as market awaits Fed interest rate decision

The Indonesian rupiah weakened slightly at the opening of trading on Wednesday, pressured by global market anticipation of the US Federal Reserve's interest rate decision due later tonight. Analysts expect the currency to trade within a narrow range, while domestic attention also focuses on Bank Indonesia's upcoming policy meeting and government fiscal mitigation efforts.

Polda Metro Emphasises Humanist Approach, Urges Orderly Protests

Polda Metro Jaya has deployed 4,961 personnel to secure planned demonstrations in Jakarta, instructing officers to adopt a humanist and persuasive approach. The police urged protesters to remain peaceful and orderly, while implementing situational traffic management around key locations such as Monas and the DPR/MPR building.

BTN Profit Surges 54 Percent to May 2026, Housing Loans Reach Rp 403 Trillion

State-owned Bank Tabungan Negara (BTN) reported a consolidated net profit of Rp 1.85 trillion for the first five months of 2026, a 54.37 percent year-on-year increase. The growth was driven by higher net interest income and strong housing loan disbursements, which reached Rp 403 trillion. BTN's management emphasised the solid fundamentals of the housing sector, viewing homes as a basic societal need that ensures sustained demand for mortgage financing.

Bareskrim Dismantles Malaysia-Indonesia Drug Network, Seizes 27 Kg of Methamphetamine

Indonesia's Criminal Investigation Agency (Bareskrim) has uncovered a transnational drug trafficking network operating between Malaysia and Indonesia in Bengkalis, Riau. Two suspects were arrested and 27 kilogrammes of methamphetamine disguised in Chinese tea packaging were seized. Authorities are continuing to pursue a third suspect linked to the smuggling operation.

3 Million Homes Programme Realisation Reaches 324,213 Units as of June 2026

Indonesia's ambitious 3 Million Homes programme has seen the completion of 324,213 units nationwide as of mid-June 2026, according to government data. The largest share of progress has come from private developers, while the initiative aims to address a national housing backlog affecting 9.9 million families. The government views the scheme as a key economic driver, stimulating the construction sector and related industries.

Oil Price Volatility Continues: What Is the Impact on Energy Subsidies?

Indonesia's House of Representatives Commission XII is urging the government to accelerate the energy transition to renewables to bolster energy security and reduce reliance on crude oil, fuel, and LPG imports. The push comes amid ongoing global oil price volatility, with calls to strengthen domestic oil and gas reserves by exploring 68 potential basins. A high-risk, high-cost exploration ecosystem is deemed necessary to attract investment, alongside the rapid development of alternative energy sources.

TelkomGroup's 2025 Sustainability Report Reinforces Business Transformation and ESG Commitment

PT Telkom Indonesia has published its 2025 Sustainability Report, highlighting the integration of Environmental, Social, and Governance (ESG) principles into its core business strategy. The report details the company's progress under its 'TLKM 30' transformation agenda, focusing on operational excellence and portfolio streamlining. It underscores TelkomGroup's commitment to long-term value creation through three ESG pillars: Save Our Planet, Empower Our People, and Elevate Our Business.

Strongest in 75 Years, 'Monster' El Niño Threatens Millions with Famine

The current El Niño phenomenon is forecast to be one of the most powerful in 75 years, with sea surface temperatures potentially exceeding 3°C above average. This extreme weather pattern threatens to trigger severe droughts, floods, and wildfires, placing millions at risk of hunger, particularly in vulnerable regions of Africa, Central America, and Asia. The UN's Food and Agriculture Organization and Indonesia's BMKG have issued warnings, urging immediate mitigation measures as many affected areas are already grappling with food crises and geopolitical instability.

Palu City Government Reopens Jembatan III with Limited Access for Light Vehicles

The Palu city administration has conditionally reopened the Jembatan III bridge solely for light vehicles following a preliminary safety inspection after a magnitude 6.7 earthquake. Only private cars and motorcycles are permitted, while larger vehicles are redirected to alternative routes to reduce structural load. Continuous monitoring by transport and public order officers has been ordered pending a full technical evaluation of the bridge's post-quake condition.

Police Propose Rp66.1 Trillion Budget Increase for Salaries and Electric Vehicles

The Indonesian National Police (Polri) has proposed an additional budget of Rp66.1 trillion for the 2027 fiscal year, citing a significant shortfall from the indicative ceiling set by the government. The extra funds are earmarked for routine salary payments, meeting pension age requirements, and procuring electric vehicles, among other operational needs. The proposal has been formally submitted to the Ministry of Finance and the Ministry of National Development Planning.

Gunungkidul Health Office Targets 114,000 Residents for Free Health Screenings in 2026

The Gunungkidul District Health Office aims to enrol 114,000 residents in the national Free Health Screening (PKG) programme by 2026, though current participation stands at just 10.81 per cent of the target. Officials are employing outreach strategies to boost numbers after 2025 also fell short, while acknowledging challenges including low public awareness, limited medical staff, and shortages of consumable medical supplies.

Police propose additional Rp66.1 trillion budget from 2027 indicative ceiling

The Indonesian National Police (Polri) has requested an additional Rp66.1 trillion on top of the indicative 2027 budget ceiling of Rp118 trillion, citing a need for Rp184.1 trillion after factoring in fuel price and exchange rate adjustments. The proposed increase aims to accelerate institutional professionalism, address strategic dynamics including cyber threats, and fund infrastructure such as new police stations in border areas and preparations for the 2029 elections.

466 Aftershocks Hit Palu Region, BMKG Reveals the Cause

Central Sulawesi has experienced 466 aftershocks following a magnitude 6.7 earthquake that struck on Tuesday, with the strongest aftershock recorded at M5.2. The Meteorology, Climatology, and Geophysics Agency (BMKG) confirmed the initial quake was a shallow tremor caused by activity on the Sausu fault. Authorities have urged residents to remain calm and avoid damaged buildings as the region continues to feel the effects.

IFG Life Pays Out Credit Insurance Claim to Bank Sulselbar Customer

PT Asuransi Jiwa IFG (IFG Life) has disbursed a credit insurance claim worth Rp394.1 million to the heirs of a deceased Bank Sulselbar customer. The payout fulfils the policy's terms following the death of the debtor, Iwannuddin Mansyur. Both IFG Life and Bank Sulselbar emphasised the importance of such protection in providing financial security and peace of mind for borrowers' families.

BRI Strengthens Food Security and Grassroots Economy, KUR Disbursement Reaches Rp84.36 Trillion

PT Bank Rakyat Indonesia (BRI) has disbursed Rp84.36 trillion in microcredit (KUR) as of May 2026, representing 46.87% of its annual allocation. The majority of the funds are directed towards productive sectors, with agriculture receiving the largest share at Rp35.91 trillion. This initiative aligns with the government's Asta Cita programme to bolster national food security and empower MSMEs.

BNPB Guarantees Repair of Homes Damaged by Earthquake in Central Sulawesi

Indonesia's National Disaster Management Agency (BNPB) has pledged full central government support for repairing homes damaged by the 6.7 magnitude earthquake in Central Sulawesi. A stimulant aid scheme offers up to Rp60 million for severely damaged houses, while temporary knockdown shelters are on standby if needed. The worst-hit area is Sigi Regency, with over 1,200 homes affected and assessments ongoing in several other districts.

Jakarta Residents Urged to Follow Official Padat Karya Programme Information

The Jakarta provincial government has urged residents to rely solely on official channels for information regarding the Padat Karya employment programme, warning against hoaxes. The initiative offers various temporary positions across multiple municipal agencies, with work periods commencing in July and October 2026. Registration is available through the city's official website.

Medical Evacuation Proceeds Smoothly as Aid Begins Arriving in Central Sulawesi

Medical evacuations at hospitals in Central Sulawesi were carried out successfully following a magnitude 6.7 earthquake, with emergency tents erected to ensure patient safety. The government has activated emergency command posts in the worst-hit Sigi Regency and dispatched a rapid response team from Jakarta with initial aid supplies. Authorities are committed to providing continuous logistical support, particularly for 30 families whose homes sustained severe damage.

Dengue Cases in Palembang Reach 540, Residents Urged to Remain Vigilant

Dengue fever cases in Palembang, South Sumatra, have surged to 540, prompting local health authorities to issue an early warning. The increase is attributed to erratic weather patterns and high population mobility, with officials stressing that community-led mosquito nest eradication is more effective than fumigation. Residents are being urged to adopt the '3M Plus' strategy to break the chain of transmission.

Ganjar Responds to BEM Bersatu's Allegations: Answer Criticism with Data

PDI-P politician Ganjar Pranowo has responded to student group BEM Bersatu's allegations linking activist Tiyo Ardianto to his campaign team, urging that criticism be addressed with facts rather than political labelling. He warned that dismissing dissent based on perceived affiliations undermines democracy and moves the country towards a politics of loyalty. BEM Bersatu had questioned Tiyo's connections, citing a vehicle registration and the presence of political figures, while calling for the student movement to remain free from political co-optation.

Ministry pushes for women-friendly ecosystem in palm oil sector

Indonesia's Ministry of Women's Empowerment and Child Protection is urging the palm oil industry to adopt a more gender-responsive ecosystem, including maternity rights and childcare facilities. The ministry highlights that women in the sector still face limited access to resources and decision-making, and is developing guidelines to integrate gender perspectives into policy and governance. The initiative aims to boost productivity, family welfare, and the industry's sustainability.

Bahlil Forms Coal Procurement Team for PLN to Secure Electricity Supply

Energy Minister Bahlil Lahadalia has established a special coal procurement team to ensure reliable supply for state electricity firm PLN, following a directive from President Prabowo Subianto. The move addresses a significant gap between PLN's total coal requirement of 154 million tonnes and the existing contract volume of 132 million tonnes. The government is prioritising domestic needs, with national coal lifting projected to exceed 600 million tonnes in 2026.

India Ramps Up Domestic Drone Production Amid Modern Warfare Threats

India is planning its largest-ever drone procurement, valued at over US$2 billion, to secure its borders with China and Pakistan. The shift towards unmanned systems, accelerated by lessons from the Ukraine war and the 2021 Jammu airbase attack, prioritises indigenous manufacturing by firms like Adani Group and Tata Advanced Systems. This strategy aims to achieve both military modernisation and strategic autonomy by reducing reliance on foreign suppliers.

BEI dan IBCWE Luncurkan Temuan Awal Census on Women in Executive Leadership Team

Bursa Efek Indonesia (BEI) dan IBCWE meluncurkan temuan awal sensus yang menunjukkan stagnasi representasi perempuan di jajaran eksekutif puncak perusahaan tercatat. Data mengungkap hanya 15% anggota tim kepemimpinan eksekutif di IDX200 adalah perempuan pada 2025, dengan jumlah CEO perempuan yang tidak bertambah signifikan sejak 2022. Inisiatif ini bertujuan memperkuat basis data dan transparansi gender sebagai bagian dari akuntabilitas strategis dalam pelaporan ESG.

BRI's KUR Realisation Reaches 46.87 Percent of Total Allocation as of May

PT Bank Rakyat Indonesia (BRI) has disbursed Rp84.37 trillion in people's business credit (KUR) as of May 2026, representing 46.87 percent of its Rp180 trillion annual allocation. The majority of the lending, particularly Rp35.91 trillion, was directed towards the agricultural sector to support national food security and grassroots economic foundations.

Police Prioritise Humanist Approach in Securing Jakarta Protests

Jakarta police have instructed officers to adopt a humanist and persuasive approach when securing public protests, avoiding arrogance to maintain a conducive atmosphere. Thousands of joint personnel, including military and fire brigade units, will be deployed at key locations such as Monas and the DPR/MPR building. Traffic management will be implemented situationally to minimise disruption to the public.

Khofifah Invites GPdI to Strengthen Collaboration in Building Character-Driven Generation

East Java Governor Khofifah Indar Parawansa has called on the Indonesian Pentecostal Church (GPdI) to enhance collaboration with families and the government to nurture a generation with strong character. She emphasised that religious institutions play a strategic role in building the mental resilience of youth amid rapid social and technological changes. The governor also highlighted the need for structured spiritual guidance from an early age to address modern challenges such as online loan traps and uncontrolled gadget use.

Weakening Rupiah Threatens to Raise Domestic Medicine Prices

The Indonesian Pharmaceutical Industry Group warns that domestic medicine prices may rise if the rupiah continues to weaken, as 80-90% of raw materials are imported. While current stocks are keeping prices stable, the industry cautions that sustained currency depreciation and rising plastic costs could force eventual price increases. The Health Minister has assured that prices for national health insurance (JKN) medicines will be maintained, stating that only increases of 10-20% would be considered reasonable.

BNPB Confirms Liquefaction Threat from Central Sulawesi's M 6.7 Earthquake Has Passed

Indonesia's National Disaster Mitigation Agency (BNPB) has confirmed that the risk of liquefaction following the magnitude 6.7 earthquake in Central Sulawesi has now passed. The agency explained that such phenomena typically occur only during the main shock, and the current trend of aftershocks is decreasing in both intensity and frequency. Authorities are still verifying reports of landslides triggered by the quake in Sigi and Poso districts, though initial assessments suggest they are far from residential areas.