Indonesian Political, Business & Finance News

Archive: 18 June 2026

Showing 901-950 of 1,644 articles

KPK Examines Manpower Ministry Policy Development Head as Witness in K3 Extortion Case

Indonesia's Corruption Eradication Commission (KPK) has questioned Ghazmahadi, Head of the Manpower Ministry's Policy Development Centre, as a witness in an alleged extortion scheme involving occupational safety and health (K3) certificates. The investigation stems from an August 2025 sting operation that led to the naming of Deputy Manpower Minister Immanuel Ebenezer Gerungan and ten others as suspects. The case has since expanded, with three additional former ministry officials declared suspects in December 2025.

Public Works Ministry Strengthens Community-Based Infrastructure Development

Indonesia's Ministry of Public Works is intensifying its Community-Based Infrastructure (IBM) programme, allocating Rp1.65 trillion to reach 4,127 locations nationwide by 2027. The initiative focuses on projects directly benefiting citizens, including irrigation, clean water, sanitation, and economic zone development. Minister Dody Hanggodo emphasised the programme's role in delivering tangible physical and economic impacts at the village level.

BRI Consumer Expo 2026 Makassar: The Perfect Moment to Realise Home, Vehicle, and Holiday Plans

Bank BRI is hosting its Consumer Expo 2026 in Makassar from 19–21 June, offering a one-stop financial event for mortgages, vehicle loans, and travel packages. The expo features special mortgage interest rates starting from 1.75% and vehicle loan rates from 1.80%, alongside partnerships with over 30 local property developers. A concurrent Travel Fair provides holiday financing with cashback offers and 0% instalment plans for up to 36 months.

G7 Summit in France Ends Without Final Communiqué

The G7 summit in Evian, France, concluded without a final communiqué for the second consecutive year, highlighting persistent divisions among member states. Instead, nine thematic documents were published covering geopolitics, the global economy, and public health. French President Emmanuel Macron described the summit as objectively successful due to consensus on Ukraine and the Middle East, while acknowledging differences with the United States on climate change and the UN.

Demands of the UPNVJ Student Executive Board Protest

The Student Executive Board of UPN Veteran Jakarta staged a protest at the Patung Kuda area, mobilising 200 to 300 students. The demonstration voiced concerns over economic uncertainty, inequitable natural resource management, and public policies lacking participation. The students presented three core demands, including enforcing constitutional economic sovereignty, safeguarding national interests in international agreements, and evaluating the free nutritious meal programme.

Bali's Tourism Boom Traced Back to These Beaches and Hotels

Bali's transformation into a global tourism destination has deep roots, from colonial-era cultural promotion in Ubud to the modern infrastructure development in Kuta. The 1971 opening of the Kartika Plaza Beach Hotel, part of Tomy Winata's Arta Graha group, marked a pivotal shift for Kuta from a fishing village into an international tourist hub. This development, alongside Ubud's artistic heritage, illustrates the dual paths that established Bali's world-class tourism industry.

BI Rate Hiked 25 Bps, IHSG Declines 1.55%

Bank Indonesia raised its benchmark interest rate by 25 basis points to 5.75%, triggering a further decline in the Jakarta Composite Index (IHSG) as risk-off sentiment intensified. The index fell 1.55% following the announcement, with the infrastructure and financial sectors suffering the steepest losses.

Victims of Hanania Umrah Fraud Appeal to Parliament for Help Recovering Their Rights

Approximately 3,000 victims of the Hanania Travel umrah fraud have approached Indonesia's House of Representatives (DPR) seeking assistance to recover their losses. The victims allege severe mismanagement and suspect money laundering, noting that funds paid by pilgrims vanished within days of the owner's arrest. They urged lawmakers to find a solution, emphasising that the right to worship is constitutionally mandated and that regulatory failures persist since the First Travel scandal.

Government Pledges to Safeguard Hotel Sultan Employees' Future

The Indonesian government has assured employees of Hotel Sultan that their welfare will be prioritised following the asset's execution. The State Secretariat has instructed the Gelora Bung Karno (GBK) management to register affected staff and establish open communication channels. Plans are also being developed for the future utilisation of the hotel complex to ensure workers are not left as victims of the takeover.

Manpower Minister Responds to Call for Review of Outsourcing Regulation

Manpower Minister Yassierli has indicated the government's readiness to review a 2026 ministerial regulation on outsourcing following calls from a presidential advisor to limit the practice to just four job types. The current regulation, enacted to comply with a Constitutional Court ruling, already restricts outsourcing to specific sectors but faces pressure for further revision. The minister emphasised that any changes would require social dialogue and meaningful participation from all stakeholders.

Luhut Agrees to Halt Critical Mineral Exports; Starbucks Shuts Shops in South Korea

Indonesia's National Economic Council Chairman Luhut Pandjaitan has agreed to restrict exports of critical minerals, advocating for controlled exports with improved governance following a query from President Prabowo. In a separate international business development, Starbucks Korea has temporarily closed all its outlets to conduct mandatory history lessons for staff after a promotion was deemed insulting to a pro-democracy massacre.

Government Pledges to Safeguard Former Hotel Sultan Employees

The Indonesian government has assured that former employees of Hotel Sultan will not be disadvantaged following the state's takeover of the asset. The State Secretariat Ministry has instructed the Gelora Bung Karno Complex management to register and support the affected workers, opening communication channels and potential future roles within the complex.

Purbaya Claims AIIB Commits Rp 301.8 Trillion in Funding

Finance Minister Purbaya Yudhi Sadewa announced that the Asian Infrastructure Investment Bank (AIIB) has committed US$17 billion in funding for Indonesian development projects over the 2025–2029 period. The commitment was secured during a bilateral meeting in Beijing, where AIIB also expressed interest in opening a representative office in Jakarta. The minister's visit to China also aims to promote the issuance of Indonesia's inaugural Panda Bond.

Riau Police Distribute Social Aid, Clean Water, and Renovate Homes Ahead of Bhayangkara Day

The Riau Regional Police have distributed 1,198 social aid packages, provided clean water, and conducted house renovations for underprivileged residents as part of the 80th Bhayangkara Day commemorations. The initiative also included public education on traffic safety and a 'Green Policing' campaign to promote environmental awareness, particularly in coastal communities. The programme aims to strengthen the bond between the police and the public while delivering tangible support to vulnerable groups.

Dollar Moves to Rp17,730 After BI Rate Hike of 25 Bps

The rupiah stabilised against the US dollar after Bank Indonesia raised its benchmark interest rate by 25 basis points to 5.75%. The currency recovered from an early-session weakening to trade around Rp17,730 per dollar. This marks the third rate increase this year as the central bank reinforces its commitment to exchange rate stability amid global uncertainty.

IKALUIN Jakarta to Hold 2026 Award Ceremony Honouring Alumni Contributions

The Central Board of the Syarif Hidayatullah State Islamic University Jakarta Alumni Association (IKALUIN Jakarta) will host the IKALUIN Award 2026 on 20 June. The biennial event recognises alumni who have made significant contributions to society, the nation, and the world across nine categories. The award aims to document alumni achievements and strengthen the university's reputation nationally and internationally.

Social Affairs Minister awaits presidential directive on strengthening social assistance after fuel price hike

Social Affairs Minister Saifullah Yusuf stated the government is awaiting President Prabowo Subianto's instruction on bolstering social assistance programmes following the recent increase in non-subsidised fuel prices. Options under consideration include thickening mid-year benefits or expanding the number of recipients by year-end. Economists have urged swift, targeted cash transfers to protect the purchasing power of vulnerable groups and the lower-middle class.

Home Affairs Minister Reveals 97% of Temporary Shelters for Sumatra Disaster Victims Completed

Home Affairs Minister Tito Karnavian reports that 97% of temporary shelters for Sumatra disaster victims have been built, with almost no one remaining in emergency tents. The government is now prioritising permanent infrastructure repairs, including provincial roads and bridges, backed by a Rp 100.1 trillion rehabilitation budget through 2028.

Deputy Industry Minister Confident Indonesia Will Excel in Capturing Global Halal Industry Opportunities

Deputy Minister of Industry Faisol Riza expressed strong confidence that Indonesia is well-positioned to dominate the global halal economy, citing its large Muslim population and rising domestic demand. Global Muslim consumption in key sharia economic sectors is projected to reach USD 3.56 trillion by 2029, presenting a strategic opportunity for Indonesia to strengthen its position in the global halal value chain. The government is also intensifying efforts to assist small industries in meeting mandatory halal certification requirements by October.

Trump Declares 'I'm the Boss' at G7 Summit in France

US President Donald Trump asserted his dominance at the G7 summit in Evian-les-Bains, declaring himself 'the boss' during discussions on global economic security. The summit also saw Trump praised for a 'more realistic' stance on Russia and a preliminary peace deal with Iran, which G7 leaders welcomed.

RI underscores ASEAN-Russia economic integration in Kazan summit

Indonesia, represented by Foreign Minister Sugiono, advocated for stronger ASEAN-Russia cooperation in food and energy security and inter-regional economic integration at the Kazan summit. The meeting marked 35 years of partnership, with Russia reaffirming its commitment to the strategic relationship. President Prabowo Subianto delegated attendance to focus on domestic priorities.

GBK Confirms No Land Sale to PT Indobuildco for Hotel Sultan

The legal representative for the Gelora Bung Karno Complex management has confirmed there was never a sale or transfer of the land occupied by Hotel Sultan to PT Indobuildco. The state only granted a 30-year land use permit, and the execution of the eviction order was carried out by the Central Jakarta District Court on 18 June 2026. The land was originally acquired by the government between 1958 and 1962 to support the fourth Asian Games in Jakarta.

Dukuh Atas 'Donut Bridge' Construction to Begin on 21 June 2026

The Jakarta provincial government will commence construction of the iconic circular pedestrian deck, known as the 'Donut Bridge', in Dukuh Atas on 21 June 2026. Governor Pramono Anung will lead the groundbreaking ceremony, which coincides with Jakarta's 499th anniversary celebrations. The project aims to enhance pedestrian safety and integrate various public transport modes at one of Indonesia's busiest transit hubs.

Trump Administration Orders Total Block on Advanced US AI Technology

The Trump administration has abruptly ordered Anthropic to block foreign access to its latest advanced AI models, Fable 5 and Mythos 5, citing national security risks. The directive follows the launch of models capable of detecting unknown system vulnerabilities, sparking global banking security warnings, and reportedly came after Amazon's CEO demonstrated the technology's potential misuse for cyberattacks. Anthropic, while a proponent of AI regulation, has called the action a 'misunderstanding' that lacks transparency and due process.

Former Bima City Police Chief, Drug Suspect, Handed Over to Prosecutors

Former Bima City Police Chief Didik Putra Kuncoro has been transferred to prosecutors after his case file was declared complete. He is implicated in a drug trafficking network uncovered through the arrest of his subordinate, the former narcotics unit head. The case involves multiple police officers and the seizure of methamphetamine, with allegations of large cash payments intended for the ex-chief.

BI Governor Reveals Reasons for Raising BI Rate Again to 5.75%

Bank Indonesia Governor Perry Warjiyo has explained the central bank's decision to raise the benchmark interest rate by 25 basis points to 5.75%. The move aims to strengthen the rupiah against the US dollar amid heightened global uncertainty. The policy also seeks to keep inflation within the government's target range of 1.5% to 3.5% for the year.

KJRI Johor Handles Repatriation of Four Indonesian Fishermen from Malaysia

The Indonesian Consulate General in Johor Bahru is facilitating the return of four fishermen from Bintan after Malaysian authorities released them. The fishermen were among six crew members detained in May for allegedly entering Malaysian waters without permits. Two captains remain in legal proceedings and are receiving consular assistance.

Taiwanese Civilians Mimic Ukraine's Drone Tactics Amid China Invasion Fears

Civilians in Taiwan are flocking to drone training programmes inspired by Ukraine's battlefield tactics, reflecting heightened public anxiety over a potential Chinese invasion. The courses, which focus on manual navigation and intelligence gathering rather than weaponisation, have seen overwhelming demand. The trend is further fuelled by domestic political uncertainty and delays in a major US arms package for Taiwan.

PSI Says Jokowi to Begin Tour on 25 June, Lampung as First Destination

Former Indonesian President Joko Widodo is set to embark on a nationwide tour starting 25 June 2026, with Lampung province as his first stop. The announcement was made by PSI executive Bestari Barus following a meeting with Jokowi, who will be accompanied by party members but remain the central figure of the visit. The tour is seen as a significant political move, though details on other participants, including PSI chairman Kaesang Pangarep, remain unconfirmed.

Kios Hari-hari Expands Financial Access and Creates Jobs in Jayapura with Five BRILink Agent Service Points

A local entrepreneur in Jayapura, Papua, has transformed his small grocery kiosk into a thriving network of five BRILink agent outlets, significantly improving access to banking services for the surrounding community. Starting in 2017, Darwin Chandra partnered with BRI to offer cash withdrawals, transfers, and bill payments, which not only boosted his business but also created local employment. The initiative highlights how agent banking models are bridging the financial inclusion gap in remote Indonesian regions.

Bank Indonesia Raises Benchmark Rate by 25 bps to 5.75%

Bank Indonesia has increased its benchmark BI-Rate by 25 basis points to 5.75%, marking the third hike in under a month. The move aims to strengthen rupiah stabilisation and pre-emptively keep inflation within the government's 2.5±1% target range for 2026 and 2027. The decision aligns with the median forecast from a CNBC Indonesia poll of 14 institutions.

Undisbursed Loans Still at Rp2,575 Trillion, BI Chief Confident Credit Can Grow 12%

Bank Indonesia Governor Perry Warjiyo revealed that undisbursed loans remain substantial at Rp2,575 trillion, representing 22.41% of the banking sector's credit ceiling. He views this idle credit as a significant reservoir for future lending expansion. Warjiyo expressed confidence that credit growth could reach up to 12% year-on-year in 2026, supported by improving disbursement trends.

List of Students Invited by Gibran on Working Visit, from UI to Unsoed

Vice President Gibran Rakabuming Raka has embarked on a working visit to eastern Indonesia accompanied by student representatives from several universities. The trip aims to strengthen oversight of the Free Nutritious Meals programme and village cooperatives. Gibran stated the government is committed to improving governance and ensuring the programmes are free from corruption.

Social Affairs Minister targets every regency/city to have a Sekolah Rakyat building

Social Affairs Minister Saifullah Yusuf aims to establish at least one permanent Sekolah Rakyat building in every Indonesian regency and city to broaden educational access for children from poor and vulnerable families. The initiative, part of a broader poverty alleviation strategy, involves inter-ministerial collaboration, including a recent land grant from the Ministry of Law. The programme specifically targets families President Prabowo has described as 'the invisible people' who have been overlooked by development efforts.

Floating villas: Welcoming Nusantara expatriates above the beauty of the sea

Bontang, East Kalimantan, is pivoting towards high-end tourism to support its role as a buffer zone for Indonesia's new capital, Nusantara (IKN). The city government has unveiled the Villa Bontang Kuala project, an exclusive overwater resort targeting expatriates and business travellers. The initiative aims to capitalise on the area's existing marine charm while upgrading facilities to meet international standards.

Bank Indonesia Injects Rp 418 Trillion in Incentives into Banking Sector as of June 2026

Bank Indonesia has disbursed Rp 418.1 trillion in macroprudential liquidity incentives to the banking sector as of early June 2026, aimed at boosting credit financing. The funds, allocated through the KLM scheme, have been directed towards priority sectors including agriculture, downstream processing, and MSMEs. Governor Perry Warjiyo noted the figure surpasses the previous month's distribution, with state-owned banks receiving the largest share.

PDIP Told to Clarify Stance on Prabowo's Government, Deddy Sitorus Hits Back: 'Mind Your Own Party'

A political spat has erupted after PKB's Jazilul Fawaid urged PDIP to clearly declare whether it is in opposition or supporting President Prabowo Subianto's administration, warning that an ambiguous stance is confusing. PDIP's Deddy Sitorus responded sharply, telling Jazilul to focus on his own party and arguing that the term 'opposition' does not apply in Indonesia's presidential system, where PDIP acts as a balancing force outside the government.

PKB Urges PDIP to Clarify Stance, Says It Is Working Hard to Fulfil President's Promises

The National Awakening Party (PKB) has called on the Indonesian Democratic Party of Struggle (PDIP) to clarify its position within President Prabowo Subianto's administration. PKB faction leader Jazilul Fawaid stressed that coalition parties are working diligently to realise Prabowo's campaign pledges and require concrete solidarity. He warned that ambiguous stances could hinder the smooth implementation of the government's programmes.

Indonesia aims to establish 5,000 export villages through capacity building

The Indonesian government is accelerating a programme to develop 5,000 export-oriented villages, with 338 already generating nearly Rp1 trillion in transactions. The Villages Minister and the Barantin agency signed a commitment to train village leaders and residents in meeting international product standards and certification. Pilot projects will soon be launched, starting in West Java, to empower rural communities and boost national economic growth through agricultural, fisheries, and livestock exports.

Deputy Home Affairs Minister Ribka Urges Papua Local Governments to Immediately Draft 2026 Budget Plans

Deputy Home Affairs Minister Ribka Haluk has called on all regional governments in Papua to expedite the drafting of their 2026 Programme Budget Plans for the use of additional Special Autonomy and Infrastructure funds. The move follows the issuance of a Finance Ministerial Decree adjusting the allocation of Rp2.7 trillion for the region. The central government has also issued a joint ministerial circular to accelerate the evaluation process, emphasising timely and accountable disbursement to boost welfare and development.

KPK Examines PDIP Politician Riyan Dediano in DJKA Ministry of Transportation Case

Indonesia's Corruption Eradication Commission (KPK) has questioned PDI Perjuangan politician Riyan Dediano as a witness in a bribery investigation involving railway construction projects. The case, which originated from a sting operation in April 2023, concerns alleged bid-rigging in multiple railway infrastructure projects under the Directorate General of Railways. To date, the KPK has named 21 suspects, including a former member of the House of Representatives Commission V.

Police Question Actress Davina Karamoy in Hanania Travel Umrah Fraud Case

Jakarta police have questioned actress Davina Karamoy as a witness in an investigation into alleged fraud and embezzlement of umrah travel funds by PT Khazanah Taman Internasional, also known as Hanania Group. The company's director has been named a suspect and detained, with investigators alleging that customer deposits were misused for purposes unrelated to travel arrangements, including payments to influencers for promotion. Several other public figures have also been questioned in connection with the case.

Poliban and ULM Drive Digital Transformation for UMKM Berkat Guru Kapuh

Politeknik Negeri Banjarmasin and Universitas Lambung Mangkurat have launched a community service programme to digitally transform UMKM Berkat Guru Kapuh in South Hulu Sungai Regency. The initiative, funded by the Ministry of Higher Education, Science, and Technology, provides a digital financial recording application and an e-commerce website to address challenges in cost management and online marketing. The programme aims to enhance the competitiveness of micro, small, and medium enterprises in the digital economy era.

Hanania Travel Case: Awkarin and Guyon Waton Vocalist Request Examination Postponement

Social media influencer Karin Novilda (Awkarin) and Guyon Waton vocalist Faisal Bagus Ibrahim have requested the postponement of their police examinations in the Hanania Travel fraud case. The Metro Jaya Police have rescheduled Awkarin's questioning to 29 June 2026, while a new date for Faisal is yet to be determined. The case involves alleged fraud, embezzlement, and money laundering linked to the umrah travel agency, with several other public figures already questioned.

Grab Indonesia Provides Digitalisation Training to 200,000 MSMEs

Grab Indonesia has provided digitalisation mentoring to 200,000 micro, small, and medium enterprises across 17 cities through its 'Kota Masa Depan Berani Digital' programme. The initiative, conducted in collaboration with the Ministry of UMKM and local governments, includes business guidance, digital marketing training, and financial literacy. Officials highlight that adapting to digital technology is crucial for MSMEs to expand market reach and remain competitive in Indonesia's rapidly growing digital economy.

Indonesian Navy to Dispatch 100 Prospective Aircraft Carrier Crew to Italy on 10 July

The Indonesian Navy (TNI AL) will send 100 personnel to Italy in July 2026 for training on the aircraft carrier Giuseppe Garibaldi. The selected crew will undergo theoretical and practical instruction before sailing the vessel to Indonesia, with a target arrival before 5 October 2026. The Navy estimates a core crew requirement of around 500 sailors and is preparing supporting infrastructure and logistics for the carrier's operation.

South Jakarta High School Student Dies After Motorcycle Snags Cable, Thrown Under Bus

A student from SMA Negeri 6 Jakarta was killed on Thursday morning after her motorcycle handlebar caught a low-hanging utility cable, causing her to fall and be run over by a passing school bus. The incident occurred on Jalan Lauser in Kebayoran Baru, prompting the local sub-district head to order increased monitoring of problematic overhead cables. Jakarta Governor Pramono Anung recently acknowledged the long-standing issue of tangled utility cables, stating that a comprehensive plan to move them underground is underway but will require time and a phased approach.

Bank Indonesia Issues Rp1,021.1 Trillion in SRBI to Strengthen Rupiah

Bank Indonesia has issued Rp1,021.1 trillion in Rupiah Securities (SRBI) as of mid-June 2026 to bolster the rupiah. Governor Perry Warjiyo stated that the central bank raised interest rates on these monetary instruments to attract foreign capital inflows. The move has contributed to a 0.76% appreciation of the rupiah against the US dollar.

KAI Properti Extends Platforms at Bogor Station to Boost KRL Service Capacity

KAI Properti is extending platforms on lines 6, 7, and 8 at Bogor Station to accommodate longer 12-carriage KRL Commuter Line trains, up from the previous 10-carriage formation. The project aims to enhance passenger capacity, comfort, and safety in response to growing mobility in the Bogor area. The work, which includes structural, rail, and overhead electrical installations, is being carried out while maintaining active station operations.

Indonesian Women's Alliance Protest in Kebon Sirih Disperses, Traffic Returns to Normal

A demonstration by the Indonesian Women's Alliance in Central Jakarta demanding lower fuel prices has concluded. The protesters, who marched from Dukuh Atas to the Patung Kuda area, dispersed peacefully around 1:30 PM local time. Police have since reopened roads, allowing traffic flow to return to normal.