Indonesian Political, Business & Finance News

Archive: 24 June 2026

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UK Defence Minister Vows Continued Increase in Military Spending

Britain's newly appointed Defence Minister Dan Jarvis has pledged sustained increases in military spending and a major modernisation drive, warning that years of neglect have left the armed forces under severe strain. He confirmed the UK's commitment to raising defence expenditure to 3.5% of GDP by 2035 and highlighted the need for investment in AI and drone technology.

Mount Agung Climbing Routes Closed Until 2 July for Pujawali Ceremony

Access to Mount Agung in Karangasem, Bali, will be suspended from 26 June to 2 July 2026 to accommodate the pujawali ceremony at Pura Pengubengan, Besakih. Authorities have formally notified climbing forums and travel agents to prevent any attempts during the sacred period. The closure aims to ensure the ritual proceeds smoothly and to avoid any untoward incidents.

KPK Opens Possibility of Summoning BPOM and Trade Ministry Officials in Customs Case

Indonesia's Corruption Eradication Commission (KPK) is considering summoning officials from the Food and Drug Monitoring Agency (BPOM) and the Ministry of Trade as part of its investigation into alleged corruption at the Directorate General of Customs and Excise. The move follows trial revelations that PT Blueray Cargo may have made payments to individuals at both agencies. The case, which began with a sting operation in February 2026, has already implicated several customs officials and businessmen in a bribery scheme related to counterfeit goods imports.

Prabowo Receives Adhi Bhakti Tani Nelayan Maha Utama Award

President Prabowo Subianto was awarded the Adhi Bhakti Tani Nelayan Maha Utama honour at the 17th National Farmers and Fishermen Week in Gorontalo. The award was presented by the Kontak Tani Nelayan Andalan (KTNA) in recognition of Indonesia achieving rice self-sufficiency. Several key members of the Red and White Cabinet were in attendance.

UN Commission Accuses Israel of Genocide in Gaza, Deliberately Targeting Children

A United Nations Commission of Inquiry has accused Israel of deliberately targeting Palestinian children, amounting to genocide and crimes against humanity in Gaza. The report alleges systematic attacks on children using precision weapons, destruction of healthcare, and the use of starvation as a method of war. Israel has categorically rejected the findings as 'false libel'.

US Defence Startup Anduril Eyes Israeli Expansion, Opens Advanced Weapons Hub

American defence technology firm Anduril is reportedly in talks to establish a significant presence in Israel, including a potential research and development centre. The startup, valued at US$61 billion, is recruiting local managers and exploring partnerships with Israeli defence firms. The move follows a visit by founder Palmer Luckey, who met with Prime Minister Benjamin Netanyahu and top military startups.

Need robust research culture for higher ed transformation: minister

Indonesia's higher education minister has stressed that building a strong research and science culture is essential for transforming universities into globally competitive institutions. He highlighted the central role of laboratories and mentorship systems where advanced universities guide others to ensure inclusive quality improvement. The ministry's vision positions higher education, science, and technology as key drivers of social and economic transformation in areas such as food security, energy, and digitalisation.

North Jakarta City Government Builds Disaster-Resilient Generation Through Fesdikgana

The North Jakarta City Government is fostering a disaster-resilient generation by holding the Disaster Preparedness Education Festival (Fesdikgana) for students. The initiative, which included a poster competition for primary schools and a quiz for senior high schools, aims to instil a culture of disaster awareness from an early age. Winners will represent North Jakarta at the provincial level, highlighting the city's commitment to collaborative, pentahelix-based disaster risk reduction.

Kupang Mayor Proposes Collaboration House for Young Generation

Kupang Mayor Christian Widodo has proposed establishing a 'collaboration house' to serve as a shared space for youth to gather, discuss, and build cross-community networks. The initiative, discussed during a meeting with the Indonesian Islamic Student Movement (PMII), aims to foster creativity and innovation without necessarily requiring new buildings. The mayor also reaffirmed his commitment to youth development and sports coaching ahead of the 2028 National Games.

Minister says regional film festivals can boost local economies

Indonesia's Creative Economy Minister has highlighted the potential of regional film festivals, such as the Horror Film Festival in Pacitan, to act as drivers of local economic growth and talent incubation. The 2026 festival aims to expand with government collaboration, leveraging Indonesia's cultural diversity as a creative asset. Local officials report the event has already generated positive economic impacts and hope it will grow into a national and global attraction.

Indonesians Save More Not Due to Wealth, But Growing Anxiety

A surge in savings among Indonesians, particularly those with balances below Rp100 million, is being driven by precautionary motives rather than rising incomes, according to a BCA report. The trend reflects heightened public anxiety over rupiah depreciation and rising living costs, with wealthier groups shifting funds to foreign currency accounts. Meanwhile, a shift from gold back to bank deposits signals a flight to perceived safety amid economic uncertainty.

President Prabowo Attends PENAS XVII Summit in Gorontalo

President Prabowo Subianto attended the 17th National Farmers and Fishermen Week (PENAS) in Gorontalo, a major quadrennial gathering aimed at strengthening food security. The event brought together tens of thousands of farmers, fishermen, and agricultural stakeholders from across Indonesia to share innovations and discuss policy. During the summit, the President was awarded the highest honour by the national farmers and fishermen association for the central government's programmes.

The Legacy of the 1998 Reform in Indonesia's Constitutional Changes

The 1998 Reformasi movement catalysed fundamental amendments to Indonesia's 1945 Constitution, reshaping the nation's governance. These changes strengthened democratic principles, clarified the separation of powers, and enshrined detailed human rights protections. The article reflects on the ongoing impact of these constitutional reforms and the persistent challenges in fully realising their democratic ideals.

KPK Announces Former DPR Staffer Heri Gunawan's Ex-Aide Again Skips Summons

The Corruption Eradication Commission (KPK) has revealed that Fitri Assiddikki, a former expert staff member to DPR member Heri Gunawan, has failed to appear for questioning for a second time in a graft case involving Bank Indonesia and OJK CSR funds. Investigators are now considering issuing a warrant to compel her attendance as her testimony is deemed crucial for tracing assets. The case, which began in December 2024, has already seen two sitting DPR members named as suspects.

Regulation Issued: Financial Influencers Must Now Receive Guidance from OJK

Indonesia's Financial Services Authority (OJK) has issued a new regulation requiring financial influencers to undergo official guidance. The rule aims to ensure that information shared with the public is clear, accurate, and not misleading, thereby strengthening consumer protection. It also clarifies the responsibilities of financial service businesses when collaborating with influencers for marketing purposes.

Unair Expert Council Commits to Providing Policy Recommendations for Government

The Expert Council of Universitas Airlangga (Unair) has pledged to serve as a strategic academic think tank, delivering policy papers and recommendations to both central and regional governments. Led by Coordinating Minister for Infrastructure and Regional Development Agus Harimurti Yudhoyono, the council aims to bridge scholarly research with national development needs. The initiative will also establish a strategic forum to engage stakeholders and youth in discussions on national and international issues.

Probolinggo Agriculture Agency Strengthens Early Detection of Avian Influenza in Poultry

The Agriculture Agency of Probolinggo Regency is intensifying surveillance of poultry health through an enhanced early detection programme for Avian Influenza. The initiative aims to prevent the spread of the virus, which could harm the local livestock sector, by deploying animal health teams to monitor biosecurity and educate farmers. The agency also urges farmers to promptly report any signs of illness to safeguard economic stability and ensure the safety of poultry products for public consumption.

Blackouts in Java and Samarinda: A Wake-Up Call for Indonesia's Energy Infrastructure Readiness

Recent total blackouts across parts of Java and Samarinda have exposed critical vulnerabilities in Indonesia's electricity infrastructure, disrupting households, businesses, and public services. The incidents underscore the urgent need for government and providers to strengthen grid reliability, diversify energy sources, and accelerate renewable energy adoption. Without decisive action, recurring power crises threaten to derail economic growth, digital transformation, and national development.

Academic Proposes Strengthening Three Economic Levers for Bali

An Udayana University academic has proposed reinforcing three key economic sectors to drive Bali's growth, citing their strong upstream and downstream linkages. The recommended priorities include foundational sectors like electricity and transport, labour-intensive tourism support services, and the downstream processing of primary industries. The proposal comes as Bali's Q1 2026 economic growth slightly slowed to 5.58% year-on-year.

Video: Indonesia Faces Doctor Shortage, Health Minister Reveals Plan to Attract Foreign Doctors

Health Minister Budi Gunadi Sadikin discusses strategies to strengthen Indonesia's healthcare industry, including addressing a shortage of 70,000 specialist doctors by accelerating hospital-based education and potentially recruiting foreign doctors. The government also aims to improve hospital distribution and reform the national health insurance scheme, BPJS Kesehatan, to better control healthcare inflation.

Former Indonesian Minister's Home Electricity Cut Off Due to Unpaid Bills

Sutami, who served as Indonesia's Minister of Public Works for 14 years under the New Order, had his electricity disconnected after retirement because he could not afford the bill. Despite overseeing massive infrastructure projects, he lived frugally, refused to exploit his position for personal gain, and was known as the 'poorest minister'. His legacy includes enduring national landmarks such as the Jagorawi Toll Road and the Semanggi Interchange.

Root Causes of Floods Besieging Surabaya During the Dry Season

Surabaya experienced widespread flooding during the dry season following two days of heavy rain. Mayor Eri Cahyadi attributed the inundation to a 'wet dry season' weather cycle and ongoing drainage and culvert projects that temporarily obstructed water flow. The mayor apologised for the disruption as dozens of areas across the city were submerged.

The Founders of Civilisation: The Vision and Mission of Youth in the First Pledge of Aqabah

This article examines the historical First Pledge of Aqabah as a foundational moment where young leaders from Yatsrib (later Medina) committed to a moral and social revolution. It frames the pledge's six principles as a visionary blueprint for ending tribal conflict and building a new civilisation based on spiritual liberation, integrity, and human rights. The piece draws parallels between the commitment of these early youth figures and the role of moral integrity in contemporary social change.

Two COVID-19 Mask Corruption Suspects File Pre-Trial Motions, Following Former Sumbawa Deputy Regent

Two suspects in a Rp 12.3 billion COVID-19 mask procurement corruption case in West Nusa Tenggara have filed pre-trial motions at the Mataram District Court. The motions, submitted by former NTB Regional Secretary Bureau Head Wirajaya Kusuma and M Hariyadi Wahyudin, challenge the legality of their suspect designations. This follows a similar legal challenge by former Sumbawa Deputy Regent Dewi Noviany, one of six suspects in a case that allegedly caused Rp 1.58 billion in state losses.

Rejected as Justice Collaborator, Sony Sonjaya Vows to Reveal Big Names in MBG Corruption Trial

Sony Sonjaya, former deputy head of the National Nutrition Agency, has pledged to expose high-ranking officials allegedly involved in the free nutritious meal programme corruption case, despite the Attorney General's Office rejecting his justice collaborator bid. His legal team expressed disappointment but confirmed he will disclose key facts during the trial. They are now seeking protection from the Witness and Victim Protection Agency to ensure his safety when revealing the roles of senior officials.

House Commission I Conducts Fit and Proper Test for Central Information Commission Candidates

Indonesia's House of Representatives (DPR) Commission I is conducting fit and proper tests for 19 candidates vying for the Central Information Commission (KI Pusat) for the 2026–2030 period. Two candidates withdrew from the process. The commission will select seven members, who will then be formally appointed by President Prabowo Subianto.

US Fighter Pilot 'Shocked' by Iranian Drone Swarm Forming 'Jellyfish' Shape

A rescued US F-15 pilot has reported witnessing Iranian drones moving in a coordinated, jellyfish-like formation before his jet was shot down over Iran in April. The testimony has sparked intense debate within the US intelligence community regarding Iran's potential advancement in 'meshed networking' drone technology, with some suspecting Chinese or Russian assistance.

MUI urges maximum punishment for Bandung confinement perpetrator

The Indonesian Ulema Council (MUI) has called for the harshest possible criminal sanctions against the perpetrator of a violent confinement case in Bandung to create a deterrent effect. The council emphasised that the act constitutes multiple violations of legal, religious, and social norms. MUI also advised young people to recognise early signs of possessive and unhealthy behaviour in relationships and to end them decisively.

From Classroom Theory to Real Action: How Student Associations Give Direction to University Life

This article argues that university student associations (Himpunan Mahasiswa) serve as vital laboratories for applying the theoretical principles of Pancasila education to real-world campus issues. It outlines how participation in these organisations can combat problems like academic dishonesty, individualism, and apathy by fostering integrity, collaboration, and democratic practice.

Indonesia-China Non-Dollar Transactions Surge, Reaching Rp161.5 Trillion in a Month

Bank Indonesia reports that local currency settlement (LCT) transactions between Indonesia and China hit US$9 billion (Rp161.57 trillion) in May 2026 alone, as both nations seek to reduce reliance on the US dollar. The total LCT value for the first five months of 2026 reached US$22 billion, with the central bank pledging further support and cooperation with Chinese and Hong Kong monetary authorities to boost trade, investment, and regional financial stability.

Jakartans Encouraged to Realise Clean Air Through Community Action

A Jakarta citizens' forum is mobilising community-led initiatives to complement government policies in tackling air pollution. The 'Udara Kita, Suara Kita' forum, supported by Breathe Cities Jakarta, has declared clean air a health right and launched a digital platform for ongoing dialogue. A North Jakarta community showcased a successful waste bank programme that reduces open burning and funds local amenities, demonstrating grassroots empowerment in improving air quality.

Islamic School in Demak Apologises After Viral Video of Drumband Dancer in Miniskirt

An MTs in Demak, Central Java, has issued a public apology after a video of a female drumband dancer wearing a miniskirt at a Hijri New Year event on its grounds went viral. The school clarified that the performer was from a public drumband group, not a student, and pledged to use the incident as a lesson for stricter oversight at future events.

Understanding Religious Moderation: The Middle Path of the Ummah

This article explores the theological foundations of religious moderation (wasathiyyah) in Islam, drawing from the Qur'an, Hadith, and scholarly analysis. It argues that the middle path is not a passive compromise but an active principle of justice and balance, essential for maintaining harmony in Indonesia's diverse society. The piece also outlines the Indonesian Ministry of Religious Affairs' four measurable indicators for implementing religious moderation in national life.

BRIN: Bali's Subak a global example of low-emission agricultural management

Indonesia's National Research and Innovation Agency (BRIN) has highlighted Bali's traditional subak irrigation system as a global model for low-emission farming. The system, which integrates productivity, environmental stewardship, and cultural heritage, is being showcased to international participants as an inspiration for sustainable agriculture.

Investment Forum 2026: Makassar Tawarkan Sektor Maritim Global hingga Pengembangan ...

The Makassar Investment Forum, part of the Indonesia Gastrodiplomacy Series 2026, is facilitating high-value investment partnerships between the city and international delegations. Key sectors attracting foreign interest include fisheries, seafood, and plantation commodities such as coffee and spices, with countries like Malaysia, Poland, and Costa Rica showing strong attention. While the new Untia Stadium will be fully funded by the regional budget, the city is offering surrounding business zones to private investors to catalyse a new integrated economic area.

Damaged Road Prompts Blood Petition, Banten Province Urges Pandeglang Regency to Act

Residents of Cimanggu Village in Pandeglang resorted to signing a petition in their own blood to demand repairs to a road that has been damaged for decades. The Banten provincial government has responded by urging the Pandeglang Regency administration to take responsibility, as the road falls under its jurisdiction. The province indicated it could provide assistance through its Bang Andra programme if the regency formally requests support and prioritises the project.

KPK Re-examines Former Religious Affairs Ministry Official in Hajj Quota Corruption Case

Indonesia's Corruption Eradication Commission (KPK) has re-interviewed Hilman Latief, the former Director General of Hajj and Umrah at the Ministry of Religious Affairs, as a witness in the ongoing investigation into alleged corruption in the management of the 2023-2024 special hajj quotas. The case has already seen the naming of former Minister Yaqut Cholil Qoumas and three others as suspects, with state losses estimated at Rp622 billion. The KPK stated the additional questioning was necessary to complete the case files for the four suspects.

High risk of severe haze for rest of 2026 amid El Nino, biofuel demand and Indonesia budget cuts: Report

A Singapore think-tank has issued a rare 'red' warning for severe transboundary haze in Southeast Asia for the remainder of 2026, with the peak danger expected between August and September due to a strong El Niño. The heightened risk is compounded by economic pressures, including rising agricultural costs from shipping disruptions and growing biofuel demand, which may encourage unsustainable land-clearing practices. Indonesia faces a critical test of its fire prevention measures as budget cuts impact the Ministry of Forestry and provincial governments during President Prabowo Subianto's first high-risk dry season.

A Robot Named Pepper Delivers Surprising Lessons on Human Behaviour

A recent study using the humanoid robot Pepper has revealed that humans naturally project empathy and social norms onto machines, comforting the robot when it appears confused. The findings suggest that the greatest challenge for future robotics lies not in computational power, but in designing systems that can navigate the complex labyrinth of human emotion and social behaviour.

Prabowo Questions Motives Behind Anti-Free Nutritious Meal Protests

President Prabowo Subianto has expressed bewilderment over demonstrations opposing the Free Nutritious Meal (MBG) programme, stressing that the initiative is designed to aid the poor and is not mandatory. He highlighted the programme's role in feeding underprivileged children who often go to school without breakfast, while asserting that the funding comes from savings achieved by tackling corruption.

What's Up with Heartbreak? Between Poetry, the Beach, and Reality

This article explores the profound psychological impact of romantic heartbreak on young adults, noting that while it is a near-universal experience, societal support and literacy for coping remain minimal. It critiques common but unhelpful advice and highlights the lack of accessible mental health services in Indonesia, where cost and stigma often force individuals to suffer in silence. The piece advocates for emotional validation and culturally sensitive support systems over toxic positivity.

School Holiday Discounts Offered for Borobudur and Prambanan Temple Entry

State-owned tourism management company InJourney Destination is offering a 15% discount on entry tickets to Borobudur, Prambanan, and Ratu Boko cultural sites from 20–28 June 2026. The promotion is timed for the school holiday period and aims to encourage educational and historical tourism. Tickets must be purchased via the official website, and the discount does not include access to climb the Borobudur temple structure.

Hotman Paris Urges Prabowo and Tycoons to Fund YTR Victim's Medical Care

Prominent lawyer Hotman Paris has publicly called on President Prabowo Subianto and several Indonesian conglomerates, including Prajogo Pangestu, to donate towards the medical treatment of YTR, a victim of a three-year captivity and torture case. Hotman highlighted the victim's dire condition and the family's modest background, suggesting donations of Rp500 million from wealthy individuals and Rp5 million from parliamentarians. The Health Minister has separately confirmed that the government will cover all medical costs, including facial reconstruction surgery.

Negotiations Remain Deadlocked as Beirut Demands Israeli Withdrawal from Southern Lebanon

Lebanese negotiators in Washington are insisting on a full Israeli troop withdrawal from southern Lebanon, while Israel demands guarantees that the Lebanese Army can dismantle Hezbollah's infrastructure first. The primary sticking point remains the mechanism for withdrawal, with Israel wanting Lebanese forces deployed in strategic border areas before any pullback.

Education Minister Remembers Soeharto's Legacy: Supersemar Scholarships and SD Inpres

Minister of Primary and Secondary Education Abdul Mu'ti has praised former President Soeharto's contributions to Indonesian education, highlighting the Supersemar scholarship and the SD Inpres school-building programme. Mu'ti, a former scholarship recipient, argued that Soeharto's efforts to eradicate illiteracy were so significant they deserved recognition beyond a Nobel Prize. The remarks were made during a record-breaking sketch event commemorating Soeharto's 105th birthday.

Between Fatwa and Throne: The Eradication of Wujudiyyah Thought in the 17th-Century Aceh Sultanate

This article examines the 17th-century doctrinal conflict within the Aceh Sultanate, focusing on the suppression of the Wujudiyyah mystical school. It argues that the fatwa issued by Nuruddin Ar-Raniri against the teachings of Hamzah al-Fansuri and Syamsuddin as-Sumatrani was not merely a personal theological judgement, but a calculated instrument of state policy. The analysis reveals how Ar-Raniri's position as court scholar was shaped by and, in turn, reinforced the political legitimacy of Sultan Iskandar Tsani following a critical succession.

BNPP RI Surveys Unofficial Cross-Border Routes in Belu to Strengthen Border Governance

Indonesia's National Border Management Agency (BNPP RI) is conducting a field survey of unofficial cross-border routes in Belu Regency, Nusa Tenggara Timur, to enhance data-driven border control. The initiative aims to map traditional and informal crossing points between Indonesia and Timor-Leste, assessing their usage patterns and potential security risks. The findings will inform proportional policies, which may include upgrading certain routes to official status rather than simply closing them.

Oil Prices Slump Again, Brent Falls to US$76 per Barrel

Global oil prices extended their decline on Wednesday, with Brent crude dropping to around US$76 per barrel, marking a roughly 15% fall since mid-June. The sell-off was driven by easing fears of supply disruptions in the Strait of Hormuz as diplomatic progress raised expectations of smoother Iranian oil flows. Analysts caution, however, that depleted global stockpiles and the slow pace of normalising Gulf shipments could still tighten the market in the near term.

Education Costs Continue to Rise, Parents Urged to Plan School Funds Early

Rising education costs in Indonesia, which can more than double between primary and senior secondary levels, are placing increasing financial pressure on families. State-owned insurer IFG Life is urging parents to incorporate education funding into their long-term financial strategies from an early stage. The call comes amid a demographic bonus and relatively low national insurance literacy rates of 45.45 per cent.

Baznas: Integrating Islamic Philanthropy Key to Poverty Alleviation

Indonesia's National Zakat Agency (Baznas) has emphasised that integrating Islamic philanthropic instruments such as zakat, infak, sadaqah, and waqf is crucial for strengthening poverty alleviation and achieving sustainable welfare. The agency argues that these instruments, when managed within a unified ecosystem, can complement each other to create broader social and economic impact, moving beyond short-term charity towards long-term economic empowerment and social transformation.