Indonesian Political, Business & Finance News

Archive: 24 June 2026

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Survey: 81 Percent of Indonesian Workers Feel Their Salary Is Fair

A new survey reveals that 81 percent of Indonesian professionals consider their current salary fair for their workload, the highest rate in the Asia Pacific region. However, only 66 percent report genuine satisfaction with the amount, highlighting a gap between perceived fairness and true contentment. The report also notes that Gen Z workers report higher satisfaction than higher-earning Gen X employees, and that performance-based compensation yields greater satisfaction than across-the-board adjustments.

Jakarta Government Boosts Health Worker Capacity to Detect Acute Respiratory Infections

The Jakarta provincial government is enhancing the skills of healthcare workers to improve the rapid detection and management of Acute Respiratory Infections (ARI), with a particular focus on pneumonia. Officials highlight that pneumonia is the most dangerous form of ARI and a leading cause of child mortality, while noting that national health insurance spending on the disease has surged to Rp4.48 trillion. Jakarta has already exceeded national targets for case detection and achieved a zero per cent mortality rate for pneumonia in children under five.

US Firmly Rejects Iranian Tariffs on Strait of Hormuz

The United States has unequivocally rejected Iran's proposal to impose tariffs on vessels transiting the Strait of Hormuz, insisting the waterway must remain free for international navigation. The dispute over control of the strategic chokepoint, through which a fifth of global oil passes, is a key point of tension in ongoing 60-day negotiations between Washington and Tehran. Despite a preliminary peace deal and increased maritime traffic, Iran maintains it will not return to the pre-war status quo regarding the strait.

KPK Probes PT Infinity International's Role in Customs Import Case

Indonesia's Corruption Eradication Commission (KPK) is investigating PT Infinity International for alleged involvement in import arrangement practices at the Directorate General of Customs and Excise. The probe expands beyond the previously implicated Blueray Cargo group, with investigators seeking testimony from PT Infinity's director. Three former customs officials have already been charged with accepting bribes and gratuities totalling over Rp71 billion.

Meta Debuts More Affordable Smart Glasses, Starting at IDR 5.3 Million

Meta has launched its new Meta Glasses smart eyewear in partnership with EssilorLuxottica, priced from US$299 (approximately IDR 5.3 million). The glasses feature a built-in camera, private speakers, and Meta AI assistant, but lack a display. This launch follows closely after Snap's release of its higher-priced Spectacles.

Lippo Group Grants Meikarta Land to the State

The Indonesian government is accelerating the provision of affordable housing by accepting a land grant from Lippo Group in the Meikarta area, Cikarang. The land will be transferred via the Ministry of Finance to Danantara and then to a state-owned enterprise for the construction of subsidised apartments. This non-profit collaboration aims to support the national priority programme of building 3 million homes for low-income citizens.

BNPP RI Strengthens Border Surveillance with Timor Leste

Indonesia's National Border Management Agency (BNPP RI) has conducted a survey to identify unofficial crossing points along the Indonesia-Timor Leste border in Belu Regency. The three-day operation aims to map 27 identified routes to better understand their usage patterns and security risks. The initiative seeks to formulate proportional policies that safeguard sovereignty while considering the socio-economic realities of border communities.

Defence Ministry Reveals Causes of Death for Two Cooperative Manager Trainees During Military Training

Two participants in Indonesia's SPPI programme died during basic military training, with the Defence Ministry attributing the deaths to heat stroke and cardiac arrest. The incidents occurred at separate training facilities in Balikpapan and Baturaja, prompting an official evaluation of health screening and supervision procedures. The training is a mandatory 45-day component for over 35,000 candidates preparing to manage the government's village cooperative and fishing village programmes.

Evacuation of Overturned Truck on BKT Cakung Bridge Completed, Traffic Returns to Normal

The evacuation of a truck that overturned on the BKT Cakung Bridge in East Jakarta has been completed, allowing traffic flow towards Pulogadung to return to normal. The accident, which involved a truck and a car, had previously caused significant congestion. Police are urging motorists to remain patient as building materials from the truck are still being cleared from the roadway.

Police seize multiple motorcycles without documents during raid in Central Jakarta

Central Jakarta Police conducted an early morning 'Cipta Kondisi' operation, detaining several motorcycles whose riders could not produce valid vehicle documents. The operation, involving 144 personnel, aimed to maintain public order and security across eight sub-districts. Police urged residents to comply with traffic regulations and use the 110 emergency hotline to report any security concerns.

Flush with AI Cash, Toilet Maker Toto Bets Big on Semiconductor Business

Japanese sanitary ware giant Toto is investing ¥80 billion (Rp 8.8 trillion) over five years to expand its semiconductor materials business, aiming to support next-generation 1-nanometre chip manufacturing. The company's ceramic expertise, originally developed for toilets, has made its chip-related division the primary profit driver, surpassing its core housing equipment business amid the AI boom.

120 Indonesian Hajj Pilgrims Still Hospitalised in Saudi Arabia, Repatriation Awaits Medical Clearance

Indonesia's Hajj and Umrah Minister reports that 120 Indonesian pilgrims remain hospitalised in Saudi Arabia and will be repatriated once declared fit to fly. The government continues to monitor their condition and affirms its responsibility for their care. The minister also noted 350 pilgrim deaths this season, vowing to strengthen health screening requirements for future departures.

Market Responds Positively to MSCI Announcement

The Jakarta Composite Index rose 0.71% after MSCI retained Indonesia's emerging market status in its 2026 review, a decision welcomed by market players. Economists noted that while the announcement removes short-term downgrade risk, Indonesia must still demonstrate tangible improvements in market transparency and integrity before the next evaluation in November 2026. The focus now shifts from policy design to consistent implementation to maintain investor confidence.

Acehnese Mother and Her Baby Allegedly Tortured to Death in Malaysia

An Indonesian woman from Aceh Tamiang and her prematurely born baby have allegedly been tortured and killed in Selangor, Malaysia. The victim, a 22-year-old migrant worker, was reportedly subjected to severe physical abuse that induced early labour before both she and the infant died. A female suspect has been arrested by Malaysian authorities, and Indonesian officials are assisting with the repatriation of the bodies.

Disabled Dutchman Gets 3 Years in Prison for Growing Marijuana in Bali

A Denpasar court sentenced wheelchair-bound Dutch national Nirul Rashim Abdoelrazak to three years in prison for cultivating marijuana hydroponically in North Denpasar, far less than the nine years sought by prosecutors. His Russian wife accepted an eight-month sentence as an accomplice, while prosecutors consider appealing the reduced penalty. The case highlights the application of Indonesia's strict narcotics laws to foreign nationals in Bali.

Popular: JIS Footbridge Inaugurated, 8% Ride-Hailing Commission from 1 July

A roundup of key Indonesian news includes the inauguration of a pedestrian bridge linking Jakarta International Stadium to Ancol, prompting a review of special zone tariffs. In a significant regulatory development, GoTo and Grab have agreed to reduce their commission for ride-hailing drivers to 8 per cent starting 1 July 2026, following a meeting with the Deputy Speaker of the House of Representatives. Other notable items cover Iran's Strait of Hormuz operations, a hajj city tour evaluation, and a criminal investigation in West Java.

IHSG Strengthens on Positive Market Response to MSCI's Retention of Indonesia's Emerging Market Status

The Jakarta Composite Index (IHSG) opened higher on Wednesday, buoyed by investor relief after MSCI decided to maintain Indonesia's classification as an Emerging Market. Analysts noted that while the decision acknowledges ongoing capital market reforms, foreign investor confidence remains fragile due to policy and political stability concerns. MSCI has also warned that it could reconsider Indonesia's status, potentially reclassifying it as a Frontier Market, if sufficient progress is not observed by its November 2026 review.

Papua Barat Daya Police Distribute 20,000 Litres of Clean Water to Sorong Residents

The Papua Barat Daya Regional Police have distributed 20,000 litres of clean water to 160 families in Sorong Regency as part of the 80th Bhayangkara Day commemorations. The initiative aims to alleviate the community's water shortage and strengthen ties between the police and the public. The distribution was carried out by joint personnel from the Mobile Brigade and Samapta Directorate across several locations in the regency.

Industry Ministry Denies Two Japanese Auto Parts Factories in Indonesia Are Relocating

Indonesia's Ministry of Industry has refuted claims that two Japanese automotive component factories in East Java plan to relocate to Vietnam. The ministry confirmed both factories are operating normally, while labour unions are engaging in negotiations to prevent potential layoffs and push for policies supporting the electric vehicle industry in Indonesia.

BTN Considers Share Buyback, Citing Undervalued Price

State-owned bank BTN is exploring a share buyback plan, citing its currently undervalued stock price. The repurchased shares would be allocated for employee stock ownership programmes. The move aligns with views from Indonesia's Danantara investment body, which considers buybacks a normal corporate action for companies with strong fundamentals.

Phapros Disperses Eco-Enzyme in Semarang Waterways

State-owned pharmaceutical company PT Phapros Tbk released eco-enzyme liquid into the Sam Poo Kong area waterways in Semarang as part of its 72nd anniversary celebrations. The initiative aims to reduce organic waste and improve water quality, symbolising the company's commitment to environmental sustainability. The event was part of a broader corporate social responsibility programme that also included sacrificial meat distribution and blood donation drives.

Gojek and Grab Commission Cut to 8% Starting 1 July 2026

Indonesia's two largest ride-hailing platforms, Gojek and Grab, have agreed to reduce their commission fees for motorbike taxi drivers to 8%, effective 1 July 2026. The decision follows directives from President Prabowo Subianto and discussions with parliamentary leaders, aiming to improve driver welfare. The move will see drivers retain 92% of passenger fares, a significant increase from previous rates that could reach 20%.

Two Kopdes Merah Putih Participants Die During Basic Military Training

Two participants of the Kopdes Merah Putih programme have died during basic military training, the Ministry of Defence has confirmed. Anisa Muyassaroh died from heat stroke in Balikpapan, while Yonanda Muhammad Taufiq suffered a cardiac arrest in Baturaja. The deaths have prompted official confirmation and medical explanations from the authorities.

Habiburokhman Praises Police for Swift Arrest of Taufik Hidayat: Demand Maximum Sentence!

House Commission III Chairman Habiburokhman has commended West Java Police for the rapid arrest of Taufik Hidayat, accused of the false imprisonment and brutal assault of a woman in Bandung. He urged law enforcement to apply multiple criminal charges carrying the heaviest possible penalties, including under the Sexual Violence Crime Law if applicable. The Commission pledged to oversee the legal process to ensure justice and a strong deterrent effect.

Chicken Price Crash: Farmers' Association Reveals Structural Roots Beyond Oversupply

The Indonesian Independent Farmers Association (Permindo) asserts that the recent plunge in live chicken prices to Rp 15,000-17,000 per kg is not merely due to oversupply but stems from structural supply chain issues. They highlight a domino effect starting from changes in imported feed raw material procurement, leading to liquidity pressures, panic selling, and a market structure that unfairly squeezes small-scale farmers. With production costs rising to Rp 22,000 per kg, farmers are suffering losses of up to Rp 10,000 per bird.

Jakarta's Labour-Intensive Programme Sees Enthusiastic Response, Hundreds of Thousands Register

The Jakarta provincial government's labour-intensive work programme has received an overwhelming response, with around 100,000 registrations for its first phase. Designed as an economic cushion amid global pressures, the scheme offers temporary jobs in city maintenance without educational requirements, prioritising residents in lower welfare brackets. Governor Pramono Anung has emphasised transparency and a ban on nepotism in the selection process.

When Chillies Cost More Than Meat, Bank Indonesia Speaks Out

Bank Indonesia has addressed the phenomenon of chilli prices exceeding those of meat in some regions, attributing it to volatile food inflation. The central bank is actively collaborating with local governments through its regional offices to mitigate such price fluctuations. It also aims to support sustainable economic growth by empowering local agriculture and exploring global export opportunities.

1,527 enumerators deployed for 2026 Economic Census sweep of business premises in South Jakarta

Indonesia's Central Statistics Agency (BPS) has deployed 1,527 field officers to conduct a door-to-door listing of all business establishments in South Jakarta as part of the nationwide 2026 Economic Census. The enumeration, running from 15 June to 31 August 2026, aims to map the number, characteristics, and distribution of enterprises from large corporations to micro and small businesses. The resulting data will underpin future economic planning, development strategies, and policies on business support and employment.

Justice Collaborator Status Denied, Sony Sonjaya's Legal Team Speaks Out

The legal team for former BGN deputy head Sony Sonjaya has expressed disappointment after prosecutors rejected his application for justice collaborator status in the free school meals corruption case. The defence argues that Sonjaya has shown good faith by providing numerous names and evidence, while prosecutors maintain he is a main perpetrator who has not fully admitted his role.

Komnas HAM Member: Presidential Regulation Needed for Recovery of Gross Human Rights Violation Victims

A member of Indonesia's National Commission on Human Rights (Komnas HAM) has urged the government to issue a presidential regulation to provide legal certainty for the recovery of victims of gross human rights violations. The current legal basis, Presidential Instruction No. 2 of 2023, is deemed insufficient, and a new regulation is needed to establish a firm state policy. The official also stressed the importance of reinstating an independent monitoring team to ensure the programme is properly implemented.

Extreme Heatwave Engulfs Europe, Nations on High Alert

A severe heatwave, driven by a 'heat dome' phenomenon, is sweeping across Europe, with temperatures forecast to exceed 40°C in several countries. Governments in the UK, Spain, France, Italy, and Germany have issued top-level red alerts, closing schools and warning of significant health risks and wildfires. The UN Secretary-General has linked the extreme weather directly to the climate crisis and fossil fuel dependency.

Tens of Thousands of Passengers Take Advantage of Train Ticket Discounts in Daop 2

Tens of thousands of passengers have utilised a 30% discount on commercial economy class train tickets offered by PT KAI in the Bandung Operational Area 2 during the 2026 school holiday period. The programme, part of a government economic stimulus to boost mobility, has seen 47,878 passengers take advantage of the offer, achieving a 73.2% occupancy rate. The promotion runs from 20 June to 5 July 2026.

Fortinet: Cyber Threats to Indonesia's Critical Infrastructure Accelerating, Organisations Must Strengthen Digital Resilience

Fortinet Indonesia warns that cyber threats targeting the nation's critical infrastructure are intensifying as IT and Operational Technology systems converge. Attackers are now leveraging automation and artificial intelligence to speed up reconnaissance and lateral movement, shortening the time between penetration and operational impact. The company urges organisations to adopt comprehensive visibility, network segmentation, and Zero Trust approaches to safeguard essential public services and economic stability.

US Secretary of State Rubio Affirms Lebanon Matters Discussed Separately from US-Iran Deal

US Secretary of State Marco Rubio stated that Washington will negotiate directly with Lebanon's sovereign government on issues concerning the country, separate from any US-Iran agreement. He noted that Iran's support for Hezbollah would be addressed in talks with Tehran, while Lebanon's future remains in the hands of its people and elected authorities. Rubio's comments come amid US-facilitated negotiations between Lebanon and Israel in Washington.

Wet Wipe Producer FLMC Shares Suspended by IDX After 51% Plunge in a Month

The Indonesia Stock Exchange (IDX) has temporarily suspended trading of PT Falmaco Nonwoven Industri Tbk. (FLMC) shares effective 24 June 2026. The suspension follows a significant cumulative price decline of over 51% within a single month, with the stock falling to 72 per share. The exchange stated the halt aims to give market participants adequate time to make informed investment decisions.

Ministry of Industry Denies Relocation and Layoff Rumours at Two Automotive Component Firms

Indonesia's Ministry of Industry has refuted reports that two automotive component manufacturers, PT. JAI and PT. SAI, plan to relocate their production facilities to Vietnam and conduct mass layoffs. The ministry confirmed both East Java-based companies are operating normally and continue to contribute to national exports.

North Jakarta Administration to Regulate Heavy Vehicle Parking

The North Jakarta municipal government is set to reorganise parking for heavy vehicles, particularly trucks and containers, which are frequently found in residential areas and on main roads. The initiative aims to improve public safety, comfort, and spatial planning, with plans to form an integrated team and engage business operators to find comprehensive solutions, including the provision of dedicated parking facilities.

Economist: MSCI Review Marks Start of Proof Phase for Indonesian Capital Market Reform

Trimegah Sekuritas' chief economist views MSCI's decision to keep Indonesia in the Emerging Market category as the beginning of a phase where the country must prove its reforms are effective. The focus has shifted from designing reforms to demonstrating tangible improvements in transparency, price formation, and market integrity. The review explicitly acknowledged progress made by Indonesian financial authorities.

Government to Fully Cover VAT on Domestic Economy Flight Tickets Until 5 July

The Indonesian government has officially announced a 100% VAT subsidy on domestic economy class flight tickets for the school holiday period. The incentive, regulated by Finance Ministerial Regulation No. 43/2026, applies to tickets purchased between 22 June and 5 July 2026, for flights taken within the same period. The subsidy covers the VAT on the base fare and fuel surcharge, while taxes on ancillary services like extra baggage and seat selection remain payable by the passenger.

Packaged Cooking Oil and Red Chilli Prices Rise: Latest Food Commodity Update

Bank Indonesia's National Strategic Food Price Information Centre reported a rise in the price of branded packaged cooking oil by Rp300 to Rp24,500 per litre, alongside an increase in curly red chilli prices by Rp1,350 to Rp57,700 per kg. The report provides a comprehensive snapshot of staple food prices as of Wednesday morning, 24 June 2026, covering various rice qualities, meats, and other essential commodities.

Case Files Submitted, Roy Suryo and Doctor Tifa Await Trial in Jokowi Fake Diploma Case

The East Jakarta Prosecutor's Office has officially transferred the case files of Roy Suryo and Tifauzia Tyassuma, also known as Doctor Tifa, to the East Jakarta District Court. The two are defendants in a criminal case related to allegations of a fake diploma belonging to former President Joko Widodo. The court will now review the administrative completeness of the files before appointing a panel of judges and scheduling the first hearing.

Komnas HAM Urges New Presidential Regulation to Ensure Recovery of Gross Human Rights Violation Victims

Indonesia's National Commission on Human Rights (Komnas HAM) is urging the government to issue a new Presidential Regulation to provide a stronger legal basis for victim recovery programmes. The current policy, based on a 2023 Presidential Instruction, has expired, creating legal uncertainty for the continuation of health, education, and economic empowerment programmes. Komnas HAM also stressed the need to re-establish an independent monitoring team to ensure state accountability and that victims are treated as rights holders, not merely social aid recipients.

Asian Currencies Tumble, Rupiah and Philippine Peso Hit Hard, Yen Stands Alone in Green

Most Asian currencies weakened against the US dollar on Wednesday, with the Indonesian rupiah and Philippine peso suffering the steepest declines. The rupiah fell 0.64% to near the psychological level of Rp18,000/US$, driven by a global flight to the safe-haven dollar amid a sell-off in technology stocks. The Japanese yen was the sole gainer, rising marginally as markets priced in higher odds of further US interest rate hikes.

Bread Flour Issuer (BRRC) Reshuffles Board of Directors and Commissioners

PT Raja Roti Cemerlang Tbk (BRRC), a bread flour issuer, has restructured its board of directors and commissioners, effective 19 June 2026. Agus Sumarjito was appointed as President Commissioner, replacing Afiful Mahis, while Nurjihan Khairunisa was named Director, succeeding Dicky Chandra Hermawan. The reshuffle comes as BRRC's shares have declined 45.87% year-to-date, with President Director Ari Sudarsono holding a 43.43% controlling stake as of October 2025.

Fugitive Taufik Hidayat Still Active on Dating App Before Arrest, Profile Bio Sparks Outrage

Taufik Hidayat, a suspect in a high-profile kidnapping and abuse case, was reportedly still active on the OMI dating app shortly before his arrest. Screenshots show his profile, under the alias 'Yuda', matched with a woman near Cileunyi, with a bio stating he was 'trying to build exercise habits' and 'looking for a life partner'. Police confirmed the suspect had evaded capture multiple times before finally being apprehended.

BRIN urges use of AI and digital technology to curb agricultural emissions

Indonesia's National Research and Innovation Agency (BRIN) is advocating for the adoption of artificial intelligence and digital tools in farming to reduce greenhouse gas emissions while boosting productivity. The agency highlights innovations such as intermittent irrigation and AI-based emission monitoring as key to transforming food systems. BRIN also stresses the need for investment, local adaptation, and international collaboration to scale these technologies beyond pilot projects.

After Two Failures, Andy Burnham Now a Candidate for UK Prime Minister: Who Is He?

Andy Burnham, the Mayor of Greater Manchester, has confirmed his intention to run for leader of the Labour Party and UK Prime Minister following Sir Keir Starmer's resignation. Having previously lost leadership bids in 2010 and 2015, Burnham now enjoys significant parliamentary support and recently secured a by-election victory in Makerfield. His political journey spans from a working-class upbringing in Liverpool to a prominent role in devolved transport policy with the 'Bee Network'.

Pertamina Gifts Dozens of Motorcycles to Online Drivers Active in MyPertamina Digital Ecosystem

PT Pertamina Patra Niaga has awarded 25 Yamaha Lexi motorcycles to online motorcycle taxi drivers as part of its BOOM loyalty programme. The initiative rewards drivers who consistently purchase Pertamax Series fuel through the MyPertamina app. The programme will distribute a total of 100 motorcycles nationally across three draw periods until October 2026.

AMPHURI Criticises Centralised E-Wallet Discourse for Umrah Management

The Indonesian Muslim Pilgrimage Organisers Association (AMPHURI) has voiced concerns over the Ministry of Hajj and Umrah's proposed e-wallet system, warning it could lead to overly centralised control. During its 2026 national conference, the association stressed the need for industry involvement in drafting derivative regulations under the new Hajj and Umrah Law. While acknowledging the potential for greater transparency, AMPHURI cautioned that the e-wallet plan might impose new burdens on pilgrimage travel operators.

Hezbollah Leader Demands Full Withdrawal of Israeli Forces from Lebanon

Hezbollah Secretary-General Naim Qassem has insisted that Israel must completely withdraw from all Lebanese territory, stating there is 'no other choice'. He declared that Israel's project to eliminate the group had failed and called for the full implementation of the ceasefire agreement, including a halt to all attacks and the return of displaced residents.