Indonesian Political, Business & Finance News

Archive: 26 June 2026

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The Philippines Emerges as Asia’s Renewable Energy Story

The Philippines is rapidly emerging as a major renewable energy market in Asia, driven by high electricity costs and energy security concerns following a surge in imported fuel prices. Solar panel imports, predominantly from China, have soared, while the government is also pushing ambitious offshore wind programmes to attract billions in investment. However, the expansion faces growing opposition from environmental and indigenous groups concerned about the ecological and social impacts of large-scale projects.

After a Year of Growth, Digital Asset Platform Records 1.8 Million Registered Users

Indonesian digital asset platform FLOQ has reached 1.8 million registered users and secured US$11.3 million in funding during its first year of operation. The company is shifting its focus from retail adoption towards institutional integration, announcing strategic collaborations with Ripple and Ondo Finance to introduce stablecoins and real-world asset tokenisation. FLOQ's CEO emphasised that the next phase of growth will depend on building trust, driving innovation, and fostering sustainable collaboration within the digital asset ecosystem.

Kepulauan Seribu Education Agency Uses Art to Build Students' Confidence

The Kepulauan Seribu Education Agency is utilising performing arts in open public spaces to boost students' self-confidence. The initiative, now in its second phase, provides a stage for children to express themselves outside the traditional classroom setting. A ministry official also emphasised the importance of fostering a love for learning to encourage natural practice and enjoyment.

Extreme Heat in Europe Persists, Forcing Nuclear Shutdowns and Causing Hundreds of Deaths

France's EDF has shut down two additional nuclear reactors as rising river temperatures breach environmental limits, bringing the total offline to three. Across Europe, over 100 million people are enduring extreme heat, with Germany potentially breaking its June temperature record. In Spain, an estimated 212 excess deaths have been linked to the heatwave, highlighting the continent's struggle with climate change and limited air conditioning penetration.

Legislator Urges PT Pos Indonesia to Accelerate Digital Transformation and Service Integration

A member of Indonesia's House of Representatives has called on state postal company PT Pos Indonesia to urgently pursue digital transformation and consolidate its fragmented assets. The legislator stressed that the company must convert its vast physical network into a competitive digital logistics ecosystem to survive. He also warned that government assignments should not become a financial burden for the state-owned enterprise.

12 Chinese Nationals Among Fugitives in Indonesian Illegal Gold Mining Case

Indonesia's Ministry of Energy and Mineral Resources has named 12 Chinese nationals as wanted fugitives in connection with illegal gold mining operations in Buru, Maluku. The suspects are part of a larger group of 26 individuals accused of running an unlicensed mining and processing facility. Authorities have seized evidence and are preparing to hand over the case for prosecution, while the Maluku regional government supports the crackdown to boost local economic growth.

Brantas Abipraya Accelerates Bulango Ulu Dam for Food Security

State-owned construction firm PT Brantas Abipraya is fast-tracking the completion of the Bulango Ulu Dam in Gorontalo, with progress now at 94.99 per cent. The National Strategic Project is designed to irrigate nearly 5,000 hectares of farmland, supply raw water, and generate 4.96 MW of micro-hydro power. Once operational, the dam is expected to bolster agricultural productivity, reduce downstream flooding by over 80 per cent, and stimulate local economic growth through tourism.

Panda Bond: How Purbaya Plans to Free Indonesia from Dollar Dependency

The Indonesian Ministry of Finance is turning to Panda Bonds as a strategic tool to diversify the country's financing sources and reduce its vulnerability to US dollar fluctuations. Officials argue that issuing debt in Chinese yuan, supported by a bilateral local currency transaction scheme, will secure cheaper financing and significantly ease exchange rate pressures on the state budget.

Kompas R&D Survey: Polri's Positive Image Rises to 71.5%

A Kompas Research and Development survey reveals a significant increase in public trust towards the Indonesian National Police (Polri), with its positive institutional image reaching 71.5%. The survey, conducted in April 2026, also recorded improvements in service satisfaction and perceived professionalism. This surge places Polri among the top five most trusted state institutions, with public confidence levels reportedly higher than those of the Attorney General's Office, the Supreme Court, and the Corruption Eradication Commission (KPK).

PLN's Coal Supply Dwindles Faster Than Expected, Bahlil Suspects Something Amiss

Energy and Mineral Resources Minister Bahlil Lahadalia has questioned the rapid depletion of PLN's coal stockpile, which fell to just 13 million metric tons by June despite an annual requirement of 154 million. An evaluation revealed that the coal received was of lower quality, requiring greater volumes to generate electricity. Bahlil criticised the state utility for failing to mitigate the issue earlier and only reporting the problem once a crisis loomed.

Bank Indonesia Launches Integrated MSME Entrepreneurship Transformation Programme 2026

Bank Indonesia has initiated a comprehensive entrepreneurship programme for MSMEs in 2026, aimed at creating jobs and strengthening the grassroots economy. The programme involves a three-stage process of certified entrepreneurial education, practical internships, and evaluation before participants receive business capital. Governor Perry Warjiyo emphasised the integrated approach ensures participants are fully prepared before accessing funding.

Another Bank Collapses, This Time in Central Java

The Financial Services Authority (OJK) has revoked the business licence of PT BPR Ceper Permata Artha, a rural bank in Klaten, Central Java, after it failed to recover from financial distress. The Indonesia Deposit Insurance Corporation (LPS) decided against rescuing the bank and will now proceed with its liquidation, while assuring depositors that their funds are protected under the existing guarantee scheme.

New Chapter in Germany-Russia Rivalry: Berlin Raids Russian National Over Gas Sabotage

German authorities have raided properties in Berlin and Frankfurt as part of an investigation into the alleged sabotage of the country's gas supply. The probe centres on the forced liquidation of Gazprom Germania, a subsidiary controlling a quarter of Germany's gas storage, shortly after its ownership was transferred to a Moscow-based firm. The case underscores the lasting rupture in German-Russian energy relations following the invasion of Ukraine.

Mamuju Man Steals 68 Grams of Neighbour's Gold to Fund Online Gambling

A 30-year-old man in Mamuju, West Sulawesi, has been arrested for stealing 68 grams of gold and cash from his neighbour's home. The suspect pawned the stolen gold to finance online gambling and pay off bank loan instalments. Police apprehended the perpetrator after the victim reported the theft, which occurred over two consecutive days.

BNPP Finalises Schedule for Inauguration of Temajuk-Telok Melano Crossing in West Kalimantan

Indonesia's National Border Management Agency (BNPP) is coordinating the accelerated opening of the Temajuk-Telok Melano border crossing in West Kalimantan, with a proposed inauguration in late August 2026. The initiative aims to boost tourism and economic activity in the border region, with plans to develop a Special Economic Zone. The opening is contingent on a reciprocal agreement between the Indonesian and Malaysian governments.

Airgun Seller in North Jakarta's Priok Rakes in Hundreds of Millions, Police Hunt Supplier

A man identified as MF has been arrested in Tanjung Priok, North Jakarta, for illegally selling airguns since 2023, amassing profits of up to 200 million rupiah. The suspect, who also assembled the weapons, faces up to 15 years in prison under Article 306 of the Criminal Code. Police are now pursuing the supplier, as the suspect has been uncooperative in revealing the source of the weapons.

Diduga PT Aneka Tusma Ajukan Rekomendasi Ditolak DPTR Kab Sukabumi

Dinas Penataan Ruang (DPTR) Kabupaten Sukabumi diduga menolak permohonan rekomendasi PT Aneka Tusma terkait penerbitan SKRK. Penolakan ini didasari pada ketidaksesuaian klasifikasi KBLI dalam sistem OSS RBA, dugaan keberadaan Lahan Sawah Dilindungi (LSD) pada lokasi yang dimohon, serta ketidaksinkronan data tata ruang. Kasus ini menyoroti perlunya pembenahan tata kelola perizinan dan integrasi sistem antara pusat dan daerah untuk mendukung kegiatan investasi dan ekspor.

Finance Ministry Official Confirms State Budget Remains Safe Despite Rupiah Weakness

Indonesia's Finance Ministry has assured that the state budget (APBN) remains secure and manageable despite the ongoing depreciation of the rupiah against the US dollar. Officials highlighted that the primary burden on the budget stems from global oil price increases due to Middle East tensions, which affect fuel subsidies, but efficiency measures and a balancing effect from the weaker currency are mitigating the impact. The government remains confident it can maintain the budget deficit below 3% of GDP by the end of 2026.

UN Chief Warns Multilateralism Faces Serious Challenges

UN Secretary-General Antonio Guterres has warned that multilateralism is confronting serious challenges, urging nations to strengthen cooperation to tackle global issues. Former UN chief Ban Ki-moon expressed concern over the weakening influence of international institutions, criticising the US withdrawal from various UN bodies. The remarks were made at the Jeju Forum for Peace and Prosperity, where former Japanese PM Yukio Hatoyama also condemned US and Israeli military actions against Iran as violations of international law.

Jokowi Visits Lampung Wearing Shirt and Cap with PSI Logo

Former Indonesian President Joko Widodo has commenced a nationwide tour, beginning with a visit to Lampung. He was seen wearing a white shirt and cap bearing the logo of the Indonesian Solidarity Party (PSI). Jokowi stated his schedule in Lampung, organised by volunteers and the party, is fully packed for the next three days.

The Populist Commitment of the Student Movement

The Prabowo-Gibran administration has demonstrated openness to criticism by engaging in direct dialogue with student activists. The student movement is recognised for its strategic position rooted in a commitment to the people's interests, continuing a long tradition of intellectual struggle. This approach of debate and discussion is seen as a mature way to address policy concerns, including populist programmes like the free nutritious meal initiative.

Jakarta's air quality ranks second worst in the world on Friday morning

Jakarta's air quality was classified as unhealthy on Friday morning, ranking as the second worst globally according to IQAir data. The city recorded an AQI of 166, with PM2.5 concentrations posing risks to sensitive groups. The Jakarta provincial government has outlined rapid response measures to tackle air pollution during the upcoming dry season, including enhanced monitoring and vehicle emissions testing.

Honouring Orphans in Muharram: The Basis and Traditions

The month of Muharram is widely associated with charitable traditions for orphans in Indonesia, particularly around the 10th day, despite no specific religious decree establishing it as a holiday for them. Islamic teachings strongly encourage the protection and care of orphans, a practice rooted in the Prophet Muhammad's own experience as an orphan. Observers and organisations emphasise that support should extend beyond temporary aid to include continuous education and empowerment opportunities.

Viral Video of Student Debate with UNY Officials Over SPPG, Campus Official Loses Temper

A video showing a heated exchange between students and a senior official at Yogyakarta State University (UNY) has gone viral. The Vice Rector for Human Resources and Law, Siswanto, reacted angrily to a student banner he deemed 'dirty', during a protest against campus policies. The demonstration, organised by the Garda Biru student alliance, opposed the planned establishment of a Nutrition Fulfilment Service Unit (SPPG), a triple gate policy, and mandatory health tests for new students.

Afghanistan Ranks Lowest in 2026 Global Children's Rights Index

Afghanistan has been placed last out of 194 countries in the 2026 Global Children's Rights Index, scoring just 0.214. The report highlights severe deficiencies in the protection and promotion of children's welfare, particularly in health, education, and safety. The index evaluates nations based on their adherence to international standards for upholding children's rights.

Police Clarify Firdaus Oiwobo Regarding Report Against Former UGM BEM Chair Tiyo

South Tangerang police have clarified the complainant, lawyer Firdaus Oiwobo, regarding his report against former UGM student leader Tiyo Ardianto for allegedly insulting President Prabowo Subianto. The investigation remains ongoing, with police indicating further examination may be required. Tiyo has stated he is prepared to cooperate if summoned and views the report as an attempt by the complainants to demonstrate loyalty to the president.

West Java Governor Ends Rp 250 Million Bounty, Funds to Be Given to Abuse Victim

West Java Governor Dedi Mulyadi has officially ended the Rp 250 million bounty for the capture of Taufik Hidayat, the perpetrator of a violent assault and confinement against Yuvita Tri Rezeki. Following the suspect's arrest by the West Java Police, the governor announced the reward money will instead be handed over to the victim's family. The handover of a bank deposit certificate is scheduled to coincide with Bhayangkara Day on 1 July.

WRI Introduces Ocean Calculator as a Geospatial Measurement Tool

World Resources Institute (WRI) Indonesia has launched a prototype Ocean Calculator, a geospatial platform designed to measure the economic value of marine and coastal ecosystems. The tool, developed with Australian and Indonesian universities, aims to strengthen data-driven public policy and sustainable investment in the fisheries sector. The Ministry of Marine Affairs and Fisheries has welcomed the instrument, noting its potential to inform both marine and land-based policy improvements despite existing funding challenges for conservation.

Mobile Samsat Services Available Across 14 Jadetabek Locations on Friday

The Traffic Directorate of Polda Metro Jaya is deploying mobile Samsat units across 14 locations in Jakarta, Depok, Tangerang, and Bekasi on Friday. These units offer convenient services for annual vehicle tax payments and STNK validation. Motorists are reminded to bring original and photocopied identity documents and vehicle registration, and that the service is only for annual tax payments, not five-yearly renewals.

Digital Financial Literacy Crucial for Families Facing School Holidays and New Academic Year

As Indonesian families navigate the financial pressures of school holidays and the upcoming academic year, experts stress the importance of digital financial literacy. Understanding the full cost of financial products, including administrative fees, is vital for making sound borrowing decisions. Transparent lending practices are highlighted as key to helping the public manage expenses without jeopardising their financial stability.

Serbia Urges EU, US to Prevent Kosovo from Terrorising Ethnic Serbs

Serbia has formally requested that Western powers, including the EU and US, intervene to stop what it describes as the terrorising of ethnic Serbs in Kosovo. The appeal follows a series of incidents, including the detention of Serb youths and the closure of Serbian institutions. Belgrade warns that around 20 percent of ethnic Serbs have recently left the region amid a surge in hate crimes.

Net Sell Shrinks, Foreign Investors Snap Up These Shares

Foreign net selling on the Indonesian stock market narrowed significantly to Rp299 billion on Thursday, down from Rp1.17 trillion the previous day. Global investors turned to selective buying, with PT Surya Timur Alam Raya and PT Dian Swastatika Sentosa among the top stocks purchased. The Jakarta Composite Index rebounded by 1.96% to close at 5,999.04, supported by domestic buying as foreign selling pressure eased.

Financial Centre with Tax Incentives: Is Indonesia Heading Towards Becoming a Tax Haven?

The Indonesian government's plan to establish an international financial centre offering special tax incentives has sparked debate over the potential for the country to become a tax haven. Coordinating Minister for Economic Affairs Airlangga Hartarto cited Singapore and Dubai as models, arguing that such facilities are necessary to attract massive investment flows. The initiative is mandated by a recently enacted law, which stipulates the creation of a special council and the application of bespoke tax treatments within the zone.

Victim of Taufik Hidayat: 'Let Him Feel What I Felt'

YTR, a woman held captive and tortured for three years in Bandung, has expressed relief following the arrest of her abductor, Taufik Hidayat. The victim, who is recovering in hospital with impaired vision, has called for the perpetrator to receive the maximum possible punishment. West Java Governor Dedi Mulyadi has also decided to award the Rp 250 million bounty originally offered for the suspect's capture to the victim in the form of a deposit certificate.

Vietnam's Rice Exports Projected to Reach 5 Million Tonnes in First Half of 2026

Vietnam is forecast to export approximately 5 million tonnes of rice in the first half of 2026, generating revenue of 2.36 billion US dollars. While export volume is projected to rise 5.7 per cent year-on-year, the value is expected to decline by 3.3 per cent due to lower global prices. The agriculture ministry noted that geopolitical factors continue to weigh on the global rice market, though easing tensions in the Middle East may support a recovery in trade activity.

Indonesia Secures Rp304 Trillion Funding Commitment from AIIB, Reveals Project Pipeline

Indonesia has secured a US$17 billion (approximately Rp304.55 trillion) funding commitment from the Asian Infrastructure Investment Bank (AIIB) for the 2025-2029 period. The funds are earmarked for eight National Strategic Projects, with initial focuses on food self-sufficiency and energy security. The Ministry of Finance clarified that the financing is commitment-based and will not directly increase national debt until specific projects are approved.

Mobile SIM service available at five Jakarta locations on Friday

The Metro Jaya Police's Traffic Directorate is operating mobile driving licence renewal services at five locations across Jakarta on Friday. The service, open from 8 a.m. to 2 p.m., only handles renewals for valid SIM A and SIM C licences. Applicants must provide required documents and pay renewal fees along with additional costs for mandatory psychological and health tests.

Kue Putu Moulded with PVC Pipes: The Hidden Dangers

An IPB University expert has warned against the use of PVC pipes as moulds for the traditional Indonesian steamed cake, kue putu. The high steaming temperatures can cause toxic plastic components, including carcinogenic substances and lead, to migrate into the food. The practice, adopted by some vendors as a substitute for bamboo, poses significant health risks.

Unable to Detect China's J-20, US Allocates Rp25.3 Trillion for E-7

The United States Department of Defence has allocated $1.55 billion for the procurement of E-7 Wedgetail early warning aircraft in the 2027 fiscal year, reversing a previous plan to cancel the programme. The urgency is driven by the ageing E-3 Sentry fleet's inability to detect modern stealth fighters like China's J-20. The funding shift underscores Washington's prioritisation of air force modernisation over certain naval aviation projects.

DSI can tighten export governance without hurting business: Apindo

The Indonesian Employers' Association (Apindo) has expressed support for the newly formed state entity DSI, stating it can curb illicit trade practices like under-invoicing through data integration and risk analytics without adding bureaucratic layers. Apindo emphasised that modernising export supervision must prioritise legal certainty and welcomed the recruitment of market professionals, while businesses await further details on transparency. The government confirmed DSI will initially oversee coal, palm oil, and ferroalloy exports, with a transition period until 2027 to allow businesses to adapt.

Asian Countries That Believe in the Afterlife: Where Does Indonesia Rank?

A World Values Survey reveals that 73.5% of Indonesians believe in life after death, placing the country seventh out of eleven Asian nations surveyed. Bangladesh tops the list with a 98.8% belief rate, while China ranks lowest at 11.5%. Within Southeast Asia, the Philippines leads with 83.8%, followed by Malaysia and Indonesia.

PPI Director Analysis: Prabowo Issues Warning to Parties Funding Protests

President Prabowo Subianto has claimed knowledge of parties funding recent demonstrations, prompting analysis from political observers. Adi Prayitno of Parameter Politik Indonesia interprets the statement as a warning that protests are under government surveillance and that some are being exploited to damage the administration's image. The President also linked the funders to corrupt individuals who dislike him for understanding their illicit activities.

Jakarta round-up: cancer detection drive, Blok M recommended as low-emission zone

The Jakarta provincial government has highlighted several key initiatives, including a North Jakarta health agency's call for regular cancer screenings for women and a recommendation to pilot a low-emission zone in Blok M. Other developments feature East Jakarta's efforts to bolster food security by utilising school land and a textile museum exhibition celebrating Indonesia's cultural heritage. The administration also emphasised the cultural and historical significance of the city's coastal areas.

Coal Supply Issues for Power Plants Resolved, Says Minister Bahlil

Energy and Mineral Resources Minister Bahlil Lahadalia has confirmed that supply problems for medium-rank coal required by steam power plants (PLTU) have been resolved. The disruption had previously caused electricity service interruptions in several regions. A special team has been formed to oversee coal procurement for PLN to prevent future supply issues that could threaten national energy security.

Wearing PSI Shirt and Cap, Jokowi Flies to Lampung

Indonesia's 7th President Joko Widodo has commenced a nationwide tour, with Lampung as his first destination. He was seen wearing attire bearing the logo of the Indonesian Solidarity Party (PSI). Jokowi stated his schedule in Lampung, organised by volunteers and the party, is fully packed over three days.

Crime roundup: Air gun seller arrested, debt collector intimidation investigated

Jakarta police have arrested a man for allegedly selling air guns in Tanjung Priok and thwarted a narcotics smuggling operation using Indian basmati rice packaging. In separate incidents, a motorcycle thief selling stolen goods on Facebook was apprehended, and authorities are investigating alleged intimidation by debt collectors against a motorcyclist in Rawamangun.

Iran Suspected of Attacking Singapore-Flagged Cargo Ship in Strait of Hormuz

Iran's Islamic Revolutionary Guard Corps is suspected of attacking a Singapore-flagged cargo vessel in the Strait of Hormuz without prior radio warning, causing damage to the ship's control centre but no injuries. The incident has disrupted maritime traffic in the Persian Gulf, prompting the International Maritime Organization to begin evacuating thousands of stranded seafarers. The attack occurs amid broader tensions, with over 70 tankers carrying around 20 million barrels of oil moving through the strait and ongoing negotiations involving maritime blockades and sanctions relief.

NATO Summit Restrictions Impact Residents in Turkish Capital

Ankara residents are bracing for a week of road closures, heightened security, and widespread restrictions as the city hosts a major NATO summit on 7-8 July. The extraordinary measures, including a ban on public gatherings and the deployment of 70,000 security personnel, are expected to significantly disrupt daily life. While authorities aim to balance security needs with urban activity, citizens and businesses are primarily concerned about practical challenges such as commuting and access to workplaces.

Credit unions play key role in strengthening Red and White Village Cooperative ecosystem, says LPDB

Indonesia's Revolving Fund Management Agency (LPDB) for Cooperatives has called on the credit union movement to support the government's strategic Red and White Village/Subdistrict Cooperative (KDKMP) programme. LPDB President Director Krisdianto stressed that credit unions should share their extensive experience in governance, member education, and economic empowerment with new cooperatives. The call was made during the annual members' meeting of the umbrella body INKOPDIT, where leaders emphasised that KDKMP is part of the broader cooperative family, not a competitor.

Zulhas Ensures BGN Partner Reports Will Be Reviewed: 'Partners Have Sacrificed a Lot'

Coordinating Minister for Food Zulkifli Hasan has assured partners of the National Nutrition Agency (BGN) that their concerns regarding the Free Nutritious Meal programme will be reviewed. He acknowledged the significant sacrifices made by partners and committed to involving them in future policy discussions. The partners have requested greater involvement in policymaking, legal protection, and improved communication with the agency.