Indonesian Political, Business & Finance News

Archive: 11 August 2026

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More Illegal Tree Felling Discovered in Bandung, This Time in Dago

The Bandung City Government has uncovered further instances of illegal tree felling, this time along Jalan Ir H Juanda in the Dago area. Three felling sites have been sealed by municipal police, adding to previously identified locations on Jalan Sawunggaling and Cijerah. Mayor Muhammad Farhan confirmed that follow-up actions are pending for all marked sites.

Riyadh Group Indonesia Plans 5,000-Hectare Integrated Tourism Investment in Mentawai

Riyadh Group Indonesia (RGI) has signed a memorandum of understanding with the Mentawai Islands Regency to develop a 5,000-hectare integrated tourism destination. The project aims to attract global investors and will incorporate eco-green concepts, renewable energy, and digital infrastructure. Local officials are seeking to designate the development as a National Strategic Project and a Special Economic Zone to boost its international competitiveness.

Gold Records Best Weekly Gain in Seven Months as Investors Return

Gold prices surged nearly 7% this week, marking their strongest performance since January, driven by a weaker US dollar, falling Treasury yields, and softer US jobs data. The rally has reignited investor interest, with analysts pointing to bullish signals in gold mining stocks and options markets. Central bank buying, particularly by China, continues to provide a strong foundation for the precious metal.

KKP Rescues 1,286 Turtle Eggs in Sambas

The Ministry of Marine Affairs and Fisheries (KKP) has assisted in the rescue of 1,286 turtle eggs discovered in Sambas Regency, West Kalimantan. The eggs, identified as belonging to green and hawksbill turtles, were found during a military patrol and a quarantine operation. Fertile eggs are being incubated, while authorities continue to coordinate conservation and law enforcement efforts.

Defence Minister's Special Staff Calls for End to Violence Against Civilians in Papua

A special staff member to Indonesia's Defence Minister has urged the West Papua National Liberation Army (TPNPB) to immediately cease acts of violence and threats against civilians in Papua. The appeal follows a series of attacks, including killings, torture, and the burning of school facilities. The official also called for an end to threats aimed at preventing public participation in the upcoming Independence Day commemorations.

SBY to Miss 81st Independence Day Ceremony Due to Medical Check-Up

Former President Susilo Bambang Yudhoyono will be absent from the annual MPR session and the 81st Independence Day ceremony at the Merdeka Palace as he undergoes a medical check-up in the United States until the end of August. The Democratic Party confirmed his absence, while other national figures, including former Vice President Jusuf Kalla, are expected to attend the events scheduled for August 14.

KPK Prosecutors Reveal Impact of Hajj Quota Corruption: Thousands of Pilgrims Failed to Depart

Prosecutors have detailed how the alleged manipulation of additional hajj quotas by former Religious Affairs Minister Yaqut Cholil Qoumas led to thousands of eligible pilgrims being denied departure. The indictment states that Yaqut unilaterally altered the quota distribution agreed with parliament, allowing certain special hajj operators to freely trade quotas and charge acceleration fees. The alleged corruption resulted in state losses estimated at IDR 622 billion.

Customs Foils Smuggling of 8.96 Million Illegal Cigarettes at Tanjung Priok

The Tanjung Priok Customs and Excise Office has thwarted an attempt to smuggle 8.96 million illegal cigarettes without excise stamps. The illicit goods, valued at Rp13.305 billion, were discovered in two containers originally declared as pipes and lightweight steel. The operation prevented potential state losses of Rp8.669 billion in unpaid excise duties and taxes.

Roads Around Presidential Palace Begin to Close for Independence Day Preparations

Traffic adjustments and road closures have commenced around the Presidential Palace in Jakarta as preparations for the 81st Indonesian Independence Day ceremony begin. The government has also significantly expanded public capacity, adding 3,400 seats for invited guests after over 336,000 people registered for only 5,500 available spots.

IHSG Opens in the Green, Then Plunges: Here's the Culprit

The Jakarta Composite Index (IHSG) reversed its early gains to close the first trading session on Tuesday in the red, falling 0.87% to 6,309.87. The decline was broad-based, with all sectors weakening and heavy pressure from large-cap stocks, particularly PT Bank Central Asia Tbk (BBCA).

Digital Literacy Prototype 'Sikomhati' Implemented at Yogyakarta High School to Combat Bullying

A digital literacy prototype called Sikomhati.id, developed by UPN Veteran Yogyakarta, has been implemented at SMAN 1 Seyegan to reduce bullying and cyberbullying. The programme, which includes a 'heart communication' concept, involves a five-week treatment period for students followed by independent use by the school. The initiative aims to address the growing social and mental health challenges among Generation Z, including a noted link between negative online behaviour and street crime.

Gold ETF to boost Indonesia's position as investment hub: minister

Coordinating Minister Airlangga Hartarto stated that the newly launched Gold ETF will strengthen Indonesia's gold investment ecosystem and enhance its competitiveness as an investment hub. He noted that gold managed through state-owned Pegadaian has risen to 153 metric tons, valued at around US$20 billion, surpassing India's gold ETF market. The minister also claimed Indonesia has overtaken Singapore in the gold sector following the establishment of its bullion bank, positioning gold as a key safe-haven asset amid economic uncertainty.

Polda Metro Jaya Conducts 51 Reconstruction Scenes in Depok Mutilation Case

The Jakarta Metropolitan Police have completed a reconstruction of the murder and mutilation case in Depok, involving 51 scenes. The re-enactment yielded new facts, leading investigators to charge the suspect with multiple offences, including premeditated murder and violent theft resulting in death. The victim, found bound in a sack with missing lower limbs, remains unidentified.

Tidal Flooding Hits West Lombok Coast, Residents Anxious

Tidal flooding has inundated coastal areas of West Lombok, Nusa Tenggara Barat, for four consecutive days, causing damage and forcing some residents to consider evacuation. The floodwaters have entered homes, broken a boat, and prevented families from cooking, heightening anxiety particularly at night. The local disaster agency has surveyed the damage and is awaiting data from village heads to coordinate short-term relief, while residents urge the government to provide aid and a long-term solution to the annual phenomenon.

IIGCE 2026 to Discuss Accelerating Geothermal to Support Indonesia's Energy Transition

The Indonesian Geothermal Association (Inaga) will host the 12th Indonesia International Geothermal Convention and Exhibition in August 2026, focusing on accelerating geothermal development for national energy security. The event is scheduled to feature keynote addresses from President Prabowo Subianto and other senior ministers, highlighting the government's commitment to geothermal as a baseload power source.

West Manggarai Regency Waives 17 Years of Property Tax Penalties for 81st Independence Day

The West Manggarai Regency administration in East Nusa Tenggara is offering a one-month amnesty on administrative sanctions for overdue rural and urban land and building tax (PBB-P2) to mark Indonesia's 81st Independence Day. The waiver covers tax arrears from 2008 to 2025 for payments made between 1 and 30 August 2026. The policy aims to boost regional revenue and improve taxpayer compliance, as the region's locally generated income has only reached 50.56 percent of its 2026 target.

Reason Pramono Appoints TransJ to Manage Transport to Thousand Islands

Jakarta Governor Pramono Anung has explained the decision to transfer management of transport services to the Thousand Islands to city-owned operator PT Transjakarta, citing its proven experience and transparent management. The move, effective next year, aims to professionalise services currently run by the Transportation Agency. Coordinating Minister for Infrastructure Agus Harimurti Yudhoyono also expressed support, emphasising the need for more accessible and affordable connectivity for residents.

Istiqlal Mosque's Plan to Enter Indonesian Capital Market Still a Discourse, Says OJK

Indonesia's Financial Services Authority (OJK) has stated that the plan for the Istiqlal Mosque to enter the capital market through productive endowment (wakaf) management is still just a discourse. The OJK is awaiting clarity on the specific scheme, although it confirmed that the necessary investment instruments and intermediary institutions are already available. The regulator emphasised that any future placement of endowment funds in the capital market must comply with all prevailing laws and regulations.

Hormuz Tensions and MSCI Rebalancing Send JCI Tumbling

The Jakarta Composite Index fell over 1% to the 6,200 level amid renewed global risk aversion driven by fading peace hopes in the Strait of Hormuz and rising oil prices. Market participants are also positioning ahead of the MSCI rebalancing, though the rupiah found some support from the positive reception to Destry Damayanti's nomination as the sole candidate for Bank Indonesia Governor.

iPhone Production Costs Surge to 'Irrational' Levels, Impacting Apple and Android Makers

Research firm TrendForce reports that Apple is facing a sharp increase in component costs for the upcoming iPhone 18, with the Bill of Materials potentially rising by 38% year-on-year. To avoid weakening consumer demand, Apple is expected to absorb some of these costs by reducing its gross margins rather than raising retail prices. The report notes that Android manufacturers, particularly those in the entry-level and mid-range segments, face even greater pressure and are more likely to pass the increased costs directly onto consumers.

Deputy Minister: Indonesia Has a Large Gaming User Base

Deputy Minister of Creative Economy Irene Umar stated that Indonesia possesses a substantial gaming user base, particularly in the mobile sector. She emphasised that the entry of global companies like Nintendo should include access to their development ecosystems and training to help local developers penetrate the international console market.

Golo Koe Festival in Labuan Bajo showcases faith, culture, and unity

The Golo Koe Festival in Labuan Bajo has been recognised as a premier national event, blending religious tradition with cultural performances to drive tourism and local economic growth. The festival generated an economic turnover of Rp2.82 billion in 2025, involving hundreds of MSMEs and creating over a thousand job opportunities. Officials emphasised that the event demonstrates how community-rooted spiritual and cultural values can be a powerful engine for sustainable tourism development.

Three Police Officers Arrested by NTB Police in Drugs Case, Two Test Positive for Methamphetamine

Three police officers in West Nusa Tenggara have been arrested for alleged drug abuse and trafficking during an anti-narcotics operation. Two of the officers, including one from the NTB Police's own narcotics directorate, tested positive for methamphetamine. The third officer, arrested in Bima, is suspected of supplying drugs but has no connection to a former police chief recently convicted in a separate drug case.

Kubu Raya receives 2,444-unit allocation for Merah Putih home renovation programme

Kubu Raya Regency in West Kalimantan has been allocated 2,444 units under the national Bedah Rumah Merah Putih home renovation scheme, the largest quota in the province. The allocation represents a 240 percent increase from 2025, driven by relaxed eligibility rules that now accept village-issued land tenure letters instead of formal certificates. Local officials welcomed the policy shift, noting it will help address over 1,000 riverside homes previously excluded due to administrative barriers.

Mondevita Acquires Majority Stake in Underscore District to Build Italian Luxury Platform

MondeVita has acquired a majority stake in Milan-based brand accelerator Underscore District, marking its second step in building a new Italian luxury platform. The deal adds brand development, retail, and digital commerce capabilities to MondeVita's existing manufacturing strength, following its earlier acquisition of tailor Raffaele Caruso. The transaction includes brands Magliano and GR10K, as well as retailer WOK Store, as MondeVita aims to consolidate independent labels amid a broader luxury slowdown.

Tangerang City Undergoes Field Verification for 2026 PTSP and PPB Performance Assessment

A team from the Ministry of Investment and Downstreaming/BKPM is conducting a field verification in Tangerang City as part of the 2026 Performance Assessment for One-Stop Integrated Services (PTSP) and Business Licensing Acceleration (PPB). Tangerang is one of six nominees selected from across Indonesia, with the final assessment focusing on infrastructure, human resources, and operational standards. Local officials emphasised that the goal is to improve public service quality and transparency, not merely to win an award.

Sayuti Melik: The Man Who Typed the Indonesian Proclamation of Independence

Sayuti Melik, a nationalist journalist and activist, played a pivotal role in Indonesia's independence by typing the final draft of the Proclamation text on 17 August 1945. He was also involved in the Rengasdengklok incident, which pressured Soekarno and Hatta to declare independence. Beyond the Proclamation, Melik remained active in politics, later serving in the Indonesian parliament.

Bapenda DKI Building Fire Case Transferred to Polda Metro Jaya

The investigation into the fire that damaged the DKI Jakarta Regional Revenue Agency (Bapenda) building has been transferred from the Gambir Metro Police to the Polda Metro Jaya's General Criminal Investigation Directorate. A joint crime scene investigation involving the National Police Forensic Laboratory is currently underway to determine the cause of the blaze. The fire, which occurred on Friday night, gutted floors 11 through 16 of the building.

APPI Explains Reliance on Debt Collectors Amidst Rising Financing Risks

The Indonesian Financing Companies Association (APPI) has defended the use of debt collectors, stating it is a necessary recovery measure as finance firms themselves owe money to banks. The association urged collectors to act within legal boundaries, while the Financial Services Authority (OJK) highlighted the growing challenge of maintaining healthy non-performing financing ratios.

Meranti Police Conduct Patrols to Prevent Forest Fires, Educate Residents via Loudspeakers

The Kepulauan Meranti Police have intensified patrols and door-to-door education to prevent forest and land fires. The police chief has instructed officers to strengthen early detection and public awareness campaigns down to the village level. Residents are being reminded of the legal consequences of slash-and-burn land clearing.

Airlangga Raises MSME Financing Target to Rp 2,000 Trillion

Coordinating Minister for Economic Affairs Airlangga Hartarto has increased the national micro, small, and medium enterprise (MSME) financing target to Rp 2,000 trillion. The move aims to accelerate credit disbursement from the current Rp 1,519.1 trillion and bridge the financing gap for underserved businesses. The government also emphasised the need for digitalisation and ecosystem strengthening to help MSMEs scale up, drawing lessons from India's success in the sector.

Coordinating Minister Airlangga Proposes Raising MSME Credit Target to IDR 2,000 Trillion

Coordinating Minister for Economic Affairs Airlangga Hartarto has proposed increasing the credit target for micro, small, and medium enterprises (MSMEs) to IDR 2,000 trillion, up from the current level of around IDR 1,500 trillion. The proposal aims to broaden financing access for businesses that have yet to receive adequate funding. The Financial Services Authority (OJK) has affirmed its commitment to strengthening the MSME ecosystem in line with President Prabowo Subianto's directives.

Rupiah Runs Out of Steam, US Dollar Climbs Back to Rp17,830

The Indonesian rupiah weakened against the US dollar on Tuesday, snapping a four-day strengthening streak as markets awaited key US inflation data. The greenback found support from rising oil prices and a firmer dollar index, while domestic focus remained on the upcoming central bank leadership transition.

Minister of Agriculture Signs Feed Subsidy Decree, Vows to Crush Feed Mafia Ahead of Farmers' Protest

Agriculture Minister Andi Amran Sulaiman has signed a decree for the Stabilisation of Food Supply and Prices (SPHP) to provide subsidised feed and ensure the absorption of poultry products by the free nutritious meal programme. The minister stated these anticipatory measures were taken before a planned large-scale protest by farmers. He also declared war on feed mafias and corruptors, pledging to side with small-scale farmers.

Turkey Reaffirms Ban on Warships Passing Through Dardanelles and Bosphorus

Turkey has reiterated its strict prohibition on warships transiting its straits, dismissing reports of NATO pressure to expand military access to the Black Sea. Ankara emphasised its unwavering commitment to the Montreux Convention, which governs the passage of naval vessels through the Bosphorus and Dardanelles. The policy underscores Turkey's control over these strategically vital waterways amid ongoing regional tensions.

Unveiling the Future and Challenges of the Digital Banking Ecosystem

The rapid adoption of digital financial services in Indonesia is driving both conventional and digital banks to build integrated ecosystems. With digital payment transactions surging 36.88% in the first half of 2026, the industry is focused on delivering seamless and personalised user experiences. CNBC Indonesia's Digital Banking Forum aims to bring together regulators and industry players to discuss the future landscape, including super app differentiation and competitive strategy.

BCA Syariah posts Rp109.4 billion profit in first half of 2026

PT Bank BCA Syariah reported a net profit after tax of Rp109.4 billion for the first half of 2026, marking a 9.2% year-on-year increase. The growth was primarily driven by a 16.6% rise in financing income and a 20.5% expansion in total financing. The bank also highlighted significant growth in fee-based income, supported by a surge in digital transactions including a 280% jump in QRIS usage.

The Acehnese Ulama Most Feared by the Dutch Colonialists, Poisoned by a National Traitor

This historical account details the pivotal role of ulama in Aceh's resistance against Dutch colonial rule, focusing on Teungku Chik Di Tiro, a highly feared religious leader. After the fall of Aceh Besar, surviving fighters sought support from influential ulama in Pidie to continue the struggle. The article recounts how the Dutch, unable to defeat him in battle, resorted to having him poisoned by a traitor.

LX Pantos Strengthens Global ESG Commitment with 2026 Sustainability Report

South Korean logistics giant LX Pantos has published its 2026 Sustainability Report, expanding its environmental, social, and governance disclosures to include major overseas operations. The report details third-party verified greenhouse gas emissions and broadens transparency on human rights and labour practices across its global network. The company also highlighted its adherence to ethical management and received multiple sustainability accolades, including an EcoVadis Silver rating.

Excessive Screen Time Risks Triggering Squint in Children

An ophthalmologist has warned that excessive gadget use can worsen refractive errors and trigger strabismus, or crossed eyes, in children. The constant near-distance focus forces the eye's accommodation system to work continuously, potentially elongating the eyeball and leading to complications. Parents are advised to monitor and limit screen time according to age, implementing breaks such as the 20-20 rule to reduce risks.

Dasco Leads House Meeting with Government to Address Agrarian Conflict

The Indonesian House of Representatives (DPR) has held a coordination meeting with the government to tackle pressing agrarian issues. Deputy Speaker Sufmi Dasco Ahmad urged for swift resolution of field findings, noting that the grand design for agrarian reform would take too long. The meeting included the State Secretary Minister and the Minister of Agrarian Affairs and Spatial Planning to discuss urgent land conflicts.

Seribu Islands Regent Calls for Continued Development of Urban Farming

The Regent of Seribu Islands, Muhammad Fadjar Churniawan, has urged the ongoing expansion of urban farming programmes to bolster household food security. During a harvest event on Panggang Island, he highlighted the initiative's role in meeting local food needs and increasing community participation. Officials also noted the programme's educational value in teaching residents to utilise land for independent food production.

Indonesian Air Force Studies East Java Toll Roads as Emergency Aircraft Runways

The Indonesian Air Force (TNI AU) is evaluating sections of toll roads in East Java for potential use as alternative airstrips during emergencies. The Probolinggo-Banyuwangi toll road is among the routes being considered, though no final decision has been made. The assessment prioritises technical readiness, safety, and security to ensure operational continuity if primary air bases become unusable.

Drunk Student Driver Who Fatally Struck Police Officer in Bandung Handed Over, Two Military Personnel Also in Vehicle

A university student has been arrested in Bandung after driving under the influence of alcohol and fatally striking a police officer returning from patrol. The incident involved a borrowed car belonging to a military member, and two military personnel who were passengers in the vehicle have been handed over to the military command for investigation.

Bandung Relocates Kiaracondong Street Vendors, 800 Kiosks Prepared with 3 Months Free Rent

The West Java provincial government and Bandung city administration have cleared illegal structures and street vendors from the Kiaracondong area to restore road and pavement functions. Approximately 150 affected traders are being offered relocation to 800 available kiosks at the Bandung Trade Mall, with a three-month rent-free period to ease the transition. Officials emphasised a firm yet humane approach, stating the move aims to balance public order with the livelihoods of the vendors.

Australian PM Albanese Slammed Over Melon Joke About Japanese PM

Australian Prime Minister Anthony Albanese is facing fresh criticism for making a crude joke about a gift of premium melons from Japanese Prime Minister Sanae Takaichi. Opposition leaders have demanded an apology, calling the remarks disrespectful, but Albanese has refused to do so. The controversy follows a separate apology by Albanese for comments about singer Kylie Minogue made during the same podcast interview.

SCG: Young Generation Needs More Than Scholarships to Face Future Challenges

PT SCG Indonesia emphasises that financial aid alone is insufficient for youth facing complex challenges like technological disruption and economic inequality. Through its 14-year-old 'Sharing the Dream' programme, the company provides mentoring, skills training, and community projects to over 5,200 students. The initiative aligns with the Golden Indonesia 2045 vision by fostering a 'Green Active Generation' equipped with practical skills and environmental awareness.

Prabowo Orders Immediate Handling of Forest and Land Fires, Central Government Pledges Full Support

President Prabowo Subianto has instructed his administration to urgently tackle forest and land fires across several Indonesian regions. State Secretary Minister Prasetyo Hadi confirmed the central government will provide full support to local authorities and field teams. The government is also preparing weather modification operations to induce rain amid dry conditions caused by El Niño.

Bulog North Sumatra to Distribute Food Aid to 1.73 Million Beneficiaries This Week

The State Logistics Agency (Bulog) in North Sumatra will begin distributing rice aid to 1.73 million beneficiary families this week. The assistance covers three months—July, August, and September 2026—with each family receiving 30 kilograms of rice at once. The programme aims to support purchasing power and strengthen national food stability.

Police Confirm Saepul, Perpetrator of Depok Mutilation, Acted Alone

Jakarta Metropolitan Police have confirmed that Saepulah, also known as Saepul, was the sole perpetrator in the murder and mutilation of a man identified as K in Depok. The suspect allegedly targeted the victim via a social networking app with the initial intent to steal, before stabbing him with a prepared kitchen knife. The victim's dismembered remains were discovered after a local resident attempted to burn a sack believed to contain rubbish.