Indonesian Political, Business & Finance News

Archive: 11 August 2026

Showing 1,351-1,400 of 1,526 articles

Indonesia's Economic Growth Bolstered by Domestic Consumption

Indonesia's economic resilience in the face of a global slowdown is being primarily supported by solid domestic consumption, according to the Permata Institute for Economic Research (PIER). While household spending has normalised after the Lebaran period, it remains the main growth engine, as rising global energy prices and limited external demand pose increasing risks. Economists stress the need for government action to maintain purchasing power and boost investment to ensure sustainable growth.

Map Showing Israeli Annexation of South Lebanon Sparks Outrage

Official Israeli social media accounts have sparked widespread anger after publishing a map that incorporated parts of southern Lebanon into Israel. The posts were later deleted without apology, while other government accounts kept the map online amid mounting political condemnation from Lebanon.

TNI hands evacuated villager to conflict-response team in Papua

The Indonesian military has evacuated a resident from a conflict-affected area in Intan Jaya, Central Papua, and handed them over to a response team for further assistance. The operation, conducted by the Habema Joint Operations Command, underscores the TNI's commitment to civilian protection amid ongoing security concerns linked to the OPM's Kodap VIII/Kemabu group. The military emphasised that difficult terrain and security threats will not deter its humanitarian mission in the region.

Abdul El-Sayed and the Beginning of a Foreign Policy Shift in the US Democratic Party

Abdul El-Sayed's narrow primary victory in Michigan signals a potential foreign policy shift within the Democratic Party, linking the war in Gaza and tensions with Iran to domestic economic concerns. His campaign successfully framed unconditional support for Israel and the economic fallout from Middle East conflicts as interconnected issues of moral and financial priority. The result suggests a weakening of the party's traditional foreign policy consensus, particularly among younger voters.

MUI Condemns Viral Quran Memorisation Challenge for Alcohol

The Indonesian Ulema Council (MUI) has strongly condemned a viral marketing stunt at a music festival that offered alcoholic beverages as a reward for reciting Surah Ad-Dhuha. The MUI stated the act desecrates the Quran and violates religious, moral, and legal norms, while the event organiser has apologised and reprimanded the sponsor.

Paspampres Deploys Advanced Weaponry and Anti-Drone Systems to Secure 81st Indonesian Independence Day

The Presidential Security Force (Paspampres) has readied 1,147 personnel and sophisticated military equipment, including anti-drone vehicles and CBRNE units, for the 81st Independence Day celebrations. Commander Major General Edwin Adrian Sumantha emphasised a proactive and preventive security approach, citing evolving threats such as drone attacks and cyber warfare. The deployment covers key state events from the solemn reflection ceremony to the main flag-hoisting proceedings.

Foreign Investors Scoop Up These 10 Stocks as JCI Slides

The Jakarta Composite Index (JCI) fell below the 6,400 psychological level, closing 0.69% lower at 6,365.3 on Monday. Despite the decline, foreign investors recorded substantial net purchases across the market, particularly targeting mining, banking, and energy stocks. The top net foreign buy list was led by Dian Swastatika Sentosa, Merdeka Copper Gold, and Timah.

Minister Says Labuan Bajo is the Face of Indonesian Tourism to the World

Tourism Minister Widiyanti Putri Wardhana has declared Labuan Bajo a key face of Indonesian tourism on the global stage, highlighting its natural beauty and international appeal. Speaking at the Golo Koe Festival, she stressed that tourism development must preserve local identity, a sentiment echoed by the Bishop of Labuan Bajo who warned against ecological damage threatening the super-priority destination. The festival, a collaboration between the church and local government, blends faith, culture, and environmental conservation.

Foreign Ministry Confirms All Indonesian Citizens in Colombia Safe After 7.4 Magnitude Earthquake

Indonesia's Ministry of Foreign Affairs has confirmed that all Indonesian citizens in Colombia are safe following a devastating 7.4 magnitude earthquake. The Indonesian Embassy in Bogota is maintaining communication with citizens and coordinating with local authorities, while the Colombian government reports at least 111 fatalities and has declared a national disaster.

Jakarta Government Prepares Regulation for TransJakarta to Manage Thousand Islands Transport from 2027

The Jakarta provincial government is preparing a regulatory framework to transfer the management of sea transport to the Thousand Islands from the Transportation Agency to city-owned operator TransJakarta starting in 2027. Governor Pramono Anung directed the shift to ensure island residents receive easier, more efficient, and equitable public transport services integrated with the mainland system. Technical preparations and tariff scheme adjustments are currently underway.

Customs and Excise Foils Smuggling of 2.7 Million Illegal Cigarettes in West Kalimantan

The Directorate General of Customs and Excise in West Kalimantan has intercepted 2.74 million illegal cigarettes during a raid in Pontianak. The illicit goods, transported from Java, were found with plain and suspected counterfeit excise stamps. The operation prevented an estimated state loss of Rp 2.66 billion.

SIG's Strategy to Optimise Cement Production and Distribution in Aceh

State-owned cement producer PT Semen Indonesia (SIG) is reinforcing its plant reliability and distribution network in Aceh to restore smooth supply and support regional development. The initiative responds to rising demand and supply pressures, with the company strengthening coordination with distributors and logistics partners. SIG also reaffirmed its commitment to maintaining product availability in disaster-affected areas despite challenges with fuel availability and pricing.

BI Governor nomination and rising financial inclusion dominate economic headlines

President Prabowo Subianto has nominated Destry Damayanti as the sole candidate for Bank Indonesia Governor, a move praised by economists for ensuring monetary policy continuity. Meanwhile, the Central Statistics Agency (BPS) reported an increase in the public's financial literacy and inclusion indices for 2026.

Getting to Know Gold ETFs: Advantages and How to Buy Them

Gold ETFs offer investors exposure to gold price movements without the need to physically store bullion. These instruments, which can track physical gold or shares of gold mining companies, are traded on the exchange like stocks, providing high liquidity. The article outlines the benefits, including ease of access, lower costs compared to physical gold, and their function as a hedging tool.

Indonesia's Financial Literacy Index Rises, but Papua Highlands Lag Far Behind

Indonesia's national financial literacy index climbed to 69.57% in 2026, a 2.93% increase from the previous year, according to a joint survey by BPS, OJK, and LPS. Despite the overall improvement, significant regional disparities persist, with Jakarta recording the highest literacy rate at 84.01% while Papua Pegunungan remains among the lowest. Officials noted that rural areas saw a significant jump of 4.55 percentage points, highlighting the need for region-specific literacy programmes.

Foreign Capital Inflows to Indonesia Reach US$5.9 Billion as of August 2026

Indonesia recorded foreign capital inflows of US$5.9 billion through early August 2026, driven primarily by short-term instruments such as Bank Indonesia Rupiah Securities. The equity market, however, experienced significant outflows, highlighting investor preference for safer, short-term assets amid global uncertainty.

KPK Detains Suspects in Bank BJB Case, AGO Probes Free Nutritious Meal Programme

Indonesia's Corruption Eradication Commission (KPK) has detained four suspects in a graft case involving advertising procurement at Bank BJB, while continuing to trace financial flows to influencer Lisa Mariana. Separately, the Attorney General's Office is investigating alleged corruption in the governance of the national Free Nutritious Meal (MBG) programme, summoning 16 witnesses for questioning.

Baliem Valley Festival resumes peacefully after Papua shooting

The Baliem Valley Cultural Festival in Papua has resumed under heightened security after a shooting on the second day injured two civilians. The Tourism and Creative Economy Ministry confirmed the situation is now stable, with events relocated to a safer area near the district head's office. Officials emphasised the festival's role as a unifying cultural and economic event while calling for calm and restraint.

MPR Leadership Visits BPK, Praises Improvement in Unqualified Opinion Quality

MPR Chairman Ahmad Muzani visited the BPK to extend an invitation to the Annual Session and discuss state financial governance. He commended the increasing number of government entities achieving Unqualified Opinion (WTP) status. BPK Chair Isma Yatun welcomed the visit and emphasised the importance of following up on audit recommendations.

Destry as Sole Candidate for BI Governor, Rupiah Poses a Test

Destry Damayanti, the sole candidate for Bank Indonesia Governor, faces the immediate challenge of stabilising the rupiah amid global uncertainty. Economists suggest she will likely maintain policy continuity, keeping the benchmark interest rate at 5.75% through 2027, as inflationary pressures ease but external risks persist. The need for clear boundaries between fiscal and monetary policy coordination is also highlighted to maintain central bank independence.

SNLIK 2026 Reveals 62.51 Percent of Public Know Their Bank Savings Are Protected, LPS Highlights Four Key Points

The 2026 National Financial Literacy and Inclusion Survey (SNLIK) found that 62.51 percent of Indonesians are aware their bank deposits are guaranteed, yet only 46.31 percent recognise the Indonesia Deposit Insurance Corporation (LPS). The survey also revealed low awareness of insurance policy guarantees, with LPS planning to target educational efforts towards lower-income and less-educated groups. The findings will guide LPS's strategy to improve financial literacy through accessible language and expanded outreach.

German Researchers Reveal Toba Eruption's Impact Was Less Catastrophic Than Believed

A new study by German geoscientists suggests the super-eruption of Mount Toba around 74,000 years ago did not cause a prolonged volcanic winter or threaten human survival as previously thought. By analysing sediment layers in Lake Chala, East Africa, researchers found the climatic disruption lasted only about 18 months, with regional cooling well within natural glacial cycles.

Underwriting Quality Boosts TUGU's Net Profit to Rp480 Billion in First Half of 2026

PT Tugu Pratama Indonesia (TUGU) reported a 76.9% surge in net profit to Rp480 billion for the first half of 2026, driven by a significant improvement in underwriting quality. The strong operational performance, marked by an 85.6% jump in insurance service results, offset a decline in investment income. Analysts view the shift towards core business profitability as a positive signal of the company's resilience and sustainable growth model.

MUI Issues Three Warnings for Independence Day: Men Dressing as Women, Competition Fees

The Indonesian Ulema Council's (MUI) Fatwa Commission has issued a series of edicts concerning Independence Day celebrations, declaring it haram for men to dress as women during carnivals. The council also warned that using participant registration fees for competition prizes constitutes gambling and is forbidden under Islamic law. Additionally, the MUI reminded organisers to ensure that parade routes do not disrupt public comfort or block public roads.

IHSG Slumps as Foreign Investors Dump These 10 Stocks

The Jakarta Composite Index (IHSG) fell 0.69% to 6,365.3 on Monday, with foreign investors recording a net sell of Rp875.51 billion in the regular market. The heaviest selling pressure came from large-cap stocks, led by Chandra Asri Pacific and Bank Mandiri. Despite the overall index decline, foreign investors still booked a net buy of Rp829.70 billion across all markets, driven by transactions in the negotiation and cash markets.

TNI evacuates villager from OPM conflict zone in Central Papua

Indonesian military personnel evacuated a villager from a conflict area in Central Papua's Ugimba Subdistrict during a patrol on Sunday. The individual, believed to have been left behind by a group fleeing separatist violence, was airlifted to Sugapa for further assistance. The operation underscores the TNI's ongoing commitment to protecting civilians amid the escalating conflict with the OPM in the region.

Hilirisasi Mineral Tak Cukup, Indonesia Perlu Kuasai Teknologi

Indonesia must advance its mineral downstreaming agenda beyond smelting to include technology mastery and advanced material engineering, according to an expert. This shift is crucial for the nation to become a technology producer rather than merely a resource supplier. The strategy aligns with efforts to leverage mineral wealth for developing future technologies and achieving industrial independence.

Illegal Mining Crackdown Boosts PT Timah's Production

The Indonesian government's intensified crackdown on illegal tin mining in Bangka Belitung has become a positive catalyst for state-owned PT Timah Tbk (TINS). The company's production and sales volumes surged in the first half of 2026 as informal supply chains were disrupted. This operational recovery, coupled with high global tin prices, led to an 805% leap in net profit.

Viral Wedding in Central Java Features Excavator and Cars Worth Rp 2 Billion as Dowry

A wedding in Grobogan, Central Java, has gone viral after the groom, a heavy equipment contractor, presented a dowry including an excavator and several cars valued at approximately Rp 2 billion. The bride, 20-year-old Laella Nur Fadhilah, stated she accepted the proposal because of the groom's responsible nature. The couple plans to rent out the excavator as a source of income.

BPHTB Verification Slashed to 3 Days, Land Title Transfer to 10 Days

The Indonesian government has signed a joint ministerial circular accelerating the verification and validation of Land and Building Title Transfer Tax (BPHTB) payments to a maximum of three days. This move aims to streamline the overall land title transfer process, which is now targeted for completion within 10 days. The policy is expected to serve as a legal umbrella for regional governments and the National Land Agency (BPN) to integrate data and boost Regional Original Revenue (PAD).

Fire Destroys 37 Homes in Densely Populated Makassar Settlement

A major fire has destroyed 37 houses in a densely populated semi-permanent residential area in Bontoala, Makassar, affecting 60 families and 245 residents. The blaze, which required around 40 fire engines, is suspected to have been caused by an electrical short circuit. No fatalities were reported, though two residents sustained minor injuries.

Deputy Manpower Minister Urges Regions to Prepare Workforce for Green Jobs

Deputy Manpower Minister Afriansyah Noor has called on regional governments to begin preparing their workforces for the rise of green jobs and other new professions driven by technology and industrial change. He stressed the need for mapping local economic potential and aligning training programmes with business needs through link-and-match schemes involving companies. The initiative aims to address skills mismatches and ensure that both new graduates and existing workers can benefit from upskilling and reskilling opportunities.

Risma and Andreas Open Export Opportunities for Former Dolly Red-Light District SMEs

Former Surabaya Mayor Tri Rismaharini and House member Andreas Eddy Susetyo are supporting small and medium enterprises (SMEs) from the former Dolly red-light district in their efforts to enter the export market. The initiative, part of a week-long workshop and bazaar, focuses on upskilling local entrepreneurs in production, digital marketing, and branding. The programme aims to transform the Putat Jaya area into an independent creative economy hub with products capable of competing internationally.

PKB Legislator Calls for Drone Technology to Be Optimised to Extinguish Bromo Forest Fires

A member of the House of Representatives Commission IV has urged authorities to optimise drone technology for monitoring and extinguishing the forest and land fires in the Mount Bromo area. Daniel Johan emphasised that real-time drone surveillance could accurately map the fire's spread and minimise risks to ground personnel in dangerous terrain. He also called for strengthened inter-agency coordination and a thorough evaluation of mitigation systems to prevent future incidents, especially given the predicted prolonged El Niño.

North Korea Fumes, Slams Japan's Defence White Paper as 'Re-invasion Plan'

North Korea has sharply criticised Japan's 2026 defence white paper, labelling it a 're-invasion plan' designed to justify Tokyo's military build-up. Pyongyang has issued multiple statements condemning Japan's defence policy, with Kim Yo Jong warning of potential additional military options. The escalating rhetoric follows Japan's test-firing of a Tomahawk cruise missile and a subsequent North Korean ballistic missile launch, heightening regional security tensions.

Prabowo nominates Destry for BI Governor, prepares for NU Congress and Annual Session

President Prabowo Subianto has formally nominated Destry Damayanti as the definitive Governor of Bank Indonesia, while also preparing to open the 35th Nahdlatul Ulama Congress. Other key political developments include the PKB receiving a draft bill on labour protection and the DPD highlighting the upcoming Annual Session as a crucial link between regional voices and the national agenda.

Bisnis-27 Index Closes Weaker, but BBNI, INKP, and PTBA Shares Advance

The Bisnis-27 index closed down 0.99% on Monday, despite gains in several constituent stocks including BBNI, INKP, and PTBA. The broader market weakness mirrored the IHSG's decline, though an analyst noted that the appointment of a new central bank governor provided a positive domestic sentiment. Overall, global factors and foreign fund flows continue to dominate market direction.

KAI Jember Educates Public on Dangers of Placing Objects on Railway Tracks

PT Kereta Api Indonesia (KAI) Daop 9 Jember is intensifying public education efforts to warn against placing objects on railway tracks, a seemingly trivial act that poses serious safety risks. The initiative follows 13 recorded incidents in 2025 and a further six between January and July 2026 across the Probolinggo, Pasuruan, Lumajang, and Jember areas. KAI is collaborating with local authorities to enhance surveillance and urges parents to prevent children from playing near tracks, citing legal prohibitions under the 2007 Railways Law.

US Ready to Assist Colombia Following Devastating Earthquake

The United States has offered support to Colombia after a powerful earthquake struck the country, causing significant casualties and damage. The 7.4 magnitude quake resulted in at least 111 deaths and forced the temporary closure of six airports. US Secretary of State Marco Rubio confirmed the Trump administration is monitoring the situation and stands ready to assist the Colombian government.

KPK Opens Possibility of Re-examining Ridwan Kamil in Bank BJB Advertising Corruption Case

The Corruption Eradication Commission (KPK) has indicated it may summon former West Java Governor Ridwan Kamil again for questioning regarding the alleged corruption in advertising procurement at Bank BJB. This follows the detention of four suspects in a case that reportedly caused state losses of approximately Rp223 billion. Kamil previously underwent questioning as a witness and his residence was searched by investigators.

Police to Exhume Body of Sutrimo, Alleged Lookalike of Prosecutor Febrie Adriansyah, Tomorrow

Central Java Police are preparing to assist with the exhumation of Sutrimo, a man who allegedly resembled former Deputy Attorney General for Special Crimes Febrie Adriansyah and died under suspicious circumstances. The exhumation, scheduled for 12 August 2026 in Banyumas, is a key step in the investigation now being handled by the Jakarta Metropolitan Police. The case was escalated from an inquiry to a full investigation following a formal report by the deceased's family.

UGM Students Return from Biak Community Service Aboard Indonesian Air Force A400M

A group of 30 Gadjah Mada University (UGM) students undertaking a community service programme (KKN) in Biak, Papua, returned to Yogyakarta aboard an Indonesian Air Force Airbus A400M transport aircraft. The deployment of the military aircraft, one of the TNI AU's newest acquisitions, was reportedly to save on transportation costs. The students had spent 50 days serving in Kampung Saribra, Pulau Bromsi, in the Aimando Padaido District.

Danantara Prepares to Acquire Stake in Indonesia Stock Exchange

Indonesia's sovereign wealth fund Danantara is set to acquire a stake in the Indonesia Stock Exchange as part of its demutualisation into a joint-stock company. The move, mandated by the P2SK Law, will be executed through a subsidiary and gives priority to state entities, with the financial regulator finalising the legal framework by September 2026. This acquisition marks a significant restructuring of the country's capital market infrastructure, placing key exchange ownership under direct state-linked investment management.

Man in Riau Charged After 1.5-Hectare Fire Started to 'Chase Away Mosquitoes'

A 68-year-old man in Indragiri Hulu, Riau, has been named a suspect and detained after a fire he lit to repel mosquitoes spread and burned 1.5 hectares of land, including oil palm plantations. Police seized evidence including a bottle of diesel and confirmed the suspect faces multiple charges under environmental and plantation laws. The Riau Police Chief emphasised the force's commitment to legal action and prevention, noting 63 readiness drills have been conducted across the province to combat forest and land fires.

Fire Patrols Intensify at Mount Bromo as Officials Cite Human Error

Authorities have stepped up 24-hour patrols in the Bromo Tengger Semeru National Park to prevent the resurgence of fire hotspots. The Coordinating Minister for Political and Security Affairs indicated the blaze was likely caused by human negligence, possibly from visitors trying to keep warm or taking photos. While the main fire is under control, the park remains completely closed to tourists as a precaution.

Tax Office Confirms No New Tax on Rental Homes in 2027

Indonesia's Directorate General of Taxes has clarified that there are no plans to introduce a new tax specifically targeting rental home income in 2027. Income from property rentals has long been subject to income tax under existing regulations. The tax authority emphasised that its compliance monitoring is risk-based and proportional, not solely triggered by property ownership.

Islamic Boarding School Dormitory in Kampar Engulfed in Flames, Fire Extinguished After Four Hours

A fire destroyed a dormitory building at the Syekh Burhanuddin Islamic boarding school in Kampar, Riau, on Monday evening. No casualties were reported as all students were performing evening prayers at the mosque when the blaze broke out. Authorities are investigating the cause of the fire, which caused an estimated loss of Rp 3.04 billion.

IDX Clarifies Role in Istiqlal Mosque's Productive Waqf Scheme

The Indonesia Stock Exchange (IDX) has clarified that it is not directly partnering with Istiqlal Mosque on its stock waqf initiative, but merely facilitating the connection between the mosque's nazir and investment managers. The clarification follows an announcement by the Grand Imam that cash waqf funds would be directed into Islamic capital market instruments for sustainable economic benefits. The IDX hopes the scheme, managed through the Istiqlal Global Fund, will attract more investment managers and investors to Islamic philanthropy.

10 Countries Where Citizens Have Never Travelled Abroad, Indonesia Included

A Pew Research Center survey reveals that 92% of Indonesians have never travelled abroad, placing the country second only to India globally. The study highlights income levels, passport strength, and infrastructure as key factors influencing international mobility. Despite high aspirations in some developing nations, foreign travel remains a significant financial outlay for most Indonesians.

Italy and Denmark Call for Stricter EU Migration Policies and Third-Country Repatriation Centres

The prime ministers of Italy and Denmark have issued a joint statement rejecting uncontrolled migration into Europe, citing its negative impact on crime rates, public services, and citizen trust. They are advocating for innovative solutions, including the establishment of repatriation centres in third countries, and have already influenced the application of the European Convention on Human Rights to facilitate the deportation of foreign nationals who commit serious crimes.