Indonesian Political, Business & Finance News

Archive: 12 August 2026

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Police examine event management over alleged blasphemy in Ancol

Jakarta police are investigating a music festival organiser after a visitor allegedly challenged the crowd to recite a Quranic verse for alcohol. Preliminary findings suggest the act was spontaneous and not part of the official programme. Authorities have urged the public to avoid provocation and trust the legal process.

Jakarta High Court Issues Appeal Ruling, Company Prepares Cassation

PT MNC Asia Holding has welcomed a Jakarta High Court ruling that struck down claims for interest and immaterial damages in a civil case brought by PT Citra Marga Nusaphala Persada, calling it a 'partial victory'. The company confirmed that a requested asset seizure was never granted by the courts and announced it will pursue a cassation appeal, arguing it merely acted as an intermediary in the disputed financial transaction and that the issuing entity should bear responsibility.

Minister Arifah: PATBM Cadres Are the Frontline in Preventing Child Violence

Minister of Women's Empowerment and Child Protection, Arifah Fauzi, has emphasised the crucial role of community-based child protection cadres in preventing and responding to violence against children at the grassroots level. She stated that the goal is not just to increase activities but to foster real change, including stronger anti-violence norms and better family care. The minister made these remarks during an online dialogue with over 400 PATBM cadres and SAPA volunteers from across Indonesia.

World records second-hottest July on record, WMO reports

The World Meteorological Organization reported that July was the second-hottest month globally on record, with the average surface air temperature reaching 1.47°C above pre-industrial levels. Extreme heat, prolonged drought, and devastating wildfires affected large parts of the Northern Hemisphere, particularly Western Europe, which experienced its hottest June-July period ever. The conditions severely impacted ecosystems, agriculture, transport, and energy production.

Police Arrest Three Men in West Manggarai for Burning Owl Alive

Police in West Manggarai, East Nusa Tenggara, have arrested three men suspected of capturing, beating, and burning an owl alive after a video of the act went viral. The suspects claimed they were motivated by a local superstition that the bird's presence signified black magic, though police also suspect they sought social media attention. The men face multiple charges under Indonesia's conservation and electronic information laws.

Neighbouring Australia Sets Courier Wages Above Minimum Wage, Effective 17 August 2026

Australia's Fair Work Commission has mandated a minimum hourly wage for gig economy delivery workers that exceeds the national minimum, alongside compulsory personal accident insurance. The new standard, effective 17 August, is expected to benefit around 250,000 workers and has been welcomed by both unions and major platforms like Uber Eats and DoorDash. The decision follows years of campaigning to extend formal employment protections to workers previously classified as independent contractors.

Revealed: Quran Memorisation Challenge for Alcohol Was a Visitor's Initiative

Police have identified the individual who spontaneously issued a Quran memorisation challenge in exchange for alcohol at The Sounds Project music festival in North Jakarta. The act, which sparked allegations of religious blasphemy, was not part of the organiser's or sponsor's official programme. Authorities are investigating potential violations under Indonesia's new Criminal Code, while both the event organiser and the Newport brand have issued public apologies and condemned the incident.

Hundreds of Islamic Boarding School Students in West Jakarta Undergo Free Health Screening

Approximately 150 students from the Asshiddiqiyah Islamic Boarding School in West Jakarta participated in the government's Free Health Screening (CKG) programme. The initiative, part of a national programme, aims to reach 46 per cent of West Jakarta's population by the end of 2026. As of early July 2026, the programme has covered 23.14 per cent of the target population in the area.

Coordinating Minister for Political and Security Affairs: Strong Inter-Agency Unity Key to Resolving All Issues

Coordinating Minister for Political and Security Affairs Djamari Chaniago has called for stronger communication among state leaders and institutions to maintain unity in serving the nation. He emphasised that robust relationships and open dialogue can ease coordination and resolve any shared challenges. The remarks were made during a gathering with top military, police, and intelligence officials aimed at strengthening synergy for national stability.

Forest and Land Fires in Riau Reach 15,738.9 Hectares in First Seven Months of 2026

The Ministry of Forestry has reported that forest and land fires in Riau Province have scorched 15,738.9 hectares between January and July 2026. The most severe damage occurred on peatland ecosystems, with officials warning that the escalation could worsen as the dry season peaks. Bengkalis Regency is the worst-affected area, accounting for over half of the total burned land.

Self-Funded Sports' Performance to Determine Future Government Support, Says Minister

Minister of Youth and Sports Erick Thohir has stated that the achievements of sports branches competing independently at the Aichi-Nagoya 2026 Asian Games will be a key factor in determining future government support. Three sports—boxing, fencing, and table tennis—are using a self-funding scheme, with their results to be included in the government's Key Performance Indicator (KPI) evaluation. However, Thohir noted that despite meeting targets, these self-funded athletes may not be eligible for government bonuses.

Otto: Police Reform Must Ensure Sustainable Change

Deputy Minister Otto Hasibuan has stated that the main challenge in police reform is ensuring that cultural changes are implemented consistently and sustainably. He acknowledged that cultural reform within the police force is more complex than structural changes, requiring continuous commitment. The government welcomed input from law students, which will be coordinated with relevant ministries to inform future policy discussions.

Jokowi Confirmed to Attend MPR Annual Session and 81st Independence Day Ceremony at the Palace

Former President Joko Widodo has confirmed his attendance at the MPR Annual Session on 14 August and the 81st Independence Day ceremony at Merdeka Palace on 17 August. The MPR Secretary-General personally delivered the invitation to his residence in Solo. Jokowi also dismissed speculation of a rift between President Prabowo Subianto and Vice President Gibran Rakabuming Raka, stating their relationship remains good and that seating arrangements should simply follow the existing protocol law.

PU Minister: WIM Installation Enhances Oversight of Overloaded Vehicles

Minister of Public Works Dody Hanggodo has stated that the installation of 47 Weight In Motion (WIM) units will improve the monitoring of overloaded and oversized vehicles on toll roads. The initiative aims to reduce road damage, lower maintenance costs, and enhance safety. The government is pushing for wider WIM adoption and cross-sector collaboration to achieve zero ODOL vehicles by 2027.

Jakpro Projects LRT Jakarta to Carry 80,000 Passengers Daily

The Jakarta-owned enterprise PT Jakarta Propertindo (Jakpro) projects that the new LRT line connecting Kelapa Gading to Manggarai will eventually serve up to 80,000 passengers per day. The 12.2-kilometre extension, which is 97.99 percent complete, is scheduled to begin operations on 26 August 2026. The project aims to reduce private vehicle use, traffic congestion, and emissions while strengthening intermodal connectivity across the capital.

Bekasi City Police Uncover Drug Trafficking via Social Media DMs and COD Transactions

The Bekasi City Metro Police have revealed that drug trafficking networks are predominantly using direct messages on social media platforms and cash-on-delivery systems to evade detection. Between July and 12 August 2026, the force uncovered 99 narcotics cases, arresting 26 suspects and seizing 35,000 tramadol pills and synthetic tobacco. The investigation also led to the discovery of two illegal synthetic tobacco production sites in the Pondok Gede and South Tambun areas.

Siti Fauziah Meets Jokowi, Delivers Invitation to MPR Annual Session

Plt Secretary General of the MPR RI, Siti Fauziah, visited former President Joko Widodo at his residence in Solo to formally invite him to the 2026 MPR Annual Session. The session, scheduled for 14 August at the Parliament Complex in Senayan, will feature state addresses and reports on the performance of state institutions. Jokowi indicated he would attend the joint session, which will also include invitations extended to all former presidents and vice presidents.

Indonesia's Downstream Investment Reaches Rp 300.1 Trillion in First Half of 2026

Indonesia's downstream sector investment reached Rp 300.1 trillion in the first half of 2026, marking a 6.9% year-on-year increase and contributing nearly 30% of total investment realisation. The government views this growth as crucial for achieving its 8% economic growth target. Notably, bauxite surpassed nickel for the first time as the largest downstream investment commodity in the second quarter.

BI Chief Says QRIS Prompted US Protest, Proving Indonesia's Digital Sovereignty

Bank Indonesia's Central Sulawesi head claims the rapid adoption of the QRIS digital payment system has drawn objections from the United States, as it reduces reliance on Visa and Mastercard. The official stated this development demonstrates Indonesia's capability to build an independent digital payment infrastructure. BI continues to expand QRIS usage domestically and through cross-border partnerships across Asia.

Prabowo Receives Visit from US Under Secretary of Defence for Policy Elbridge Colby

Indonesian President Prabowo Subianto met with US Under Secretary of Defence for Policy Elbridge Colby at the Merdeka Palace in Jakarta to discuss strengthening bilateral ties. Colby expressed the United States' optimism about advancing the partnership based on mutual respect and deeper cooperation. The meeting underscores ongoing efforts to enhance defence and diplomatic relations between the two nations.

Minister: El Niño Makes Forest Fire Extinguishing Difficult

State Secretary Prasetyo Hadi has stated that the ongoing strong El Niño conditions are hampering efforts to extinguish forest and land fires across several regions in Indonesia. The government has extended the full closure of the Mount Bromo tourist area until 15 August 2026 as firefighting operations continue. Authorities are also urging the public to avoid activities that could spark new fires, such as careless disposal of cigarette butts or illegal land burning.

Abundant Resources: Government Backs Coal Gasification

The Indonesian government is supporting state-owned enterprises to develop coal gasification projects, aiming to convert the nation's abundant coal reserves into synthetic gas and methanol. Deputy Minister for Investment and Downstreaming Todotua Pasaribu highlighted the irony of Indonesia's vast coal wealth not yet being utilised for gasification, unlike major consumers such as China. The initiative is part of a broader downstreaming strategy to produce Dimethyl Ether (DME) and reduce reliance on imported methanol for programmes like the B40 biodiesel blend.

Stronger US Dollar Pushes Up Laptop Prices in Indonesia

The strengthening US dollar and reliance on global supply chains are forcing laptop prices higher in Indonesia. Acer Indonesia confirmed the currency impact on production and distribution costs, prompting the company to adjust prices while emphasising value-for-money products. The firm is also offering flexible specifications to help consumers manage costs amid the economic uncertainty.

Bareskrim Names Eight MV King Sun Crew Members Suspects in 1.3-Tonne Ketamine Smuggling Case

Indonesia's Criminal Investigation Agency (Bareskrim) has designated eight crew members of the Tanzanian-flagged MV King Sun as suspects for attempting to smuggle nearly 1.3 tonnes of ketamine into the country. The suspects, comprising one Taiwanese and seven Myanmar nationals, were apprehended in the waters north of Tanjung Berakit, Riau Islands, and face up to 12 years in prison under the Health Law. Authorities are now pursuing the international network behind the shipment, focusing on the vessel's frequent identity changes and the ultimate destination of the illicit cargo.

Foreign Tourists Spend Rp23 Million per Holiday in Indonesia, Here Are InJourney and Garuda Indonesia's Strategies

State-owned tourism holding company InJourney reports that foreign tourists spent an average of US$1,285 during stays of around 10 nights in the second quarter of 2026. InJourney and Garuda Indonesia are collaborating on a free domestic flight programme to encourage visitors to explore beyond Bali and Jakarta. The initiative aims to boost the quality of tourism by increasing length of stay, destinations visited, and overall economic impact across the archipelago.

One Thousand Paspampres Personnel Deployed to Secure Independence Day Events

The Presidential Security Force (Paspampres) has deployed 1,174 personnel and modern military equipment to safeguard the 81st Indonesian Independence Day celebrations. Commander Major General Edwin Adrian Sumantha emphasised a proactive, preventative approach, stating that success means preventing threats from ever materialising. The security operation covers key events from 14 to 17 August, including the parliamentary session and the flag ceremony.

Semeton, It's Time to Register Bali's Inspirational Figures for the DPD RI Awards

The Regional Representative Council (DPD RI) has opened nominations for its 2026 awards, inviting the public to propose inspirational figures from Bali and across Indonesia. The awards aim to honour individuals driving tangible change in education, health, arts and culture, and food security. DPD RI Chairman Sultan B Najamudin stated the initiative seeks to bring national recognition to local heroes whose significant contributions often go unnoticed.

El Niño Catastrophe Worsens, Scientists Warn of Impact on Indonesia

Scientists are warning that the 2026 El Niño event is intensifying dramatically, with sea surface temperatures in the Pacific reaching record highs. This super El Niño threatens severe drought across tropical regions, including Indonesia and Southeast Asia. Experts urge immediate preparedness for a climate event potentially worse than the devastating 1997-1998 crisis.

IKN Ready to Host Independence Day Ceremony, Here Are the Paskibraka Troops

The Nusantara Flag-Raising Troop (Paskibra Nusantara) is undergoing intensive training ahead of the 81st Indonesian Independence Day ceremony in the new capital, Ibu Kota Nusantara (IKN). The troops are honing their discipline and coordination to ensure a flawless flag-raising performance. The event marks a significant national moment as the ceremony is prepared in the country's future administrative centre.

Chronology of the KMP Putri Yasmin Fire in the Lombok Strait

The roll-on/roll-off ferry KMP Putri Yasmin caught fire while sailing from Bali to Lombok on 12 August 2026, triggering a major rescue operation. The incident occurred in the early hours near Sekotong Beach, with the Mataram Search and Rescue Office coordinating a multi-agency response involving the navy, police, and nearby vessels. The primary focus of the operation was the safe evacuation of all passengers.

Attack on MV Tihama: Two Indonesian Crew Injured, One Still Missing

The Indonesian government has confirmed that two Indonesian crew members were injured and a third remains missing following an air attack on the MV Tihama off the coast of Yemen. The Ministry of Foreign Affairs is coordinating with relevant parties through the Indonesian Embassy in Muscat. The vessel was docked at the Port of Bab el-Mandeb when the incident occurred.

Police Uncover Synthetic Tobacco Operation in Bekasi, Profits Reached IDR 5 Million Per Transaction, Kingpin Still at Large

Bekasi City Police have dismantled an illegal synthetic tobacco (sinte) production ring, revealing that suspects profited up to IDR 5 million per transaction. The operation involved three production cycles between July and August, generating total profits of up to IDR 17 million. Authorities are now intensifying efforts to trace the supply chain and apprehend the main distributor.

Forest Fires Worsen, Government Opens Option to Close Schools

The Indonesian government is considering temporary school closures in regions severely affected by forest and land fires if air quality is deemed hazardous to health. Minister of State Secretary Prasetyo Hadi stated the policy would be situational, granting local authorities the flexibility to suspend teaching activities based on real-time conditions. The government is also ensuring logistical support for firefighting efforts remains unhindered amid extreme dry weather caused by the El Niño phenomenon.

Palangka Raya Extends Forest and Land Fire Emergency Status

The Palangka Raya city administration in Central Kalimantan has extended its forest and land fire emergency status by 29 days until 8 September 2026. The decision was driven by the increasing number of fires, which have now scorched over 174 hectares, and the encroachment of hotspots near residential areas. Authorities are intensifying coordination and urging the public to avoid slash-and-burn land clearing.

Riau Police Name Two Suspects in Bengkalis Forest and Land Fire Case

Riau Police have named two suspects, MK and DJ, in connection with a forest and land fire that scorched approximately four hectares within an HGU area in Bengkalis. Investigators are employing a scientific approach to establish the cause-and-effect relationship between land management activities and the fire, including potential economic motives. The case is part of the Riau Police's 'Green Policing' initiative, which aims to enforce environmental law and protect ecosystems.

Indonesian Navy Clarifies Joint Drill with China's PLA is a Passing Exercise, Not War Fighting

The Indonesian Navy has clarified that its upcoming joint exercise with China's People's Liberation Army Navy near Taiwan is a routine 'passing exercise' focused on navigation, not combat. The drill, scheduled for mid-August 2026, is described as a universal naval tradition and a gesture of goodwill and maritime diplomacy. Officials emphasised that Indonesia's free and active foreign policy allows for such cooperative engagements with any nation.

KMP Putri Yasmin Catches Fire in Bali Waters, Ministry of Transport Deploys Joint SAR Team

The Indonesian Ministry of Transport has confirmed a fire aboard the ferry KMP Putri Yasmin serving the Padangbai–Lembar route early Wednesday morning. A joint search and rescue team was immediately dispatched, with Vessel Traffic Services broadcasting distress signals and coordinating on-site assistance. Authorities are continuing real-time monitoring to ensure safe evacuation and have urged all operators to prioritise shipping safety.

Pertamina Lubricants Exports Reach 16 Countries Across Asia, Africa, and Australia

PT Pertamina Lubricants has expanded its export market to 16 countries, including recent entry into Tanzania in 2024, as part of its strategy to grow its global footprint. The company operates its largest production facility in Jakarta, with a total national capacity of 470,000 kilolitres per year, of which approximately 11,000 kilolitres are destined for export markets. The firm relies on automated production technology to maintain quality and competitiveness against hundreds of rival brands in the domestic and international lubricant markets.

Gold ETF Launches on Indonesian Stock Exchange, Investment Manager Reveals Profit Potential

The Indonesia Stock Exchange (BEI) has officially launched a gold exchange traded fund (ETF), expanding the range of investment instruments available in the domestic capital market. Trimegah Asset Management's CEO, Antony Dirga, welcomed the move, noting that gold ETFs represent a new asset class for the mutual fund industry alongside bond and equity funds. Further public education is deemed necessary to familiarise both retail and institutional investors with this alternative investment option.

Pakistan Outraged After Houthi Attack Kills Three of Its Citizens, One Indonesian

Pakistan has strongly condemned a Houthi attack on a commercial vessel in the Red Sea that killed three Pakistani nationals and one Indonesian citizen. Foreign Minister Ishaq Dar expressed deep concern and confirmed the nation is liaising with Saudi and internationally recognised Yemeni authorities, while analysts question Islamabad's ability to maintain neutrality amid escalating Middle Eastern tensions.

Indonesia bolsters integrated support for substance abuse survivors

Four Indonesian ministries and agencies have signed a memorandum of understanding to provide integrated medical, social, and vocational support for people recovering from substance abuse. The collaboration between the Social Affairs, Health, Manpower ministries and the National Narcotics Agency will use unified data to tailor interventions based on severity, from medical treatment to job placement and entrepreneurship training. Officials emphasized that this cross-agency approach is crucial for helping millions of recovering individuals regain productivity and reintegrate into society.

Farmers' Sugarcane Intake Strengthened

The Tjepiring sugar factory in Central Java is continuing its annual intake of sugarcane from local farmers for the 2026 milling season, reinforcing the supply chain. This consistent practice directly supports the government's national sugar self-sufficiency programme, as outlined in Presidential Regulation 40/2023. The broader policy aims to achieve consumption sugar self-sufficiency by 2028 and industrial sugar self-sufficiency by 2030, while also boosting farmer welfare and bioethanol development.

MIND ID CEO Proposes National Mineral Stockpile

MIND ID's chief executive has proposed establishing a national mineral stockpile to better manage Indonesia's vast mineral wealth, particularly gold. He argued that such a mechanism would allow the country to control the release and storage of strategic assets, strengthening economic sovereignty. The proposal draws inspiration from Malaysia's management of its crude palm oil reserves.

South Jakarta Administration Urges Abang None 2026 Finalists to Promote Pusaka Flag Park

The South Jakarta city administration has tasked the newly selected Abang None 2026 ambassadors with promoting the Taman Bendera Pusaka (Heritage Flag Park) as a new creative space. The finalists are expected to actively support the city's tourism and creative economy programs while preparing to represent South Jakarta at the provincial level. Officials emphasized that the competition is a platform for youth to actualize their knowledge in line with the city's development vision, not merely a beauty pageant.

Sekolah Rakyat Student Joins Paskibraka for 81st Independence Day at Palace

A student from a Sekolah Rakyat (People's School) has been selected for the national flag-hoisting squad (Paskibraka) for Indonesia's 81st Independence Day ceremony at the Presidential Palace. Minister of State Secretary Prasetyo Hadi expressed pride in the achievement, confirming the rigorous, competency-based selection process. The inclusion highlights the programme's reach, with the 16-year-old student hailing from an integrated school in Polewali Mandar, West Sulawesi.

Deputy Investment Minister Todotua Speaks Candidly on Business Licensing and Regulation Reform

Deputy Minister for Investment and Downstreaming Todotua Pasaribu has outlined the government's ongoing bureaucratic reforms aimed at accelerating business licensing. The reforms, supported by a new risk-based regulation, have already reduced the number of business classifications and are designed to shorten the investment realisation cycle. This push is part of a broader strategy to achieve the country's 8% economic growth target by boosting investor confidence.

Carbon Trading to Support Integrated Emission Reduction Ecosystem, Says Forestry Minister

Forestry Minister Raja Juli Antoni stated that carbon trading will support the creation of an integrated ecosystem for reducing greenhouse gas emissions. The national carbon trading system is backed by the SRUK registry to ensure transparency and prevent double counting, while results-based climate funding from the Green Climate Fund and the Norwegian government is being channelled to provinces.

SBY Confirmed to Miss Independence Day Ceremony at Palace, Here's Why

Former Indonesian President Susilo Bambang Yudhoyono will not attend the 81st Independence Day ceremony at Merdeka Palace due to a routine medical check-up. The State Secretariat Minister confirmed his absence, while the attendance of former presidents Megawati Soekarnoputri and Joko Widodo remains unconfirmed. The ceremony will feature an aerial display of 81 aircraft, including the debut of the Dassault Rafale fighter jet.

Unlike Nickel, Gold Resources Evenly Spread from Aceh to Papua

MIND ID's CEO has highlighted that Indonesia's gold deposits are uniquely distributed across the entire archipelago, from Aceh to Papua, unlike nickel and tin which are concentrated in specific regions. He noted this widespread distribution makes gold harder to control and stressed the need for comprehensive cross-institutional governance of mineral reserves. He also observed that foreign entities with advanced technology have been more successful than state-owned enterprises in optimally exploiting the nation's mineral wealth.

Ad Hoc Human Rights Judge Candidate Vows to Reject All Pressure

A candidate for Indonesia's ad hoc human rights judges, Roki Panjaitan, has stressed the critical importance of judicial independence, particularly in handling gross human rights violations. During his fit and proper test at the House of Representatives, he asserted that judges must be able to withstand all forms of pressure, whether internal or external. Panjaitan also highlighted the legal framework allowing for the prosecution of both military commanders and civilian superiors under the command responsibility doctrine.