Indonesian Political, Business & Finance News

Archive: 14 August 2026

Showing 401-450 of 1,860 articles

Government Targets BOP PAUD for 6.3 Million Pupils to Support 13-Year Compulsory Education

The Indonesian government is targeting the distribution of Early Childhood Education Operational Assistance (BOP PAUD) funds to 6.3 million pupils to support the implementation of the 13-year compulsory education programme. Finance Minister Purbaya Yudhi Sadewa confirmed the allocation is part of the Rp820.9 trillion education budget in the 2027 State Budget Draft. The initiative includes provisions for teacher welfare, with professional allowances planned for 1.3 million non-civil servant teachers and 1.7 million regional civil servant teachers.

Scouts Must Be Part of Core National Education Structure, Says Minister

Youth and Sports Minister Erick Thohir has announced that the Scout Movement will be integrated into the core national education structure, moving beyond its current extracurricular status. The policy aims to strengthen character building among Indonesian youth across all levels of formal education. The ministry will soon consolidate with the National Scout Quarter to develop a roadmap for the programme's expanded role.

Bareskrim Dismantles Online Gambling Syndicate with IDR 890 Billion Turnover, Reveals Modus Operandi

Indonesia's Criminal Investigation Agency (Bareskrim) has uncovered two online gambling networks linked to Cambodia, one of which disguised its operations as a mobile credit trading business. The syndicate, operating the Ujangbet site, amassed over IDR 890 billion in transactions by converting gambling deposits made via mobile phone credit into cash. A total of 23 suspects have been arrested across multiple locations, with authorities seizing cash, assets, and coordinating with financial intelligence to trace the proceeds of crime.

Riau Police's 'JALUR' Vessel Arrives in Meranti, Bringing Aid to Fishermen and the Elderly

The Riau Regional Police's Directorate of Water and Air Police (Ditpolairud) visited the remote coastal village of Banglas Barat in the Meranti Islands as part of the 'Ekspedisi Merah Putih' movement ahead of Indonesia's 81st Independence Day. The initiative, under the 'JALUR' (Jelajah Riau Untuk Rakyat) programme, delivered concrete aid including 50 packages of rice to fishermen and underprivileged families. The visit also involved distributing national flags and tree seedlings to foster nationalism and support environmental policing in the outermost maritime border region.

BPJS Kesehatan Encourages Use of OSS Ecosystem to Strengthen Business Compliance

BPJS Kesehatan is pushing for greater interoperability with the Online Single Submission (OSS) system to ensure businesses register their workers for the National Health Insurance (JKN) program. The initiative aims to move beyond administrative measures by integrating systems to make compliance information more accessible to the 17 million business entities currently in the OSS ecosystem. The collaboration with the Ministry of Investment and Downstreaming is seen as key to sustaining worker health protection.

West Lombok Deputy Regent Shifts IDR 4 Billion LAZ-Era Hall Renovation Budget, Citing Drought Priorities

West Lombok Deputy Regent Nurul Adha has reallocated IDR 4 billion originally earmarked for the regent's office hall renovation, a project inherited from the previous administration. Adha argued the renovation is not urgent compared to pressing humanitarian needs such as drought management. The decision follows a comprehensive budget review and comes in the wake of a corruption sting operation that ensnared the former regent.

British Pound: Resilient Growth Supports Rise Against US Dollar โ€“ MUFG

The British pound has emerged as the best-performing major currency in August, buoyed by a resilient UK economy that has withstood energy price shocks. Strong private consumption, recovering business investment, and robust services and IT activity have underpinned the currency's strength, pushing cable back above the 1.3500 level.

MediaMIND 2026 Invites Journalists and Public to Highlight Indonesia's Sovereignty

State-owned mining holding company MIND ID has launched the fifth edition of its MediaMIND journalism competition, themed 'From the Earth for the Nation's Sovereignty'. The competition seeks data-driven and analytical works exploring how Indonesia's mineral wealth is managed to strengthen national industry, support the energy transition, and enhance public welfare. It features six sub-themes including economics, ESG, downstream processing, and social contribution.

MPR Speaker Ahmad Muzani Calls for Strengthening Indonesia's Sovereignty, from Natural Resources to Palestine

MPR Speaker Ahmad Muzani has urged the reinforcement of national sovereignty through equitable and sustainable natural resource management, in line with the constitution. He highlighted the government's single-export gateway policy as a means to boost state revenue and curb illicit financial practices. Muzani also reaffirmed Indonesia's unwavering support for Palestinian independence and called for an end to global conflicts through diplomacy.

Volunteer Group: 121 Transformative Policies Show Prabowo's Government Is Present for the People

The head of the Arus Bawah Prabowo (ABP) volunteer group, Michael F Umbas, has praised President Prabowo Subianto's state address as a demonstration of concrete policy transformation rather than mere rhetoric. Umbas highlighted the government's courage in tackling long-standing issues and stressed the importance of ensuring these 121 transformative policies deliver tangible benefits at the grassroots level. He specifically noted the focus on human development through free nutritious meals, school repairs, food security, and the restructuring of state-owned enterprises.

Regent Hamenang Reveals Reasons for Klaten's 2026 Budget Amendment

Klaten Regent Hamenang Wajar Ismoyo has explained that the amendment to the 2026 Regional Budget is a necessary adjustment to align with central and provincial government regulations. The revision involves reallocating approximately Rp11 billion originally earmarked for capital injection into PD BKK Tulung to a contingency fund, following directives from the Financial Services Authority (OJK). The local parliament also approved the formation of a special committee to address issues at PD BKK Klaten and scheduled the election of a new deputy regent for 26 August 2026.

House Commission VI Ready to Support Danantara Development Management Fund

The House of Representatives' Commission VI has expressed readiness to support the newly introduced Danantara Development Management Fund (DDMF). The fund, unveiled by President Prabowo Subianto, is designed to finance long-term strategic projects that are not yet commercially viable. It aims to build national capacity without relying on the state budget.

Maluku Health Office Intensifies Leprosy Screening for Schoolchildren

The Maluku Provincial Health Office is actively conducting leprosy screening in primary schools to break the chain of transmission from an early age. Since the start of 2026, 22 paediatric cases have been recorded, representing about 12 per cent of the total 179 cases in the region. The initiative aims to accelerate elimination efforts, prevent disability through early treatment, and combat the stigma associated with the disease.

Purbaya Confident Rp 2,908 Trillion Tax Revenue Target Achievable

Finance Minister Purbaya Yudhi Sadewa expressed confidence that Indonesia's tax and customs revenue target of Rp 2,908 trillion for 2027 can be met, driven by stronger economic growth. The tax revenue component alone is set at Rp 2,591.4 trillion, representing a tax-to-GDP ratio of 9.3%. Purbaya noted that improvements in tax collection methods this year could provide further upside potential for the 2027 target.

Three Parents in Jeneponto Assault Teacher After Disciplinary Action Against Child

Three parents in Jeneponto, South Sulawesi, have been reported to the police for allegedly assaulting a primary school teacher after their child received disciplinary punishment. The incident occurred at SD Negeri 14 Tamalate, with both the teacher and the parents subsequently filing police reports. Authorities are currently investigating the alleged assault and the parents' counter-claim of child abuse by the teacher.

US Tech Giant Microsoft Scales Back China Operations Amid Geopolitical Tensions

Microsoft has quietly closed at least 15 offices in China over the past five years as geopolitical friction and Beijing's push for domestic software alternatives squeeze its business. Internal discussions reportedly considered a full exit in 2023, though the company remains for now, citing profitable ties with firms like ByteDance and access to engineering talent. The shift reflects a broader retreat by American technology firms as China increasingly favours 'safe and controllable' local technology.

DPR Responds to Proposal for Limited Dual Citizenship for Exceptional Talent

The Indonesian House of Representatives has responded to President Prabowo Subianto's proposal to amend laws allowing limited dual citizenship for exceptional talents. The initiative aims to attract highly skilled diaspora members, including scientists and engineers, to contribute to national interests without renouncing their original citizenship. The government emphasised the process would be highly selective and limited in scope.

Kijing Terminal's Non-Container Throughput Surges 88.25% in First Half of 2026

The Kijing Terminal in West Kalimantan recorded a significant 88.25% increase in non-container throughput, reaching 3.27 million tonnes in the first half of 2026. The growth was primarily driven by dry and liquid bulk commodities, reinforcing the terminal's strategic role in supporting logistics connectivity in western Indonesia. The operator, PTP Nonpetikemas, attributed the strong performance to operational transformation and enhanced service quality.

SLHS Becomes Absolute Requirement, 9 MBG Kitchens in Yogyakarta Without Certificates Reported

Nine out of 424 operational kitchens for Indonesia's free nutritious meal programme (MBG) in the Yogyakarta Special Region lack the mandatory Sanitation Hygiene Eligibility Certificate (SLHS). The National Nutrition Agency (BGN) has reinforced that the SLHS is an absolute requirement for operations, with a deadline of 10 August 2026. Local health authorities have reported the non-compliant kitchens and will coordinate with district governments to ensure certification is obtained.

Lestari Moerdijat Says MPR Annual Session a Benchmark for National Development

Deputy Speaker of the People's Consultative Assembly (MPR) Lestari Moerdijat has stated that the MPR Annual Session serves as a strategic benchmark for the continuity of national development and public accountability. She emphasised that the state address and financial note must reflect the government's commitment to addressing inequality and strengthening food and energy security. Moerdijat also called for regional aspirations to be integrated into mainstream national policy to ensure development is not concentrated solely on Java.

Indonesia Could Reap Layered Benefits from National Vehicle Production

An automotive expert from the Bandung Institute of Technology (ITB) argues that successfully producing national electric cars and motorcycles would yield strategic, multi-layered benefits for Indonesia. These include strengthening energy sovereignty by slashing fuel imports and transforming nickel reserves into a high-value battery ecosystem. The assessment follows President Prabowo Subianto's announcement of incentives for one million domestically produced electric motorcycles.

Klaten Government Welcomes Geopark Designation, Ready to Boost Local Economy

The Klaten Regency Government has welcomed the Ministry of Energy and Mineral Resources' designation of several geological sites as a Geological Nature Reserve Area. This status provides a legal basis for conservation and is expected to develop special-interest geotourism, creating a multiplier effect for the local economy. The Geopark Klaten area includes 15 sites, primarily located in the Bayat district.

Government pushes strengthening of gold ecosystem to support monetary system

The Indonesian government is accelerating efforts to build a comprehensive gold ecosystem, from production to bullion banking, to bolster the national economy and monetary system. Despite an estimated 3,600 tonnes of mine reserves, Bank Indonesia's monetary gold holdings stand at just 87.1 tonnes. Officials aim to formalise artisanal mining and leverage domestic refining capacity to reduce illegal trade and increase the strategic use of gold.

PTP Nonpetikemas Strengthens Safety Driving Culture at Kijing Terminal

PT Pelabuhan Tanjung Priok (PTP Nonpetikemas) has reinforced its safety driving culture at Kijing Terminal in Mempawah Regency by educating around 200 business partners and service users. The initiative, part of the company's social and environmental responsibility (TJSL) and ESG commitments, aims to enhance compliance with occupational safety standards. The collaborative effort involved multiple stakeholders, including port authorities, traffic police, and local government agencies, to promote a zero-accident environment.

Economist: Prabowo's two speeches show increasingly clear economic direction

An economist views President Prabowo Subianto's recent addresses as signalling a clearer economic development path for Indonesia, uniting government, business, and capital markets towards shared prosperity. The speeches shift focus from state budget reliance to creating an environment where all economic actors can drive growth. However, the market awaits concrete implementation details to restore business confidence and translate the vision into tangible investment and job creation.

OJK Assures Oversight Unchanged Amid Stock Exchange Demutualisation

Indonesia's Financial Services Authority (OJK) has affirmed that the demutualisation of the Indonesia Stock Exchange (IDX) will not diminish its regulatory and supervisory powers. The process is viewed as a strategic move to strengthen the institution and boost the competitiveness of the Indonesian capital market. The OJK emphasised that maintaining the exchange's independence and protecting investors, particularly retail and minority ones, remain paramount principles.

Economic Challenges 2026: Manufacturing Transformation and Financial Literacy Key to Growth

Indonesia's economic resilience hinges on structural reforms in manufacturing and a shift towards client-centric banking, according to experts. UOB economist Enrico Tanuwidjaja stressed the need to channel fiscal incentives into manufacturing to create stable employment and boost investor confidence. Meanwhile, financial institutions are urged to leverage technology to meet the evolving expectations of a younger, experience-driven middle class.

Tax Revenue Target in 2027 Draft State Budget Rises 12.1% to Rp2,591.4 T

The Indonesian government has proposed a 12.1% increase in the tax revenue target for 2027, setting it at Rp2,591.4 trillion in the draft state budget. Finance Minister Purbaya Yudhi Sadewa noted that while tax collection is targeted to rise, customs and excise revenue is projected to decline by 1.2%. The overall tax revenue target for 2027 is set at Rp2,908 trillion, with the minister highlighting potential for further gains through improved tax ratio management.

Ensuring a Portion of Free Nutritious Meals Remains Safe for Consumption

Authorities in Central Sulawesi are conducting chemical tests on food samples from the Free Nutritious Meals programme to ensure safety. The National Nutrition Agency also enforces a strict four-hour consumption window to mitigate health risks.

Bogor Council Scrutinises 2025 Budget Accountability, Highlights Rp73 Billion Surplus and Biskita Financing

The Bogor City Regional People's Representative Council (DPRD) has raised concerns over the city's 2025 budget implementation, pointing to a significant Rp73 billion surplus (SILPA) as evidence of suboptimal programme realisation. Councillors are pushing for a revision of the Biskita Trans Pakuan subsidy model to be based on passenger numbers rather than bus mileage to improve public benefit. The council also urged the city government to enhance financial governance in the health sector and resolve long-standing regional receivables to strengthen fiscal health.

Indonesia's budget deficit stays at 0.91 pct of GDP through July 2026

President Prabowo Subianto reported that Indonesia's budget deficit remained under control at 0.91 percent of GDP through July 2026, with state revenue growth of 21.3 percent outpacing an 18.2 percent rise in spending. The increased expenditure was directed towards maintaining public purchasing power and funding strategic programmes such as free nutritious meals, social assistance, infrastructure, and energy subsidies. The President emphasised that the government is pursuing both economic growth and fiscal discipline simultaneously.

Ojol Presidential Regulation Finalisation Nears Completion, One Meeting Remaining

The Indonesian House of Representatives (DPR) has announced that the deliberation of the Presidential Regulation (Perpres) on online motorcycle taxis (ojol) is almost complete, with a final meeting scheduled for 18 August 2026. The regulation aims to provide legal clarity on the transportation of people and goods, while categorising drivers as micro, small, and medium enterprises (UMKM) to offer them flexibility and access to incentives. Officials have dismissed rumours that the UMKM status will automatically subject drivers to taxation, calling such claims a hoax.

Kadin urges 2027 state budget draft to become investment lever

The Indonesian Chamber of Commerce and Industry (Kadin) has called for the 2027 Draft State Budget (RAPBN) to serve as a catalyst for investment by generating a multiplier effect on the economy. Chairman Anindya Bakrie highlighted the Rp4,097.2 trillion spending plan as a significant economic force that must attract private investment. Kadin also expressed support for the government's eight national priority programmes, emphasising the need for public-private partnerships to expand productive investment.

President targets 30 GW of solar power in 2026

President Prabowo Subianto has announced an ambitious target to develop 30 gigawatts of solar power capacity by 2026 as part of efforts to bolster national energy self-sufficiency. Speaking during the 2027 Draft State Budget address, he highlighted the inefficiency of relying on diesel shipments for remote islands and urged every village to host a 1-megawatt solar plant. The initiative is projected to slash electricity generation costs by up to Rp73.9 trillion annually while reducing fuel imports and conserving foreign exchange.

PDIP Unfazed by Coalition Secretaries-General Meeting

The Indonesian Democratic Party of Struggle (PDIP) has stated it has no issue with a recent meeting of secretaries-general from the government coalition parties. The gathering, hosted by Gerindra's secretary-general, was described as a friendly occasion to mark Independence Day and strengthen communication within the ruling coalition.

JAKI App Downloaded Over 7.06 Million Times, Jakarta to Share Digital Platforms

The Jakarta Kini (JAKI) super-app has surpassed 7.06 million downloads and now offers 101 public service features, according to the city's communication agency. Jakarta is also launching the JAKI & Fellowship Cities Forum 2026 to promote equitable digital transformation across Indonesia. As part of this initiative, the capital will provide its City Data Platform and Learning Management System to partner local governments free of charge, complete with technical assistance.

Prabowo plans air ambulances to improve healthcare in remote areas

President Prabowo Subianto has announced plans to deploy air ambulances capable of landing on rough terrain to address critical healthcare delays in remote regions, citing cases of maternal deaths due to long travel times. The initiative is part of a broader healthcare overhaul that includes renovating 10,000 community health centres and establishing diagnostic laboratories in all regencies and cities by 2030. The government aims to overcome geographical barriers and crumbling infrastructure through innovative solutions like flying doctor teams.

South Sumatra on High Alert for Forest Fires as Dry Season Peaks

Forest and land fires in South Sumatra have consumed 1,926.2 hectares from January to July 2026, a sharp increase from 664.8 hectares recorded up to June. Ogan Komering Ulu regency is the worst affected area, with officials warning of heightened fire risk as the dry season intensifies.

Indonesian Army Provides 16 Boreholes to Tackle Water Crisis in Teluk Wondama

The Indonesian Army has constructed 16 boreholes in Teluk Wondama Regency, West Papua, to alleviate a severe clean water crisis exacerbated by the current dry season. Each borehole is capable of supplying water to approximately 45 families, directly benefiting remote communities that previously relied on dwindling or dried-up surface water sources. Local government and church leaders have praised the initiative, noting it resolves a 14-year struggle for some residents who depended solely on river water.

Deputy Minister Reveals Diaspora Eligible for Dual Citizenship

The Indonesian government is drafting a bill to grant limited dual citizenship to select diaspora members. Deputy Law Minister Edward Omar Sharif Hiariej stated that eligibility will focus on athletes, professionals, and individuals with specialised expertise. The policy aims to facilitate technology and knowledge transfer to benefit the country.

Prabowo to Upgrade LKPP to Government Procurement Agency

President Prabowo Subianto has announced plans to transform the National Public Procurement Agency (LKPP) into a full-fledged Government Procurement Agency. The institutional upgrade aims to consolidate all government purchasing of goods and services to eliminate inefficiencies and strengthen the state's bargaining power. The government projects potential savings of up to Rp360 trillion from the annual procurement budget of Rp1,200 trillion.

UMJ Public Administration Study Programme Retains Superior Accreditation

The Public Administration Study Programme at the University of Muhammadiyah Jakarta (UMJ) has successfully maintained its 'Superior' accreditation status from LAMSPAK, valid until 2031. The achievement was driven by early preparation, digital archiving, and strengthened academic and industry partnerships. The programme aims to build on this status to enhance graduate quality and global competitiveness.

Prabowo Declares Giant Sea Wall 'Absolutely Necessary', Cites Netherlands as Example

President Prabowo Subianto has stressed the urgent need to construct a giant sea wall along Java's northern coast, warning against waiting for a disaster to strike before acting. He pointed to the Netherlands as a successful model of long-term flood protection infrastructure. The project, estimated to take up to 20 years and divided into 15 segments from Banten to Gresik, is intended to safeguard millions of lives.

2027 Education Budget Set at Rp820.9 T, Purbaya: Around Rp240 T for Free Nutritious Meals

Finance Minister Purbaya Yudhi Sadewa announced that the free nutritious meal (MBG) programme will receive approximately Rp240 trillion of the total Rp820.9 trillion education budget in the 2027 draft state budget. The allocation represents nearly 30% of the education spending and is designed to reach 60.6 million beneficiaries. The budget also funds other major initiatives including scholarships, teacher allowances, and school infrastructure projects.

Economic growth and food self-sufficiency are assets for Indonesia's diplomacy: observer

An international relations expert argues that Indonesia's first-quarter 2026 economic growth and newly achieved food self-sufficiency can serve as a crucial foundation for economic diplomacy. These domestic achievements are seen as strengthening the nation's bargaining position in trade negotiations amid global tensions, particularly those arising from US tariff policies. The observer notes that consistent implementation will be key to ensuring these gains translate into lasting regional influence rather than mere rhetoric.

MPR Speaker Calls for Unity as Main Strength to Face Challenges

The Speaker of Indonesia's People's Consultative Assembly (MPR), Ahmad Muzani, has urged the nation to uphold unity as its primary strength in overcoming various challenges. Speaking at the 2026 Annual Session, he emphasised that political differences should not fracture national brotherhood and that unity must be nurtured through justice and dialogue. He also highlighted government programmes like the Free Nutritious Meals initiative as long-term investments in human capital for the 2045 Golden Generation vision.

Prabowo Satisfied with Danantara's Performance and SOE Transformation

President Prabowo Subianto has expressed strong satisfaction with the performance of the Danantara sovereign wealth fund, citing significant profit growth across multiple state-owned enterprises (SOEs). Key companies such as PT Timah and Pupuk Indonesia reported profit surges of 804.7% and 253% respectively, while previously loss-making entities like Krakatau Steel have returned to profitability. The transformation is attributed to strategic partnerships, legal reforms, and a focus on core business activities to enhance asset productivity.

Kadin urges 2027 state budget draft to become investment lever

The Indonesian Chamber of Commerce and Industry (Kadin) has called for the 2027 State Budget Draft (RAPBN) to act as a catalyst for private investment, not merely a development tool. Chairman Anindya Bakrie highlighted the Rp4,097.2 trillion spending plan's potential to create a significant multiplier effect. Kadin also stressed the importance of public-private partnerships to free up fiscal space for basic services and social protection.

Prabowo Warns Against Large-Budget Projects with Minimal Public Benefit

President Prabowo Subianto has cautioned the government against undertaking projects with massive budgets that deliver little benefit to the public. He stressed that every rupiah spent must have a clear purpose and called for the elimination of corruption, mark-ups, and inefficient spending. The president also urged regional governments to redirect funds from lavish celebrations towards improving public services like schools and hospitals.

Prabowo Thanks Parliament, Puan Says Nation-Building Cannot Be Done Alone

House Speaker Puan Maharani responded to President Prabowo Subianto's appreciation for legislative synergy, particularly with her PDI-P party, by stressing that national development requires collective effort. Puan affirmed that PDI-P is ready to support government policies as long as they serve the people's interests. Prabowo had earlier praised the swift cooperation between the government and the DPR, jokingly describing his policy approach as 'Marhaenism' rather than 'Prabowonomics'.