Indonesian Political, Business & Finance News

Archive: 28 August 2026

Showing 501-550 of 1,420 articles

OJK welcomes appointment of new BI officials, highlights growing female leadership

OJK Chairperson Friderica Widyasari Dewi has welcomed the selection of Destry Damayanti as Bank Indonesia Governor and Aida S. Budiman as Senior Deputy Governor, noting the milestone of having women in the central bank's top two positions. Damayanti becomes the first woman to be definitively appointed as BI Governor, with her term running from 2026 to 2031. The OJK chief expressed hope that the new BI leadership will further strengthen coordination and collaboration between the two financial authorities.

Velix Wanggai: Papua has potential to strengthen Indonesia-Timor-Leste cooperation

Velix Vernando Wanggai, a member of the Executive Committee for the Acceleration of Papua Development (KEPP), has said Papua could strengthen connectivity and cooperation between Indonesia and Timor-Leste in developing eastern Indonesia. He made the remarks while accompanying President Prabowo Subianto in a meeting with Timor-Leste President José Ramos-Horta at the Presidential Palace in Jakarta. Wanggai highlighted potential cooperation in the economy, connectivity, and human resource development.

TAP's Strategy to Prevent Forest Fires by Boosting Local Economy

PT Triputra Agro Persada Tbk (TAP) is using a community empowerment programme called Desa Makmur Peduli Api (DMPA) to prevent forest and land fires in Central Kalimantan by providing alternative livelihoods. In Desa Jahitan, a Rp100 million reward fund was used to develop a brick-making business employing six residents. The company emphasises that fire prevention requires year-round preparedness and collaboration with communities and government.

MPR to Publish PPHN Draft Tomorrow, Targets Enactment by 2027

The People's Consultative Assembly (MPR) will publish the draft of the State Policy Guidelines (PPHN) on Saturday to gather public input. MPR Speaker Ahmad Muzani said the draft will be accessible on the MPR's official website from 4 p.m. Western Indonesia Time. The MPR aims to make the PPHN a legal product by 2027, with the preferred option being an MPR decree, which would require a limited constitutional amendment.

Businesses Urged to Use AI for Faster, Measurable Decision-Making

Digital marketing practitioner Aldo Pasha Permana has encouraged businesses, particularly SMEs in the Riau Islands, to adopt artificial intelligence as a practical tool for making faster and more measurable decisions. Speaking at a Telkom and TDA Kepri event in Batam, he stressed that AI should support rather than replace business owners. He also highlighted the importance of starting digitalisation with simple steps such as analysing sales data and strengthening digital presence.

Lebak Regency Government optimistic KNMP will drive coastal economy

The Lebak Regency Government in Banten is optimistic that the Kampung Nelayan Merah Putih (KNMP) programme will boost the coastal economy and improve the welfare of fishing communities. The programme, initiated by President Prabowo Subianto, integrates fishing ecosystems, cooperatives and markets, with facilities including cold storage, fish auction sites and fuel stations planned for 2026. Local fish-based products such as tuna floss are already reaching domestic and international markets, with business turnover reaching billions of rupiah per year.

Rupiah strengthens amid affirmation of Bank Indonesia independence

The rupiah strengthened against the US dollar on Friday, supported by assurances from incoming Bank Indonesia Governor Destry Damayanti that closer synergy with the government will not compromise the central bank's independence or credibility. Destry also stressed the importance of policy mix and deepening money and foreign exchange markets to maintain rupiah stability. Market attention now turns to domestic inflation and trade data, as well as signals from the US Federal Reserve.

What's Up with Singapore? Economic Growth Now Takes a 'K' Shape

Singapore's headline GDP growth remains strong, but the benefits are unevenly distributed across sectors. Economists point to a 'K-shaped' pattern where AI-driven manufacturing and exports surge while domestic retail, F&B, and labour-intensive services lag behind. This divergence raises concerns about job creation, wage growth, and long-term inequality.

IHSG weakens amid wait-and-see market ahead of US Jackson Hole Symposium

The Indonesia Stock Exchange composite index closed slightly lower on Friday as investors awaited the US Federal Reserve's Jackson Hole Symposium for signals on interest rate policy. Market participants also weighed domestic developments, including the parliamentary approval of Destry Damayanti as the next Bank Indonesia governor. Sectoral performance was mixed, with financials leading gains while industrial stocks fell the most.

Dangers of Forest Fire Haze for Children and How to Protect Them

A paediatric specialist has warned that repeated or high-concentration exposure to haze from forest and land fires can significantly damage children's respiratory tracts. The doctor highlighted the particular danger of PM2.5 particles, which can penetrate deep into the lungs, and urged parents to take preventive measures. Parents are advised to seek immediate medical attention if children show signs of respiratory distress.

Economic Justice in Caliph Umar's Pledge: The Wealth of the Rich Must Return to the Poor

Caliph Umar bin Khattab pledged to redistribute surplus wealth from the rich to the poor before his assassination, reflecting his commitment to social justice. His death as a martyr prevented the fulfilment of this promise, which was mourned across the Muslim community. The article highlights how his leadership was widely seen as a guarantor of security and fairness.

BPD Bali and Bank Lampung Embrace Green Economy and Digitalisation

Regional development banks BPD Bali and Bank Lampung are expanding financing into green economy and digital sectors. BPD Bali reports that 52.73% of its lending already targets green initiatives, while Bank Lampung sees opportunities in solar energy, agricultural downstreaming, and digital platform businesses. Both banks are also enhancing digital services to support SMEs and tourism.

China suspends Gyirong rescue operations amid lake breach threat

Rescue operations near the Gyirong checkpoint in China's Tibet Autonomous Region have been suspended due to the risk of a dammed lake bursting. The lake, formed at the confluence of two rivers, is estimated to hold at least 2.5 million cubic metres of water and poses a high risk of downstream flooding. The suspension follows severe flooding on Nepal's Bhotekoshi River, where 558 people, including 260 foreigners, remain missing.

Bank Indonesia Wins Rp 24 Trillion in Bids at SRBI Auction

Bank Indonesia secured Rp 24 trillion in bids at its latest SRBI auction, out of Rp 43.5 trillion in total incoming offers. The weighted average yield for the 12-month tenor fell to 7 percent from 7.37 percent previously, reflecting improved money market and banking liquidity conditions. The central bank said it will continue optimising monetary instruments to support rupiah stability and attract foreign portfolio inflows.

Indonesia's Pride Tree Becomes the Secret Behind the Fragrance of Arabian Perfume

Indonesia's agarwood exports rose in both volume and value throughout 2025, with Saudi Arabia absorbing nearly half of total shipments and over 70% of export value. The average export price per kilogram also increased, indicating stronger demand for higher-quality products. The data highlights the growing economic importance of agarwood and the need for better market and quality management.

Kulon Progo Becak Driver's Data Updated: Drops from Decile 9 to Decile 3

Statistics Indonesia (BPS) has updated the economic data of a becak (pedicab) driver in Kulon Progo, Yogyakarta, after he was unexpectedly recorded in decile 9, which disqualified him from receiving social assistance. The driver, Timbul, has now been reclassified to decile 3 following data verification. The case highlights the importance of data updating to ensure social welfare programmes accurately target beneficiaries.

BNPB: No Additional Deaths from NTT Earthquake Today

The National Disaster Management Agency (BNPB) has confirmed that the death toll from the earthquake in East Nusa Tenggara remains at 111, with no new fatalities reported today. The number of displaced persons has decreased by 712 as some residents in Sikka Regency have returned home. The agency continues to urge those still afraid to return to utilise centralised shelters offering essential services.

Statement on Early Election Goes Viral, Budi Arie: Not Jokowi's Stance

Projo chairman Budi Arie Setiadi has clarified that his remarks about the possibility of accelerating the 2029 general election were his personal views and did not represent former president Joko Widodo's position. He made the statement during a meeting with Jokowi and volunteers, and said the former president merely listened to the views expressed. Budi Arie also denied orchestrating the recording that went viral and stressed that political dynamics must be managed in accordance with democracy and the constitution.

Bima Arya Urges Regional Autonomy to Become Engine of Economic Growth

Deputy Home Affairs Minister Bima Arya Sugiarto has called for a fundamental shift in regional autonomy, moving beyond the mere division of authority towards creating value and new centres of economic growth. He outlined three paradigm transformations for local governments, including a shift from resource-based to value-creation-based decentralisation. The Ministry of Home Affairs is also finalising a grand design for regional autonomy that will refine revenue-sharing and general allocation fund formulas.

Indonesian military holds joint drills ahead of carrier operations

The Indonesian Army, Navy, and Air Force conducted integrated ship boarding operation exercises to prepare for the arrival of the country's first aircraft carrier, formerly Italy's ITS Giuseppe Garibaldi. The drills included helicopter takeoff and landing practice on a flight deck replica and aboard KRI Makassar, with the vessel expected to be renamed KRI Gajah Mada upon its arrival in September. The exercise underscores the Indonesian military's push to enhance joint operational readiness and maritime capability.

Weighing the Sisdiknas Bill for Inclusive Education

The Ministry of Religious Affairs has proposed incorporating the value of Belief in God into the principles of the National Education System Bill. The proposal is framed as an effort to strengthen the ideological and ethical foundations of Indonesian education while ensuring inclusivity and quality assurance. The article argues that making Belief in God an explicit principle would allow it to both inspire and embody the national education system.

Deputy Home Affairs Minister Highlights Delays in Special Autonomy Fund Disbursement in Papua

Deputy Home Affairs Minister Ribka Haluk has urged regional governments across Papua to accelerate the disbursement of the second tranche of special autonomy funds for the 2026 fiscal year. The funds, which should have been distributed by June, remain incomplete in several regions as of August. Haluk stressed that delays cannot be justified by regulatory or human resource constraints and called for stronger coordination and oversight.

Lightning Strikes Makkah Clock Tower - Indonesia's Strategy to Attract Foreign Investors

Dramatic footage captured lightning striking the Makkah Clock Tower in Saudi Arabia during a severe storm. Meanwhile, Coordinating Minister for Economic Affairs Airlangga Hartarto announced that the government has established an International Financial Centre in Indonesia. The initiative aims to facilitate greater inflows of foreign investment into the country.

House Commission VII highlights obstacles to using intellectual property as collateral for KUR in Bali

House of Representatives Commission VII has identified structural barriers preventing intellectual property from being effectively used as collateral for People's Business Credit (KUR) loans to MSMEs and the creative economy in Bali. Lawmakers noted that banks lack systems and competent appraisers to value intangible assets, despite a central government scheme offering up to Rp10 trillion in IP-based KUR financing. Bali is seen as a potential pilot region for developing IP-based financing models.

Non-Coal Business Contributes 66.5 Percent of TBS Revenue in First Half of 2026

PT TBS Energi Utama Tbk has reported a significant shift in its revenue structure, with non-coal businesses now contributing 66.5 percent of consolidated revenue in the first half of 2026. The company's waste management and electric vehicle ecosystem segments have overtaken coal, which now accounts for 31.4 percent. Gross profit more than doubled to $28.2 million, while operating cash flow turned positive at $14.6 million.

Many People No Longer Trust Doctors and Teachers, Here's Why

A new survey reveals that artificial intelligence is eroding public trust in professional experts such as doctors and teachers, with nearly two-thirds of respondents feeling confident to challenge expert advice. The trend, dubbed an 'expertise recession', is most pronounced among younger generations who use AI to verify information. Analysts warn of a widening gap between confidence and actual competence as reliance on AI grows.

Jember Regent Inaugurates Two Suspension Bridges with PSMTI and Pegadaian

Jember Regent Muhammad Fawait inaugurated two suspension bridges in Jelbuk and Panti sub-districts, built through a collaboration between the local government, the Indonesian Chinese Social Association (PSMTI), and PT Pegadaian. The regent stressed that regional development cannot rely solely on the local budget and requires cross-sector synergy. The bridges are expected to improve village access, economic mobility, and connectivity in peripheral areas.

Coordinating Ministry for Economic Affairs: Oil palm smallholders required to obtain ISPO certification from 2029

The Indonesian government has set 19 March 2029 as the deadline for all oil palm smallholders to obtain Indonesian Sustainable Palm Oil (ISPO) certification, following the enactment of Presidential Regulation No. 16 of 2025. Certification rates among smallholders remain low, with only 144 smallholder business entities certified as of June 2026, prompting the government to provide financing and institutional support. The regulation also extends ISPO coverage from upstream to downstream sectors, including industry and bioenergy.

Baznas Provides 15,000 Meal Packages, Health Services and Santri Scholarships at NU Congress

The National Amil Zakat Agency (Baznas) is supporting the 35th Nahdlatul Ulama (NU) Congress in Jombang, East Java, with a range of services including 15,000 meal packages, health facilities and scholarship programmes for santri. The initiative involves Baznas-assisted mustahik in food production and distribution, reflecting the agency's aim to expand the benefits of zakat. Baznas also deployed medical teams, ambulances and a mobile clinic to serve congress participants and the surrounding community.

UAD Community Service Students Assist Post-Earthquake Recovery in West Manggarai

Fifteen students from Universitas Ahmad Dahlan have been deployed to Cunca Wulang Village in West Manggarai to support humanitarian recovery efforts following an earthquake that struck East Nusa Tenggara. The students are conducting damage assessments, psychosocial support, and disaster preparedness education in coordination with Muhammadiyah's disaster management centre. Their work includes compiling data on affected buildings and assisting with aid distribution from external parties.

Observer: Unsoed corruption disclosure momentum for auditing state university governance

Education observer Ina Liem has called for a comprehensive audit of state university governance following the corruption case involving the Rector of Universitas Jenderal Soedirman. She argues that corruption in Indonesian higher education is systemic and that authorities should not wait for sting operations or viral cases before conducting inspections. The Corruption Eradication Commission has named six suspects in the case, including the rector and other university officials.

Bareskrim: Two Syndicates Smuggling Illegal Gold from Indonesia to Dubai and Hong Kong

The Indonesian National Police's Criminal Investigation Agency (Bareskrim) has identified two separate syndicates involved in smuggling illegal gold out of Indonesia, with destinations in Dubai and Hong Kong. Authorities are expanding their investigation, preventing detained suspects from leaving the country, and tracing their assets. International cooperation through Interpol and the Police International Relations Division will be pursued to apprehend suspects who have fled abroad.

Bank Lampung's Strategy to Boost MSME Credit Growth

Bank Lampung is shifting its lending focus from consumer credit towards productive segments, targeting double-digit credit growth by the end of 2026. The bank plans to expand micro KUR lending, commercial working models, and supply chain financing, with agriculture as a priority sector aligned with the governor's programme. MSMEs in Lampung are seen as resilient, particularly in cassava processing, coffee, maize, fisheries, and staple goods trading.

Business Diversification: This Issuer Eyes Profit from Free Nutritious Meals Programme

Automotive component issuer PT Cipta Perdana Lancar Tbk (PART) is targeting a 46.18% year-on-year increase in net profit for 2026, driven by diversification into non-automotive businesses including equipment supporting the government's Free Nutritious Meals (MBG) programme. The company has already recorded revenue of Rp177.64 billion and net profit of Rp9.11 billion as of June 2026. PART aims to reach Rp413.62 billion in revenue and Rp44.16 billion in net profit for the full year, while maintaining its core automotive business as the main foundation.

Undip and University of Aberdeen develop lithium recovery technology

Researchers from Universitas Diponegoro and the University of Aberdeen are collaborating on membrane and adsorbent technology to recover lithium from subsurface brines. The project, funded through the UK's International Science Partnerships Fund, aims to develop more selective and effective materials for extracting critical minerals. The research addresses growing global demand for lithium and other critical minerals used in high-tech industries, green energy, and defence.

Danantara Dividend of Rp120 Trillion Becomes New 'Ammunition' for Purbaya to Curb Deficit

The Indonesian government is set to receive approximately Rp120 trillion in state-owned enterprise dividends from the Daya Anagata Nusantara Investment Management Agency (BPI Danantara), providing significant additional fiscal space. Finance Minister Purbaya Yudhi Sadewa said the windfall could help lower the 2026 state budget deficit from its current target of 2.85% of GDP and reduce the need for new debt issuance. The dividend figure marks an increase from around Rp90 trillion in previous years.

MPR Speaker Reveals Prabowo Wants PPHN Regulated Through MPR Decree

MPR Speaker Ahmad Muzani has disclosed that President Prabowo Subianto prefers the State Policy Guidelines (PPHN) to be enacted via an MPR Decree (TAP MPR). The option has narrowed from two alternatives: a constitutional amendment or a law. However, this approach faces legal hurdles because the MPR's authority to issue decrees was restricted by the 2002 constitutional amendments, potentially requiring a limited amendment.

Complying with OJK Regulations, Indodana Fintech Affirms Commitment to Prudential Principles

Indodana Fintech, operated by PT Artha Dana Teknologi, has reaffirmed its commitment to prudential principles and compliance with Financial Services Authority (OJK) regulations. The company was recognised as 'The Excellent Performance Financial Technology Company 2026' at the Infobank Financial Technology Award 2026. Indodana Fintech has disbursed financing to more than 2.1 million users in Indonesia.

Fintech Companies Urged to Uphold OJK Regulations with Prudential Principles

Indodana Fintech has emphasised that adherence to OJK regulations and prudential principles is essential for fintech success in Indonesia. The company received recognition at the Infobank Financial Technology Award 2026 for its performance and risk management. Its leadership highlighted the role of responsible lending in supporting financial inclusion and economic growth.

Deputy Home Affairs Minister stresses regional governments must not delay special autonomy fund disbursement

Deputy Home Affairs Minister Ribka Haluk has urged regional governments across Papua to accelerate the disbursement of the second phase of special autonomy funds for the 2026 fiscal year. She warned that delays cannot be justified by regulatory or human resource constraints, as the mechanism has already been established. The minister called for stronger coordination and oversight to ensure the funds are realised promptly and benefit local communities.

Tourism Ministry Prepares New Destinations in Labuan Bajo After Flores Earthquake

Indonesia's Tourism Ministry is planning to develop new tourist destinations around Labuan Bajo, including Kukusan Island, Kelor Island and Rangko Cave, as part of the area's post-earthquake recovery. Minister Widiyanti Putri Wardhana said construction is targeted to begin next year and be completed within five years. The regent of West Manggarai welcomed the plan, hoping it will extend tourists' average length of stay from 2.8 days to seven days.

BI Absorbs Rp24 Trillion from SRBI Auction, Yield Declines

Bank Indonesia secured Rp24 trillion from its latest auction of Rupiah Securities, the highest amount this month. The weighted average yield on 12-month SRBI fell to 7% from 7.37% in the previous auction, reflecting improved liquidity conditions. The central bank stated it will continue to optimise monetary instruments to support money market stability and the Rupiah.

National Police Chief Calls Labour Unions His 'Second Home'

National Police Chief General Listyo Sigit Prabowo has described labour unions as his 'second home' during the 2026 KSBSI national working meeting. He pledged to optimise the Police Labour Desk as a strategic partner for workers, particularly in handling industrial relations disputes and protecting workers from criminalisation. Sigit also linked the desk's role to the Job Creation Law and called for its strengthening across future generations.

Police Receive 189 Reports on Forest and Land Fires in Indonesia, 89 Named as Suspects

The Indonesian National Police have received 189 reports related to forest and land fires, with 89 individuals named as suspects. The force is intensifying both enforcement and prevention efforts, including deploying 450 personnel for public education amid a prolonged dry season influenced by El Niño. Investigators are also examining whether corporations may have been involved in ordering the land burning.

KPK Searches Education Department Office in Bogor Regency

The Corruption Eradication Commission (KPK) has searched the Education Department office in Bogor Regency as part of an ongoing investigation into alleged illicit payments received by state officials. Investigators seized procurement-related documents, following earlier searches at the Regional Revenue Management Agency and the Civil Service and Human Resources Development Agency. The case centres on alleged deductions from regional tax and levy collection incentives.

Lampung Deputy Governor calls for stronger early prevention system against forest and land fires

Lampung Deputy Governor Jihan Nurlela has urged the provincial disaster mitigation agency to strengthen early prevention measures ahead of the peak dry season. She called for integrated mapping of equipment and water sources to anticipate forest and land fires. The BPBD reported 194 hotspots detected in late August, with the dry season peak expected to last until September or October.

Prabowo encourages Nobel laureates to collaborate with Indonesian researchers

President Prabowo Subianto has urged Nobel laureates to collaborate with Indonesian researchers and academics to strengthen the national research ecosystem and scientific talent development. The appeal was made during a meeting at the State Palace with Timor-Leste President José Ramos-Horta and several Nobel laureates. BRIN head Arif Satria said the president also reaffirmed the Good Neighbor Policy and his commitment to protecting Indonesia's flora and fauna.

Data governance deemed important for sustainable food security

Experts at the CIPS DigiWeek 2026 forum highlighted the need for participatory data governance to protect productive agricultural land in Indonesia. They argued that top-down policies often fail to reflect local conditions, while community involvement can improve data quality and land protection. Digital transformation in agriculture should focus on proper data management rather than simply digitising forms.

Wiyagus: Active Role of Satlinmas Crucial to Support Smooth Development

Deputy Home Affairs Minister Akhmad Wiyagus has stressed the vital role of the Community Protection Unit (Satlinmas) in maintaining public order to support national development programmes. Speaking at an event in Palembang, he highlighted that a safe and conducive environment is a prerequisite for government priority schemes such as free nutritious meals and village cooperatives to run effectively. He also expressed hope that the newly inaugurated Aslinmas Indonesia association would strengthen the capacity and professionalism of Satlinmas personnel nationwide.

First Plenary of 35th NU Congress Ratifies Session Rules of Procedure

The first plenary session of the 35th Nahdlatul Ulama (NU) Congress concluded after ratifying the event schedule and session rules of procedure. The rules governing the election of the Rais Aam and General Chairman were separated for discussion at the organisational commission level. Organisers emphasised that decisions were reached through deliberation and consensus to avoid division within the organisation.