Indonesian Political, Business & Finance News

Archive: 31 August 2026

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Fire in Gambir, Central Jakarta, Destroys Several Houses and Empty Building

A fire broke out in a residential area of Gambir, Central Jakarta, destroying several houses and an empty building. Strong winds and intense heat caused the flames to spread to the vacant structure, where piles of scrap wood ignited. Authorities have deployed forensic teams to investigate the cause while firefighters work to fully extinguish the blaze.

Was CCTV Deliberately Shut Off During Jakarta Protest? Pramono Responds

Jakarta Governor Pramono Anung Wibowo has denied claims that his administration deliberately disabled CCTV cameras during a protest on 27 August, insisting that monitoring continued and data is available. He acknowledged that some cameras were damaged, allegedly by unidentified individuals, and has ordered an investigation with a view to handing perpetrators to law enforcement. Pramono reiterated that while peaceful protest is permitted in a democracy, vandalism and violence cannot be justified.

List of 9 National Parks Closed Amid Rising Forest and Land Fires

Indonesia's Ministry of Forestry has temporarily closed nine national parks deemed at high risk of forest and land fires as a mitigation measure. The closures aim to protect visitors and support firefighting efforts, with several water-bombing helicopters redeployed from priority provinces to affected conservation areas. Limited access remains in place at four other conservation zones based on assessed risk levels.

BNPB: Forest and land fire hotspots increase in three Kalimantan provinces

Indonesia's National Disaster Management Agency (BNPB) has reported a rise in forest and land fire hotspots in West, Central, and South Kalimantan, with West Kalimantan seeing a significant increase. The agency also noted a general decline in hotspots across Riau, South Sumatra, and Jambi, though South Sumatra recorded an additional 209 hotspots. BNPB urged the public to monitor air quality through the Environment Ministry's ISPU index as pollutant dispersion remains dense in parts of Kalimantan and Sumatra.

BNPB: Mount Sinabung eruption recovery transition status remains active

Indonesia's National Disaster Management Agency (BNPB) has confirmed that the emergency-to-recovery transition status for the Mount Sinabung eruption in Karo Regency, North Sumatra, remains in force for 90 days from 8 July to 5 October 2026. The status provides the legal basis for cross-agency coordination following the raising of the volcano's alert level from Level II to Level III by the Geological Agency. Local authorities have distributed masks to affected residents and expanded safety exclusion zones around the crater.

Forest Activities in West Java to Be Tightened to Prevent Land and Forest Fires

The Lembang Forest Management Unit (BKPH) is awaiting official instructions from the North Bandung Forest Management Unit (KPH) regarding a gubernatorial circular that mandates the closure of forest activities to mitigate fire risks during the dry season. West Java Governor Dedi Mulyadi has instructed relevant authorities to ban all mountain and forest hiking activities, as well as other activities that could trigger fires. BKPH Lembang has already intensified patrols and public education efforts in the Lembang, Parongpong, and Cisarua areas.

Indonesia-Finland Festival 2026 Breaks Visitor Record in Helsinki

The Indonesia-Finland Festival 2026 in Helsinki attracted a record 6,856 visitors from at least 43 countries, marking the largest turnout since the event began in 2022. Organised by the Indonesian Embassy in Helsinki, the festival showcased Indonesian culture, cuisine, and creative industries while generating significant economic impact for the diaspora and local businesses. The event also served as a platform for cultural diplomacy and solidarity with disaster-affected communities in Indonesia.

Home Affairs Ministry Confirms West Java's Loan Plan to PT SMI Is Legally Sound

The West Java Regional House of Representatives' Special Committee XVII has received confirmation from the Ministry of Home Affairs that the provincial government's planned loan to PT Sarana Multi Infrastruktur is legally sound. The ministry stated that the loan plan is already grounded in the West Java RPJMD 2025-2029, despite earlier concerns about its absence from Chapter III. The committee has requested a formal written confirmation to provide a clear legal basis for all parties.

Rupiah Drops amid Escalating US-Iran Tension

The Indonesian rupiah weakened against the US dollar as escalating hostilities between the United States and Iran, including attacks near the Strait of Hormuz, unsettled global markets. Currency analyst Ibrahim Assuabi attributed the depreciation to the geopolitical tensions, while remarks from Federal Reserve Chair Kevin Warsh raised speculation of a potential US interest rate hike. Bank Mandiri expects continued volatility for the rupiah, projecting a trading range of Rp17,675 to Rp17,720 per US dollar for the week.

PASTI Task Force Halts Unlicensed Crypto Investment Offers

Indonesia's PASTI Task Force has halted the activities of YWWSDC and RTHAE after finding they offered crypto asset investments without OJK licences. The entities falsely claimed foreign licensing and made unrealistic promises to investors. The task force has blocked their platforms and will coordinate with law enforcement for further action.

Woman in Ciputat Found Dead on Her Porch, Guarded by Her Dogs

A 54-year-old woman was found dead on the porch of her home in Ciputat, South Tangerang, after neighbours heard a fall and alerted police. Officers had to wait for a former caretaker to secure her two loyal dogs, which were found sitting beside her body. The family declined an autopsy, and a community health centre doctor attributed the death to a heart attack.

PASTI Task Force Halts Operations of YWWSDC and RTHAE Over Crypto Investment Violations

Indonesia's Task Force for the Eradication of Illegal Financial Activities (Satgas PASTI) has ordered two entities, YWWSDC and RTHAE, to cease operations after uncovering violations in their crypto asset and digital financial asset investment offerings. Neither firm holds the required OJK licence as a Digital Financial Asset Trader, despite claims of foreign authorisation. The task force has blocked their platforms and will coordinate with law enforcement for further action.

Danantara to Accelerate Resolution of LRT City Development Problems Next Month

Indonesia's sovereign wealth fund Danantara is moving to resolve the stalled LRT City apartment project, with plans to inject capital through parent company Adhi Karya. The fund aims to complete the resolution process by September 2026, with a decision on the funding mechanism expected through a shareholders' meeting. The project, developed by Adhi Commuter Properti, has faced delays due to liquidity pressures and corporate restructuring.

Ruben Onsu agrees to compensation over Rp3.5 billion fund embezzlement case

Celebrity Ruben Onsu has agreed to compensate the victim in a fraud and embezzlement case involving Rp3.5 billion, as part of a family settlement. The victim has submitted a peace agreement and withdrawn the police report, leading investigators to issue a termination order for the investigation. The case stemmed from an investment offer in a product trading business that failed to deliver promised profits.

LPS disburses Rp3.66 billion in deposits to BPR Citra Bersada Abadi customers

The Indonesia Deposit Insurance Corporation (LPS) has paid out Rp3.66 billion in deposit insurance claims to customers of BPR Citra Bersada Abadi within five working days of the bank's licence being revoked. A total of 318 accounts belonging to 295 customers were deemed eligible for payment. LPS has appointed Bank Mandiri as the paying bank and urged customers to remain calm.

Inalum Secures Credit Rating Upgrade as Proof of Strengthened Business Fundamentals

PT Indonesia Asahan Aluminium (Inalum) has received a corporate rating upgrade to idAA/Stable from Pefindo, reflecting stronger business fundamentals and financial resilience amid global uncertainty. The upgrade follows two consecutive periods at idAA-/Stable and is expected to bolster the company's credibility with stakeholders and financial institutions. Inalum views the achievement as validation of its strategic role in developing Indonesia's integrated aluminium value chain.

Culture Ministry launches five volumes of Indonesian history book

Indonesia's Ministry of Culture has launched the first five volumes of a planned 11-volume national history series, 'Sejarah Indonesia: Dinamika Kebangsaan dalam Arus Global'. The project involved 123 writers from 34 universities and 11 non-university institutions, with the ministry pledging no intervention in the substance of the writing. The remaining six volumes are scheduled for launch in September 2026.

KPU Allocates Rp2.53 Trillion for Salaries, Allowances and Honoraria

Indonesia's General Elections Commission (KPU) has earmarked Rp2.53 trillion of its Rp4.68 trillion 2027 budget for employee expenditure, covering salaries, performance allowances and honoraria for commissioners and staff. The allocation accounts for over half of the total budget, with the remainder split between office operations and non-operational spending that includes early funding for the 2029 general election stages.

Industry Minister seeks continuation of Special Allocation Fund for small and medium industries

Industry Minister Agus Gumiwang Kartasasmita is pushing for the continuation of the Special Allocation Fund (DAK) programme for small and medium industries (IKM), citing positive results from the 2022-2024 period. Evaluations show 70 percent of supported IKM centres are operating well, with productivity rising by an average of 17 percent, exceeding the 10 percent target. The ministry has proposed developing 75 priority IKM centre locations, though the DAK for IKM was not opened in the final budget meeting due to fiscal constraints.

Iwan Koswara Hopes UNISA Bandung Strengthens Contribution to West Java Education

West Java DPRD Commission V member Iwan Koswara has called on Universitas 'Aisyiyah (UNISA) Bandung to strengthen its role in producing quality human resources as the institution marks its 27th anniversary. He emphasised the importance of graduates possessing both academic competence and strong moral character, as well as social awareness. Koswara also urged greater collaboration between government, universities, and community organisations to improve education quality in West Java.

Mount Sinabung Erupts, Status Raised to Alert Level III

Mount Sinabung in North Sumatra erupted on Monday, sending an ash column 3,500 metres above the summit. The Centre for Volcanology and Geological Hazard Mitigation raised the volcano's status from Level II to Level III. Local authorities have distributed masks and urged residents in the danger zone to evacuate, as further eruptions remain possible.

Indonesians in Flood-Hit Nepal Remain Safe, Authorities Say

Indonesia's Ministry of Foreign Affairs has confirmed that all 45 Indonesian nationals residing in Nepal and six tourists in Pokhara remain safe following devastating flash floods and landslides along the Nepal-Tibet border. The disaster, triggered by a glacier crack on Mount Langtang Lirung, has left thousands missing and caused widespread destruction across multiple regions. Indonesian authorities continue to monitor the situation as rescue efforts for foreign tourists from 32 countries remain ongoing.

Sleman DPMPTSP provides business assistance to boost investment

The Sleman Regency Investment and One-Stop Integrated Services Office (DPMPTSP) has outlined five strategic measures to create a conducive investment climate, including spatial planning certainty, technical assistance, and market access support. In the second quarter of 2026, Sleman recorded realised investment of Rp931.7 billion across 2,449 projects, absorbing 2,448 new workers.

Schedule of Shadowless Days in Indonesia September-October 2026

The Shadowless Day phenomenon will occur across various regions of Indonesia in the second half of 2026, when the Sun is directly overhead and vertical objects cast no shadow. The Meteorology, Climatology, and Geophysics Agency (BMKG) has released the schedule for the second main culmination period, which runs from 21 September to 21 October. The article provides the exact dates and times for each provincial capital.

Human Rights Ministry to oversee investigation into death of resident in Pejompongan

The Ministry of Human Rights has pledged to monitor the legal process surrounding the death of Bambang Setiyawan, a 59-year-old street vendor who died following unrest in Pejompongan, Central Jakarta. Deputy Minister Mugiyanto stressed that anyone proven to have committed violence must be dealt with firmly regardless of their group affiliation. He also expressed regret over social media provocation that he said could fuel further chaos.

Banten Provincial Government Orders Halt to Private School Project Disrupting River in Serang

The Banten provincial government has ordered the temporary halt of a private school construction project in Serang Regency after residents complained it was disrupting the flow of the Cikalumpang River. The river supplies irrigation for 1,000 hectares of rice fields and feeds water to industrial areas in Cilegon. Authorities will summon relevant parties for clarification and to verify whether the project holds the required building permits.

Cirebon City Government records capture fisheries production reaching 3,603 tonnes

Cirebon City has recorded capture fisheries production of 3,603 tonnes up to July 2026, representing 70.10 percent of the annual target of 5,140 tonnes. TPI Kejawanan remains the dominant landing site, contributing 72.48 percent of total production. The local government is working to strengthen the sector to boost output and deliver economic benefits for fishers and coastal communities.

Pramono Urges Jakarta Residents to Be Open During 2026 Economic Census

Jakarta Governor Pramono Anung has called on residents to provide accurate data to Statistics Indonesia (BPS) for the 2026 Economic Census, assuring them the exercise is purely for economic mapping and unrelated to taxation. BPS has extended data collection in Jakarta until 15 September 2026 to reach businesses that have not yet been recorded. The census aims to update national economic structure data, including the growing digital and online MSME sectors.

Satgas PASTI Halts YWWSDC and RTHAE Operations Over Alleged Illegal Crypto Investment Offers

The Illegal Financial Activities Eradication Task Force (Satgas PASTI) has shut down the operations of YWWSDC and RTHAE following discoveries of unauthorised crypto-asset investment offers. Both entities operated without OJK permits and falsely claimed to be in the process of obtaining legal authorisation in Indonesia.

Regency government strengthens tourism business governance in Thousand Islands

The Thousand Islands Regency Government is intensifying coaching for tourism businesses across more than 20 islands to improve service quality, safety, and legal compliance. The programme, running until December 2026, involves collaboration with various regional agencies and covers operational standards, health certifications, and environmental management. Officials aim to create a professional, safe, and sustainable tourism destination.

Foreign Media Suddenly Spotlight Indonesia's Strategy to Control Nickel and Palm Oil Prices

Foreign media have highlighted Indonesia's plan to launch a national commodity exchange, Icomex, by 1 January 2027 to gain greater influence over pricing for strategic commodities such as nickel, palm oil, and coal. Analysts cited by Channel News Asia say the exchange's success will depend on building credible price benchmarks and convincing producers and traders to participate. Challenges include competition from established global exchanges like the London Metal Exchange and Bursa Malaysia Derivatives, as well as legal risks from mandatory trading requirements.

Mount Sinabung raised to alert level after 3,500-meter ash eruption

The Geological Agency has raised Mount Sinabung's alert status to Level III following a significant eruption that sent an ash column 3,500 metres above the summit. Residents and visitors are prohibited from entering a three-kilometre radius of the crater, with a wider six-kilometre exclusion zone on the south-southeast sector, while those near rivers are warned of potential lahar floods. Authorities are coordinating with local disaster management agencies and directing the public to official channels for verified information.

West Java: 22 hectares of tea plantations in Ciater-Pangalengan revitalised

The West Java provincial government has revitalised 22 hectares of tea plantations in Ciater, Subang Regency, and Pangalengan, Bandung Regency, restoring land that had been converted to illegal buildings and vegetable farms. The programme, involving 96 workers including local residents and retired PTPN employees, aims to restore the economic, aesthetic and environmental functions of the areas. Planting began in November 2025 in Ciater and December 2025 in Pangalengan, with targets of 12 and 24 hectares respectively.

West Sumatra Government Accelerates River Sedimentation Mitigation to Prevent Recurring Floods

The West Sumatra provincial government is prioritising river sedimentation management to reduce the risk of repeated flooding caused by high rainfall. Governor Mahyeldi Ansharullah highlighted that sediment accumulation has narrowed river capacity, leading to overflows in Padang and Maninjau. The central government has approved Rp17.9 trillion for multi-year infrastructure funding from 2026 to 2028.

Bank Mandiri Distributes Health Aid to 28,000 Haze Victims

Bank Mandiri has distributed protective equipment and respiratory health check-ups to 28,000 beneficiaries across Sumatra and Kalimantan affected by haze from forest and land fires. The initiative, part of the bank's Mandiri Peduli programme, includes masks, eye drops, and on-site respiratory examinations. The bank says 261 branches in affected areas were involved in delivering the assistance directly to communities.

Four Kayangan-Poto Tano Ferries Suspended Over Safety Violations

Four ferry vessels operating on the Kayangan–Poto Tano route in West Nusa Tenggara have been temporarily suspended after an audit uncovered major and minor safety management failures. The suspension, issued by the Labuhan Lombok Port Authority, took effect on 26 August 2026. The operator has been instructed to rectify the safety management system and address all seaworthiness findings before services can resume.

Pramono Urges Residents to Be Open About Economic Census: Answer Truthfully

Jakarta Governor Pramono Anung has called on residents to cooperate fully with Statistics Indonesia (BPS) officials conducting the 2026 Economic Census, which runs until 15 September. He stressed that the data collected is purely for mapping Jakarta's economic conditions and has no connection to taxation. BPS Secretary General Zulkipli noted that enumeration in Jakarta has reached 111% of the preliminary list, though some businesses remain to be traced.

Two KKN Students in Cianjur Sent to Rehabilitation After Being Caught in Same-Sex Intimacy

Two university students undertaking community service (KKN) in Cianjur, West Java, have been placed in a rehabilitation facility after residents caught them engaging in same-sex intimacy. Police confirmed no criminal charges would be filed, but the local government is moving to issue a regent regulation on preventing LGBT behaviour. The regent said the measure aims to maintain social order and address public unease.

New Zealand Government Cancels 2027 Fuel Tax Increase

The New Zealand government has scrapped a planned fuel tax increase for 2027 to ease cost-of-living pressures. The 12-cent-per-litre rise will be replaced by smaller, staggered increases beginning in 2028. The government will inject additional funds into the National Land Transport Fund to offset the lost revenue.

Ajaib Secures Rp 4.8 Trillion from Japan, Largest Startup Investment in 5 Years

Ajaib Group has received US$270 million (approximately Rp 4.78 trillion) from Japanese financial giant SBI Holdings, marking the largest startup investment in Indonesia in five years. The funding is expected to boost services for retail investors, expand product offerings, and create quality jobs in technology sectors. Company executives say the investment counters concerns about foreign capital leaving Indonesia's capital market.

Indonesia to tighten spending as 2027 budget targets 2.4 pct deficit

Indonesia's 2027 draft state budget aims to improve spending quality while maintaining a fiscal deficit of 2.4 percent of GDP. State revenue is projected at Rp3,426 trillion, with tax revenue targeted to grow 10.5 percent, outpacing nominal GDP growth. The government will focus on efficiency while protecting social protection, personnel spending, and transfers to regional governments.

State Secretariat Ministry Proposes Rp6.6 Trillion Budget Increase for Presidential and Vice-Presidential Services

The Ministry of State Secretariat has proposed an additional Rp6.6 trillion in funding for the 2027 fiscal year to support its operations, including services for the President and Vice President. The ministry has so far only received a small allocation from foreign grants, leaving a shortfall of approximately Rp6.62 trillion. Officials are seeking approval from the House of Representatives and will resubmit the request to the Ministry of Finance and Bappenas.

11 Health Benefits of Petai, Can Help Maintain Blood Pressure

Petai, a popular Indonesian food, contains various nutrients including protein, fibre, vitamins, minerals and antioxidants. Its potassium content supports heart function and blood pressure regulation, while fibre aids digestive health. Farmers in Lumajang, East Java, export 3-7 tonnes of quality petai to Malaysia weekly, valued at approximately Rp350-750 million.

Desil Changes: Pramono Orders Jakarta Education Agency to Recheck KJMU Recipients Removed from List

Jakarta Governor Pramono Anung has instructed the city's Education Agency to re-verify university students who lost their Kartu Jakarta Mahasiswa Unggul (KJMU) assistance following updated desil data from Statistics Indonesia (BPS). The governor highlighted reports that six students were unable to continue their studies after being removed from the programme. He stressed that Jakarta retains authority over KJMU decisions and will use direct verification to ensure aid reaches the right recipients.

CPO Prices Rise, Forecast to US$1,720; Indonesia Faces Dilemma over B50 Impact?

Indonesia faces a difficult choice in managing its palm oil industry in 2027 as global crude palm oil (CPO) prices are projected to rise while domestic production falls due to El Niño. The mandatory B50 biodiesel programme will require around 18 million tonnes of CPO, leaving less available for export. Industry experts warn that the government must balance export earnings with domestic needs such as cooking oil and biodiesel.

Megawati Meets Yemeni Ambassador, Discusses Historic Ties and Migration

Former Indonesian president Megawati Soekarnoputri received Yemen's ambassador to Indonesia, Salem Ahmed Abdulrahman Balfakeeh, at her residence in Jakarta. The meeting focused on the centuries-old relationship between the two nations, including Yemeni migration to the archipelago and the contribution of Yemeni descendants to Indonesian independence. The ambassador also proposed the establishment of an Indonesian consulate in Aden to strengthen bilateral cooperation.

Government raises forest fire alert despite declining hotspot numbers

The Indonesian government is maintaining heightened vigilance against forest and land fires even as satellite data shows a downward trend in hotspots across several regions. Forestry Minister Raja Juli Antoni warned that peatland fires can smoulder underground and reignite without intensive cooling. Authorities are also preparing weather modification operations to take advantage of expected rainfall in early September.

North Jakarta City Government facilitates 3,000 job seekers in walk-in interviews

The North Jakarta City Government has facilitated 3,000 job seekers to take part in walk-in interviews held simultaneously across six sub-district offices. The event concluded the North Jakarta Job Fair, which ran online and offline from 19–28 August 2026. Officials said the initiative aims to prove that job fairs involve genuine recruitment processes rather than mere formalities.

Egypt Affirms Suez Canal Will Not Be Used to Repay State Debt

The Egyptian government has firmly rejected proposals to use the Suez Canal or other strategic state assets to offset domestic debt. The cabinet stated that the canal is tied to national security and sovereignty, and that transferring assets between public institutions would not reduce overall state liabilities. Instead, it advocates comprehensive fiscal measures to address public debt.

Sidoarjo Regency Government Accelerates Concreting of 8 Road Sections, Targets Completion This Year

The Sidoarjo Regency Government is accelerating the concreting of eight priority road sections, with completion targeted by mid-December this year. The Public Works Department reports that nearly all projects are on schedule, while Regent Subandi has emphasised the importance of strict oversight through routine monitoring and the E-Kenda system. Local officials, including sub-district and village heads, are being asked to participate in supervision to ensure timely delivery.