Indonesian Political, Business & Finance News

Archive: 31 August 2026

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House in Klungkung Destroyed by Fire, Allegedly Caused by Smoking by Person with Mental Disorder

A house in Banjar Sari Merta, Klungkung, Bali, was destroyed by fire on Monday afternoon, allegedly triggered by smoking by a family member with a mental disorder. The local fire department responded quickly after receiving a report from the village head. No casualties were reported, but material losses are still being assessed.

South Jakarta targets Rp9 billion for PMI fund month via QRIS

The South Jakarta city government aims to raise Rp9 billion during the Indonesian Red Cross (PMI) Fund Month, with digital payments through QRIS being prioritised to improve transparency and accountability. The fundraising drive runs from 1 September to 30 November 2026, with coupons distributed through government agencies, state-owned enterprises, private companies, and educational institutions. PMI DKI Jakarta leadership expressed confidence that South Jakarta can meet or exceed the target given strong community and business support.

Bahlil Proposes Daily Oil Lifting Target of 612,500 Barrels in 2027

The Ministry of Energy and Mineral Resources has proposed a 2027 oil lifting target of 612,500 barrels per day, slightly higher than the 2026 target, while gas lifting is set lower at 954,000 barrels of oil equivalent per day. Minister Bahlil Lahadalia said the figures are intended to make the performance of upstream regulator SKK Migas more measurable. The proposal comes as actual oil production up to July 2026 reached only 94.8% of the 2026 target, with ExxonMobil Cepu and Pertamina Hulu Rokan the furthest below their respective targets.

Ojol Commission and Gocap Price Become Issues: Here's What GOTO Boss and Analysts Say

GoTo Gojek Tokopedia faces new challenges from reduced ojol commission regulations and a planned removal of the Rp50 share price floor. Analysts see short-term pressure but potential for improved liquidity and price discovery, while the company maintains its full-year adjusted EBITDA guidance of Rp3.2-3.4 trillion.

Police Arrest Angkot Driver Who Robbed Grocery Store

A public minivan driver in Cimahi, West Java, has been arrested for breaking into a grocery store and stealing goods worth an estimated Rp21 million. The suspect allegedly used his angkot to transport the stolen items, including LPG canisters, cigarettes, and petrol. The case was uncovered during the Libas Lodaya 2026 police operation.

Pertamina Trans Kontinental vessel on 24-hour standby to support Balongan Refinery

PT Pertamina Trans Kontinental (PTK) has placed its Transko Dara 3218 vessel on 24-hour standby to support energy distribution at the Balongan Refinery Unit VI in Indramayu, West Java. The vessel plays a critical role in guiding larger oil and gas tankers during berthing and unberthing operations at the special terminal. PTK's services contribute to the national energy distribution chain, with Balongan accounting for 80 percent of energy distribution in western Java.

BNPB urges public to prevent forest and land fires, report any hotspots

Indonesia's National Disaster Management Agency (BNPB) has called on the public to help prevent forest and land fires and to report any hotspots immediately. The agency also reminded campers to fully extinguish campfires and urged residents not to burn waste at landfill sites. The appeal follows a government instruction banning land clearing by burning.

114 Homes Affected by Fire in Gambir, Central Jakarta; Forensic Team Deployed

A major fire in the Gambir district of Central Jakarta has affected 114 homes and displaced 880 residents from 310 households. No casualties have been reported, and authorities are continuing to assess the damage. Police have deployed a forensic team to investigate the cause of the blaze.

PLN Helps Strengthen Management of Candirejo Tourism Village via PETIR Programme to Boost Regional Tourism

State electricity company PLN has launched a competency-building programme for tourism managers at Candirejo Tourism Village in Central Java ahead of the 2026 Central Java Provincial Sports Week (PORPROV). The initiative focuses on safety, service quality and tourist assistance, including water safety and rafting guide certification. PLN says the programme aims to support sustainable tourism development and deliver economic benefits to the local community.

Minister of Women's Empowerment and Child Protection Regrets 153 Children Involved in Unrest After DPR Protest

Minister Arifatul Choiri Fauzi has expressed regret over the involvement of 153 children in post-demonstration unrest near the DPR/MPR building on 27 August 2026. She emphasised that children's safety and best interests must be a shared priority, citing legal protections under the Child Protection Law. Police are currently investigating potential exploitation of the children, most of whom have since been returned to their families.

Indonesia sets eight industrial priorities for 2027

Indonesia's Industry Ministry has outlined eight priority programmes for 2027 aimed at strengthening the national industrial base, including workforce development, downstream processing, and green industry initiatives. The programmes align with the government's target of 5.8 percent economic growth and a 21.5 percent manufacturing contribution to GDP. However, the ministry faces a reduced budget ceiling of Rp2.01 trillion and has requested an additional Rp1.72 trillion to support implementation.

Forest Fire Update: Hotspots Rise in West Kalimantan, Decline in South and Central Kalimantan

The National Disaster Management Agency (BNPB) reports a significant increase in forest and land fire hotspots in West Kalimantan, while South and Central Kalimantan have seen declines. Air and ground firefighting operations continue across six priority provinces, with 53 aircraft deployed. Visibility in several affected areas remains severely reduced to under one kilometre.

West Lombok Deputy Regent Asks Residents to Unseal Kebon Ayu Village Office

West Lombok Deputy Regent Nurul Adha has urged residents to remove the seal on the Kebon Ayu village office, arguing that the action disrupts public services. She stated that land ownership claims do not justify sealing a government facility without strong evidence. The local government plans to mediate between the village administration and the claimants.

Police Hunt Perpetrators of Fatal Assault on Bambang Setyawan in Pejompongan

Jakarta police are continuing to pursue those responsible for the fatal assault on Bambang Setyawan, a 59-year-old resident of Pejompongan, who died during unrest near the DPR/MPR building. Authorities are analysing amateur video footage and have clarified that images circulating online claiming to show the perpetrators' faces are AI-generated fabrications. The victim was evacuated to Mintohardjo Hospital but died after receiving medical treatment.

Food Businesses Complain About Rising Egg and Chicken Prices

Food business owners in Cirebon, West Java, are struggling with rising prices for eggs and broiler chicken, which have increased significantly in recent days. Catering and food stall operators say they cannot easily pass the higher costs on to customers and are instead absorbing the impact by reducing their profit margins. They hope the prices of these staple ingredients will stabilise soon.

One Employee Spends Rp18 Million a Day on AI, Cost-Cutting Attempt Backfires

Internal data leaked from Microsoft reveals that a single employee spent US$28,000 on AI usage in just 28 days, prompting management to issue restrictions. The company has since switched to a more cost-efficient AI model, while similar cost blowouts have been reported at Amazon. The case highlights the hidden operational costs of aggressive AI adoption.

MSME Minister prepares Rp622 billion for MSME recovery in 3 provinces

Minister of Micro, Small, and Medium Enterprises Maman Abdurrahman has proposed approximately Rp622 billion to support MSMEs affected by disasters in Aceh, North Sumatra, and West Sumatra. The allocation is part of a larger Rp1.5 trillion additional budget request by the ministry. The remaining Rp900 billion will be directed towards strengthening empowerment and competitiveness programmes for MSMEs across Indonesia.

Pramono Says Collaboration Is Key to Tackling Jakarta's Waste Problem

Jakarta Governor Pramono Anung has stressed the importance of cross-sector collaboration in addressing the capital's waste crisis, which sees more than 9,000 tonnes of rubbish produced daily. Speaking at the Local Hero Indonesia Forum 2026, he highlighted a shift from a 'collect-and-dispose' model to a 'sort-collect-process' approach, with household waste sorting rates rising from 5.31% to 23.14%. Pramono also noted that waste sent to the Bantargebang landfill has fallen by around 500 tonnes per day.

Indonesia, South Korea probe alleged human trafficking ring on Jeju

Indonesian and South Korean authorities are jointly investigating an alleged human trafficking syndicate on Jeju Island that reportedly lured Indonesian citizens into illegal labour through visa fraud. The Indonesian Embassy in Seoul is coordinating with Jeju Police and South Korea's foreign ministry, while also monitoring a separate missing-person case involving allegations of police misconduct. The ministry has pledged continued diplomatic coordination to protect Indonesian citizens and ensure transparency.

Culture Ministry assessing damage at Sade traditional village, NTB

The Ministry of Culture is conducting a damage assessment of property and cultural artefacts at the Sade traditional village in Central Lombok following a massive fire on 22 August 2026. Minister Fadli Zon said coordination is underway with the State Secretariat Minister and other agencies to accelerate restoration of the heritage site. The blaze destroyed 75 traditional houses, 69 art shops, eight rice barns and other structures in the village, which dates back to the 16th century.

BNPB: 16.4 tonnes of Bank Indonesia aid for NTT earthquake victims distributed

Indonesia's National Disaster Management Agency (BNPB) has distributed 16.4 tonnes, or 93 percent, of the 17.6 tonnes of logistics aid provided by Bank Indonesia for victims of the earthquake in East Nusa Tenggara. The remaining 1,247 kilograms is still in storage at the Halim national logistics support post. Distribution has been carried out via air, sea and land routes to affected areas including Manggarai, East Manggarai, Nagekeo, Sikka and Maumere.

Forest Fire Catastrophe on the World's Lungs Island

Forest and land fires across Kalimantan have affected at least 10.6 million people, with acute respiratory infection cases more than doubling compared to last year. The fires have also burned over 11,000 hectares of habitat for iconic species such as tigers, rhinos, elephants and orangutans. Authorities have sanctioned six forestry companies, while environmental groups argue that stronger penalties and better prevention are needed.

Deputy Human Rights Minister urges law enforcement on forest fires up to corporations

Deputy Human Rights Minister Mugiyanto has called on law enforcement to investigate corporate involvement in forest and land fires in Sumatra and Kalimantan, arguing that prosecutions should not stop at individual perpetrators. He stressed the need to trace the root causes of the fires, including licensing and land governance issues, to prevent recurrence. The Ministry of Human Rights will oversee the process to ensure the public's right to a clean, healthy and sustainable environment is upheld.

Environment Ministry Investigates 19 Companies over 11,000 Hectares of Land Fires in 7 Provinces

Indonesia's Environment Ministry is investigating 19 companies across seven provinces for land fires that burned 11,046.69 hectares between January and August 2026. The ministry says the companies, located in Sumatra and Kalimantan, face strict liability regardless of whether the fires were deliberate. Separately, the ministry reported 32 unresolved environmental disputes from 2023–2025 with estimated losses of Rp 5.3 trillion.

Banggai Regent twice absent from execution hearing for six village heads

Banggai Regent Amiruddin Tamoreka has failed for a second time to attend a hearing at the Palu State Administrative Court regarding the execution of a ruling on the dismissal of six village heads. The regent's absence raises concerns about respect for the judicial process, with a third and final summons scheduled for 7 September 2026. If he fails to appear again, the court may proceed with enforcement measures.

Brimob deploys 100 personnel to assist residents affected by Sinabung eruption

The North Sumatra Police Mobile Brigade (Brimob) has deployed 100 personnel to assist residents affected by the eruption of Mount Sinabung in Karo Regency. The deployment follows an increase in the volcano's alert status from Level II to Level III after an eruption produced an ash column reaching approximately 3,500 metres above the summit. Personnel are providing security, evacuation support, and emergency food services through a field kitchen.

Fraudulent Crypto Investments Detected, PASTI Task Force Halts YWWSDC and RTHAE Activities

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 unlicensed crypto asset investment schemes. Both entities lacked the required OJK licence as Digital Financial Asset Traders and falsely claimed to hold foreign permits or to be in the process of obtaining Indonesian licensing. The task force has blocked their platforms and will coordinate with law enforcement for further action.

Aid for NTT earthquake victims at Halim Posduklognas reaches 46 tonnes

The National Disaster Management Agency (BNPB) has recorded approximately 46 tonnes of aid at the National Logistics Support Post in Halim Perdanakusuma, Jakarta, for victims of the NTT earthquake. On 29 August 2026 alone, around five tonnes of aid arrived from nine donors. Distribution is being accelerated through Indonesian Air Force flights to Maumere to reach affected areas.

Komnas HAM Urges Police to Investigate Mass Organisations Behind 27 August Riots

Indonesia's National Commission on Human Rights (Komnas HAM) has called on police to thoroughly investigate mass organisations suspected of orchestrating the riots that followed the 27 August 2026 demonstration in Jakarta. The commission expressed regret over the death of a 60-year-old mirror seller during the unrest and pledged to monitor the police investigation. Komnas HAM also urged authorities to release detained individuals not involved in the rioting while ensuring those responsible are held accountable.

After Crop Failure, Cucumber Farmers in Subang Suffer Further as Selling Prices Plummet

Cucumber farmers in Subang, West Java, are facing a double blow as crop failure from the dry season is compounded by a sharp drop in selling prices. Prices have fallen from a peak of Rp13,000 per kilogram to around Rp5,000–6,000, while yields have dropped below one tonne due to water shortages and extreme heat. Pests and leaf diseases are adding to the losses, deepening the financial strain on local growers.

Wildfire Hotspots Surge in Three Kalimantan Provinces, BNPB Says

Indonesia's National Disaster Management Agency has reported a sharp rise in wildfire hotspots in West Kalimantan, with dense smoke reducing visibility to below one kilometre in several areas. While Central and South Kalimantan saw declines, pollutant concentrations remain very high across the region, prompting warnings for residents to monitor air quality. The agency also noted mixed trends in Sumatra, where South Sumatra recorded an increase in hotspots despite overall regional declines.

Bahlil says Pertalite restrictions for deciles 9-10 await data validity

Energy and Mineral Resources Minister Bahlil Lahadalia has stated that restrictions on subsidised Pertalite fuel for households in deciles 9-10 are still under review pending validation of targeting data. The government wants to ensure subsidies are accurately directed before implementation. Finance Minister Purbaya Yudhi Sadewa estimates the restriction could save around 10 percent of the energy subsidy budget.

A gradual gold investment strategy with limited funds

Investing in gold does not require large capital, as individuals can build assets gradually through regular purchases using a dollar cost averaging approach. Digital gold savings services, such as Pegadaian's Tring! app, allow investors to start with as little as Rp10,000. The strategy helps form consistent saving habits while managing market price fluctuations.

Kemayoran makes Proklim a movement for environmental awareness

Kemayoran sub-district in Central Jakarta is promoting the Climate Village Programme (Proklim) as a collective movement to build environmental awareness and strengthen community resilience against climate change. Officials emphasise that Proklim should be a sustainable community practice rather than merely an award-seeking exercise. A field verification visit by the Jakarta Environmental Agency provided residents with feedback to improve local environmental activities.

Govt pledges to secure 3-kg LPG supply despite projected quota breach

The Indonesian government has committed to ensuring adequate supply of subsidised 3-kg LPG cylinders despite projections that distribution will exceed the annual quota by over 8 percent. Officials argue that simply raising the quota will not solve the underlying subsidy problem, calling instead for improved governance of distribution. The 2027 Draft State Budget proposes increasing the quota to 8.9 million metric tons amid steadily rising national demand.

PLN Electricity Tariffs for September 2026: Unchanged

The Indonesian government has decided to keep electricity tariffs unchanged for the third quarter of 2026, covering September. The decision aims to protect public purchasing power, support industrial competitiveness, and provide certainty for businesses. The tariffs apply to both subsidised and non-subsidised customer groups.

NTB Museum formulates concept for Sade Traditional Village museum

The West Nusa Tenggara (NTB) Museum has begun developing spatial and exhibition concepts for a new museum at the Sade Traditional Village in Central Lombok. The museum will narrate the full journey of the Sade indigenous community, including the fire that devastated the village and its subsequent recovery. The concept draws on architectural proposals from the University of Mataram and follows a directive from the provincial government.

Bahlil Proposes Rp27.3 Trillion Budget for Energy Ministry in 2027

Energy and Mineral Resources Minister Bahlil Lahadalia has proposed a budget of Rp27.37 trillion for his ministry in the 2027 state budget. The bulk of the allocation, 82 percent, is earmarked for public welfare programmes aimed at ensuring equitable energy access across Indonesia. Key priorities include the Sumatra-Java gas pipeline and village electrification projects.

Gojek dan YGMP Salurkan Bantuan untuk Mitra Driver yang Terdampak Gempa NTT hingga Karhutla

Gojek, bersama Yayasan GoTo Merah Putih, telah menyalurkan bantuan kemanusiaan kepada mitra pengemudi yang terdampak gempa bumi di Nusa Tenggara Timur serta kebakaran hutan dan lahan di Kalimantan dan Sumatra. Bantuan tersebut mencakup dana tunai, voucher belanja, masker, dan vitamin, dengan tujuan mempercepat pemulihan ekonomi dan memenuhi kebutuhan mendesak para mitra. Selain itu, komunitas mitra pengemudi di berbagai daerah juga menunjukkan solidaritas dengan membagikan masker gratis dan membantu pemadaman api, yang mencerminkan semangat gotong royong.

Eight Indonesians Join Russian Legion: What Is Their Citizenship Status?

Indonesia's Foreign Ministry is verifying reports that eight Indonesian citizens have joined the Russian military and are serving on the front lines in Ukraine. The ministry stressed that any such involvement is individual and does not reflect Indonesia's neutral foreign policy stance. Verification is underway through Indonesian representatives in Ukraine and Russia, as well as across ministries at home.

Ajaib: Rp4.8 trillion investment entry proof of global confidence in Indonesia

Ajaib Group has secured US$270 million (approximately Rp4.8 trillion) from Japan's SBI Holdings, marking the largest investment in an Indonesian technology company in five years. The funding is intended to strengthen human resources and business development, and is seen as evidence of continued foreign investor confidence in Indonesia. Ajaib aims to expand its user base to 28 million retail investors within three years.

Poltracking: Economic Sector a Key Entry Point for Prabowo-Gibran to Lift Public Satisfaction

Poltracking Indonesia identifies the economic sector as a primary lever for the Prabowo-Gibran administration to reverse declining public satisfaction. While trust remains high at 63.2 percent, satisfaction has fallen to 55.1 percent, with rising staple prices and unemployment cited as major concerns. The pollster urges the government to protect purchasing power and expand job creation.

Bandung City Government Hands Over Rp2.03 Billion in Aid for NTT Earthquake Victims

The Bandung City Government has handed over humanitarian aid totalling Rp2.03 billion for victims of the earthquake in Nusa Tenggara Timur (NTT). The funds were collected from the people of Bandung and channelled through the National Amil Zakat Agency (Baznas). The aid handover took place at Bandung City Hall, with the Mayor expressing hope that the spirit of mutual cooperation would encourage further charitable giving.

Ministry of Law Deepens Education on Services from Fiduciary to Citizenship

The Ministry of Law's Directorate General of General Legal Administration (Ditjen AHU) expanded public education at the AHU Berdampak Festival 2026 in Bandung, covering topics from fiduciary guarantees to citizenship services. The initiative aims to help the public and business actors better understand and utilise legal administration services. Director General Widodo emphasised that digital transformation is more meaningful when the public understands available services and can use them according to their needs.

Pegadaian Prepares Gold ETF Physical Conversion

State-owned pawnbroker Pegadaian is preparing a mechanism to allow gold ETF investors to convert their holdings into physical gold, supported by its subsidiary Galeri 24. The move follows Financial Services Authority Regulation POJK 2 of 2026, which permits in-kind redemption of gold ETF units but leaves technical procedures still to be finalised. Industry players say the regulatory framework is in place, though operational details for transferring Electronic Gold Receipts between custodians and Pegadaian remain under development.

Bahlil calculates potential increase in Pertalite consumption

Energy and Mineral Resources Minister Bahlil Lahadalia says the government is still calculating the potential overshoot of subsidised Pertalite fuel consumption beyond the quota set in the 2026 state budget. The surge follows a shift of consumers from non-subsidised Pertamax to Pertalite after Pertamax prices rose in June 2026. Bahlil reiterated the government's commitment to keep Pertalite at Rp10,000 per litre until December 2026.

Joint team works to extinguish peatland fires in South Aceh

A joint team of around 50 personnel is continuing efforts to extinguish forest and land fires on peatland in Gampong Drien, South Aceh. The operation focuses on locating and cooling remaining hotspots to prevent underground embers from reigniting. Authorities have urged the public to avoid activities that could trigger further fires.

Commission III approves Attorney General's Office budget increase with conditions

All factions in House of Representatives Commission III have approved the Attorney General's Office's proposed Rp22.1 trillion budget increase for 2027, bringing the total requested to Rp43.6 trillion. Lawmakers attached several conditions, including equipping regional prosecutor offices with CCTV and body cameras, addressing prosecutor welfare and allowances, and ensuring the new Criminal Procedure Code is factored into budget calculations. The approval was granted alongside a similar request from the Constitutional Court.

Students Lose KJMU Scholarship Due to Decile Data Changes, Pramono Responds

Several students in Jakarta have lost access to the Kartu Jakarta Mahasiswa Unggul (KJMU) scholarship after changes to their decile data, preventing them from continuing their university education. Governor Pramono Anung has instructed the Jakarta Education Agency to recheck the cases of six affected students. The Jakarta provincial government has full authority over the programme as it is funded entirely from the regional budget.

PKH Task Force seizes 111.71 hectares of illegal mining in IKN area

The Forest Area Enforcement Task Force (Satgas PKH) has reclaimed 111.71 hectares of forest land in East Kalimantan that was being used by PT Singlurus Pratama for illegal coal mining. The company faces administrative fines of Rp147.31 billion, of which Rp25 billion has been paid. Officials stressed the strategic importance of the action given the site's proximity to the new capital, Nusantara.