Indonesian Political, Business & Finance News

Archive: 3 August 2026

Showing 1,201-1,250 of 1,519 articles

Social Assistance on Target Thanks to Connected Data

The Indonesian government's Digital Social Protection (Perlinsos) programme is improving the accuracy of social aid distribution by integrating data from various agencies. The system cross-references information from banks, the National Land Agency, and utility companies to verify recipients, ensuring that assistance reaches those genuinely in need. Officials state the initiative, which has achieved high registration rates in pilot areas like Surabaya, is a crucial governance reform to ensure fairness in the disbursement of the nation's substantial social protection budget.

Indomie Producer ICBP's Profit Plunges 33%, Here's Why

PT Indofood CBP Sukses Makmur Tbk (ICBP) reported an 11% increase in net sales for the first half of 2026, but saw its attributable profit drop by a third. The decline was primarily driven by unrealised foreign exchange losses from financing activities due to the weakening rupiah. Core operational profit remained relatively stable, edging up 1% year-on-year.

Fuel Scarcity Hits East Lombok, Vehicles Queue Up to 500 Metres at Petrol Stations

Residents of East Lombok, West Nusa Tenggara, are facing severe difficulties obtaining fuel, with long queues stretching up to 500 metres reported at several petrol stations. Drivers and motorcycle taxi operators say the scarcity has persisted for some time, forcing them to wait for hours or pay inflated prices at retailers. The situation is disrupting livelihoods, with some workers unable to operate due to the lack of available petrol.

Russia Reported to Force Citizens into Military Service Amid Ukraine War Personnel Crisis

Russia is reportedly resorting to coercive tactics, including detaining men on the streets and using physical threats, to force them into military contracts as voluntary recruitment stalls. The campaign has sparked fears of a new mobilisation wave similar to the partial call-up in 2022, driven by mounting frontline losses estimated at 30,000 to 40,000 personnel per month. Despite offering large financial incentives, authorities are increasingly turning to violent methods and third-party bounties to replenish depleted ranks.

Prabowo to Welcome Thai PM This Afternoon

President Prabowo Subianto is scheduled to receive Thai Prime Minister Anutin Charnvirakul at the Merdeka Palace in Jakarta this afternoon. The visit marks Anutin's first state visit to Indonesia as Prime Minister and will include the second Leaders' Consultation to advance bilateral cooperation. Both leaders are expected to announce a Strategic Partnership Roadmap for 2026-2030.

Family of MTs Student in Pati Rejects Peace Deal in Bullying Case That Severed Fingers

The family of a 13-year-old student in Pati, Central Java, has rejected a peace settlement and formally reported a bullying case to the police after the victim lost two fingers. The school had claimed the incident was a pure accident, but the family alleges abuse by three older students. Police are now investigating the case, and the victim's legal counsel is demanding the exhumation of the severed fingers buried on school grounds as evidence.

Juniver Highlights 'Seizure' Title, Proposes Criminal Asset Recovery Bill

Advocate Juniver Girsang has proposed changing the nomenclature of the Asset Seizure Bill to the Criminal Asset Recovery Bill, arguing the term 'seizure' carries negative connotations and implies guilt before a legal process. Speaking before the House of Representatives' Commission III, he suggested the title 'Asset Recovery' is more coherent with international standards such as the UNCAC. The proposal aims to refine the legal terminology to better reflect the bill's objectives.

Central Government Rejects Bali's Draft Regional Regulation on Tourism Special Hire Transport

The central government, through the Ministry of Transportation and Ministry of Home Affairs, has rejected the Bali Provincial Government's draft regional regulation (Raperda) on Special Hire Transport (ASK) for tourism. The facilitation process resulted in the removal of the entire chapter regulating tourism ASK, with the central government arguing that the service can be accommodated within existing regulations. Key provisions, including the requirement for drivers to hold a Bali ID card and domicile, were also dropped, prompting disappointment from local legislators and transport groups.

Indonesia's Sugar Self-Sufficiency Dream: Can It Reclaim Its Past Glory?

Indonesia's plan to require refined sugar producers to establish their own sugarcane plantations faces significant hurdles, including high investment costs, land availability, and low domestic productivity. Analysts argue that the country, once the world's second-largest sugar exporter in the 1930s, must prioritise improving yields and research rather than just enforcing integration policies. The government maintains the mandate is essential to stop imports from depressing local prices and harming farmers, targeting self-sufficiency within two years.

Wife's Anguish as Husband Missing from Manifest After Ferry Fire

A woman in Gresik, East Java, is desperately searching for her husband, a lorry driver, after the KM Mutiara Sentosa 2 ferry caught fire en route to Makassar. Her husband's name was not listed on the official passenger manifest, deepening her distress. The vessel was carrying 232 passengers and 181 vehicles when the blaze broke out on Sunday morning.

Automotive Producers Urged to Seriously Develop Electric Trucks as They Contribute 30 Percent of Emissions

Despite contributing 30 percent of transport emissions, the electrification of heavy-duty trucks in Indonesia is being overlooked in favour of passenger vehicles. A new campaign, 'Janji Jangan Ngebul', launched at the Indonesia Net Zero Summit 2026, is urging automotive manufacturers to invest in electric truck ecosystems. Stakeholders argue that transitioning logistics fleets is not only an environmental necessity but also a critical strategy for national energy security and reducing reliance on imported fuel.

US Campus Financial Crisis: Endowment Funds Allegedly Used to Pay Bills

A growing number of private colleges in the United States are resorting to using restricted endowment funds to cover operational costs, with nearly 200 institutions borrowing from such funds in 2025. The case of the now-defunct Notre Dame College in Ohio highlights the issue, where a donor discovered her scholarship fund had been depleted to pay the school's bills. This trend reflects the severe financial distress facing the higher education sector, often leaving donors feeling betrayed as their contributions are diverted from intended educational purposes.

Bandung Tree Felling Case Escalates, Offenders Face 3 Years in Prison and IDR 3 Billion Fine

The case of ten trees being illegally felled on Jalan Riau in Bandung has been upgraded from a minor to a serious offence, according to the city's mayor. The incident, which occurred in late June 2026, is suspected to be linked to the commercial interests of a padel court and café business. Authorities are now pursuing charges under national environmental law, which carries a maximum penalty of three years' imprisonment and a fine of up to IDR 3 billion.

Jakarta DPRD Urges Public to Maintain Order Amid Demonstration Concerns

The Jakarta Regional House of Representatives (DPRD) has called on residents to help maintain security and public order amid rising concerns over potential mass demonstrations. Officials emphasised that while the right to protest is constitutionally protected, it must be exercised responsibly without damaging public facilities or disrupting safety. The appeal follows reports of shopping centres installing higher fences, a move the city's governor considers an undesirable reflection of the capital's situation.

Ahead of Independence Day, Riau Police Unfurl 1,000 Flags Along Siak River

The Riau Regional Police launched an expedition along the Siak River, distributing 1,000 national flags and aid packages to riverside communities ahead of Indonesia's 81st Independence Day. The initiative, which includes health services and tree planting, is part of a broader programme to extend state presence to remote and underdeveloped areas. Local officials praised the effort as an innovative model for community engagement.

Armed Group in Papua Shoots Dead Five Road Workers During Rest

A separatist armed group in Indonesia's Papua region has killed five road construction workers in an attack on their camp in Tolikara Regency. Four of the victims have been identified and their bodies evacuated to local hospitals, while one remains at the scene. The attack occurred on Sunday evening as the workers were resting.

Video: Trump Holds Off Iran Strike - Government to Provide Free Land Certificates

US President Donald Trump has postponed a planned attack on Iran following requests from Tehran and Middle Eastern nations for time to finalise a deal that would fully reopen the Strait of Hormuz and end Iran's nuclear threat. Meanwhile, the Indonesian government is targeting the issuance of one million free land ownership certificates (SHM) in 2026 for low-income citizens as part of a broader programme aiming for 8 million recipients by 2028.

Government Clarifies Rare Earth Export Ban, Allows Shipments of Nickel and Tin Products

The Indonesian government has clarified that its export ban on rare earth elements (LTJ) applies only to primary LTJ products, not to mining commodities containing them as associated minerals. This decision aims to resolve regulatory confusion that had stalled exports of processed minerals like nickel, alumina, and copper, causing significant disruption and financial losses for the industry.

Thai PM Anutin Charnvirakul to Visit Indonesia to Strengthen Strategic Partnership

Thailand's Prime Minister Anutin Charnvirakul is scheduled for a historic official visit to Indonesia from 3-4 August 2026, marking the first such visit by a Thai head of government in 15 years. The visit will focus on a bilateral meeting with President Prabowo Subianto to discuss enhanced cooperation and the launch of a five-year strategic partnership roadmap. The agenda also includes opening a business forum to boost trade and investment, and a speech at the ASEAN Secretariat outlining Thailand's vision ahead of its 2028 chairmanship.

Indonesia Records 0.14% Deflation in July 2026, Driven by Shallot and Red Chilli Prices

Indonesia's consumer price index fell by 0.14% month-on-month in July 2026, according to the Central Statistics Agency (BPS). The deflation was primarily driven by declining prices in the food, beverage, and tobacco category, particularly shallots and red chillies. Meanwhile, annual inflation stood at 2.88%, with the transport and education sectors experiencing price increases.

Navy deploys warships and aircraft to evacuate victims of ship fire

The Indonesian Navy deployed two warships and an aircraft to evacuate victims of a fire aboard the KM Mutiara Sentosa II in waters north of Sumenep, East Java. The operation successfully rescued 30 survivors and recovered two deceased victims. One warship remains on site to oversee the completion of the search and rescue operation.

Cabinet Secretary: Prabowo urges government-business synergy

Cabinet Secretary Teddy Indra Wijaya stated that President Prabowo Subianto emphasised the importance of synergy between the government and the business sector to accelerate national development and improve public welfare. The remarks followed a meeting with the Indonesian Chamber of Commerce and Industry (Kadin) at the State Palace. The government views the business community as a strategic partner in fostering inclusive and sustainable economic growth.

Bandung City Council Special Committee Deliberates Regional Hospital Development Bylaw

A special committee of the Bandung City Council has commenced in-depth discussions on a draft regional regulation concerning the construction of a new public hospital and inspectorate building. The talks focus on establishing a robust legal basis for the multi-year budgeting scheme required for the projects. The initiative aims to enhance public health services and strengthen internal government oversight in the city.

Banten Deputy Governor Denies Allegations His Daughter Used State Budget to Attend K-Pop Concert

Achmad Dimyati Natakusumah, Deputy Governor of Banten, has refuted social media allegations that his daughter, Risya Azzahra Natakusumah, used state funds to watch a K-Pop concert in South Korea. He stated that all his children are financially independent and that any personal expenses, including hobbies, are covered by their own money. The controversy emerged after an account on X accused Risya of misappropriating the state budget (APBN) for the trip.

New US Visa Rule Requires Applicants to Post Rp360 Million Bond

The United States has made a visa bond programme permanent for applicants from 50 countries, requiring some to deposit up to US$20,000. The policy, aimed at reducing visa overstays, applies to B1 and B2 visas but excludes Indonesia. Critics argue the measure unfairly restricts legitimate travel and could encourage racial profiling.

AI Discovers Seven New Cosmic Magnifying Glasses to Unlock Black Hole Secrets

Astronomers have used artificial intelligence to identify seven new quasar candidates that act as gravitational lenses, a rare phenomenon that can magnify distant objects. These systems offer a unique opportunity to study the evolution of supermassive black holes and their host galaxies. The discovery, made by processing data from the Dark Energy Spectroscopic Instrument (DESI), doubles the number of such systems found through survey methods.

City Government Directs Farmers to Plant Drought-Resistant Crops Ahead of Dry Season

The North Jakarta Food Security, Marine, and Agriculture Sub-agency is guiding local farmers to cultivate drought-resistant crops such as cassava, corn, and legumes in anticipation of the dry season expected to last until September. Officials note that while rice paddies in Rorotan are safe as they near harvest, vegetable farming may be impacted, though hydroponic systems offer a viable alternative. Farmers are also being advised on pest control measures to mitigate increased threats during the dry period.

Gold Prices Today 3 August 2026: Antam Shines, Global Products Rise Driven by This Factor

The price of gold bullion produced by PT Aneka Tambang (Antam) increased by Rp7,000 to Rp2,610,000 per gram on 3 August 2026. Global gold prices also saw an uptick, driven by a decline in oil prices following the postponement of a US strike on Iran, which eased inflation concerns.

Agriculture Ministry Encourages Development of 'Gula Tumbu' as Alternative Sugarcane Product

The Ministry of Agriculture is promoting the development of 'gula tumbu', a traditional brown sugar, as an alternative downstream product for sugarcane farmers. This initiative aims to increase farmer incomes and provide a solution for regions where sugar mill capacity is limited, while also supporting the national sugar self-sufficiency programme. Officials highlighted the need for improved hygiene standards and modernisation of production equipment to expand the market for this product.

Warga Morosi Konawe Terdampak PLTU PT OSS Gugat Ganti Rugi Rp42,7 Miliar

Warga Desa Tani Indah dan Banggina di Sulawesi Tenggara mengajukan gugatan perdata senilai Rp42,7 miliar terhadap PT Obsidian Stainless Steel (OSS) ke Pengadilan Negeri Unaaha. Gugatan ini menuntut ganti rugi materiel dan imateriel atas dampak pencemaran lingkungan dari operasional PLTU captive yang diduga menyebabkan gangguan kesehatan dan penurunan sumber penghidupan. Langkah hukum ini merupakan tindak lanjut dari putusan inkrah sebelumnya yang menyatakan PT OSS terbukti melakukan perbuatan melawan hukum, namun belum dilaksanakan.

House Commission III Supports Total Vape Ban to Prevent Narcotics

A senior Indonesian lawmaker has backed President Prabowo Subianto's proposal for a total ban on electronic cigarettes, citing their increasing use as a medium for narcotics distribution. The call follows a recent police discovery of a home-based factory in Tangerang producing thousands of vape cartridges laced with drugs, generating an estimated turnover of Rp60 billion. The President has instructed relevant ministries and agencies to urgently review regulations and consider a complete prohibition if vapes are found to pose a greater risk to public safety.

Sahroni Calls for Bigmo's YouTube Channel to Be Blocked Over Child Exploitation in Vape Promotion

House of Representatives Deputy Chairman Ahmad Sahroni has urged authorities to block the YouTube account of streamer Muhammad Jannah, known as Bigmo, after he involved minors in a vape liquid promotion. Sahroni stated the act constitutes a serious violation of the law and called for police and the Ministry of Communication to take immediate action. He also highlighted the broader dangers of vape abuse and reiterated his support for a total ban on vapes.

PMII DIY Launches Legal Aid Body and Website, Senator Urges 'Civilised' Advocacy

The Yogyakarta branch of the Indonesian Islamic Student Movement (PMII DIY) has launched a Legal Aid Institute (LBH) and a new website. Senator Hilmy Muhammad, who also serves as a senior figure in Nahdlatul Ulama, described the move as a 'class upgrade' for the student movement. He urged the organisation to combine formal legal advocacy with Islamic and humanist values to ensure justice for the public.

Why Former Indonesian Minister Mohammad Natsir Refused a Luxury Car Gift from the Saudi King

Mohammad Natsir, a former Indonesian information minister, turned down a luxury car gift from King Faisal of Saudi Arabia in 1980, requesting instead that the funds be used for scholarships for Indonesian students. The decision reflected a lifetime of modest living for the influential Muslim intellectual and politician, who once held high office but later faced imprisonment and financial hardship. His children recount that Natsir adhered to a principle of contentment, valuing education and aid for others over personal wealth.

South Sumatra Police Chief Orders Massive Patrols and Firm Action Against Forest Burners

South Sumatra Police Chief Inspector General Sandi Nugroho has instructed all ranks to intensify patrols and take decisive legal action against perpetrators of forest and land fires. The directive, issued during a morning assembly, prioritises fire prevention and public order maintenance as the region enters the peak of the dry season. The police are also strengthening coordination with the military, local government, and community leaders to ensure regional stability.

Trump Chooses Diplomatic Path with Iran, Following Saudi Advice to Ignore Israel

US President Donald Trump has opted for diplomacy over military action regarding the conflict with Iran, following pressure from Saudi Arabia. The move aims to secure the reopening of the Strait of Hormuz and prevent further global energy market instability.

Murder Reconstruction of Unram Student Held, Suspect Jeered by Residents

Police in Mataram, West Nusa Tenggara, conducted a crime scene reconstruction for the murder of a female university student, drawing a crowd of angry residents who jeered at the suspect. The victim, Nadya Dwi Ramadhany, was found dead in her locked boarding room in May 2026, with her phone and motorcycle stolen. Authorities confirmed the motive was robbery, and the suspect suffocated and strangled her after being caught in the act.

KSP: Government Refines Regulations on Rare Earth Metals and Radioactive Elements

The Presidential Staff Office (KSP) has announced that the government is refining regulations concerning the management and trade of rare earth metal (LTJ) content in mineral commodities for export. A key understanding has been reached that the export ban applies to LTJ as a primary product, not as trace elements in other mining products. This clarification aims to provide guidance for exporters, surveyors, and customs during the transition period.

Communications Minister Reprimands YouTube Over Vape Promotion Involving Minors

Indonesia's Minister of Communication and Digital Affairs, Meutya Hafid, has issued a formal reprimand to YouTube after a livestream on the platform featured a child promoting vape products. The ministry has demanded the platform take immediate action to remove the content and strengthen its moderation systems to prevent the exploitation of children in the digital space.

Indonesia Records 0.14% Deflation in July 2026

Indonesia experienced a monthly deflation of 0.14% in July 2026, according to the Central Statistics Agency (BPS). This figure contrasts with market expectations of 0.11% inflation and follows a 0.44% monthly inflation rate in June. The annual inflation rate stood at 2.88%.

East Aceh Accelerates Land Administration to Speed Up Permanent Housing Construction

The East Aceh government is fast-tracking land acquisition administration to facilitate the construction of permanent housing for flood victims in Serbajadi District. Two sites spanning six hectares have been prepared to accommodate residents from three villages, with the local government emphasising the need for community commitment to resolve land issues. Completion of the administrative process by August 2026 will allow the Ministry of Housing and Settlement Areas to conduct field verification and proceed with construction.

Petrol Prices Drop at Pertamina, Shell, and BP Petrol Stations in Early August

Fuel prices at major Indonesian petrol stations, including Pertamina, Shell, and BP, have seen a decrease for petrol variants in the first week of August 2026. While Pertamina's Pertamax and Pertamax Turbo recorded price drops, diesel prices at Shell and BP experienced an increase. The adjustments follow price fluctuations observed throughout July.

Malaysia Airlines Pilot Caught Smuggling 26kg of Ecstasy at Soekarno-Hatta Airport

A Malaysia Airlines first officer has been arrested at Soekarno-Hatta International Airport for attempting to smuggle 26 kilograms of ecstasy and a small amount of methamphetamine. Customs officials intercepted the pilot after he was selected for a risk-based inspection, despite being directed to a fast-track lane for flight crew. The suspect, who also tested positive for drugs, has been handed over to the Indonesian National Police for further investigation.

Indofood (INDF) Profit Drops 19%, Anthoni Salim Reveals the Cause

PT Indofood Sukses Makmur Tbk (INDF) reported a 19% decline in profit attributable to the parent entity for the first half of 2026, falling to Rp4.72 trillion. CEO Anthoni Salim attributed the decrease to higher unrealised foreign exchange losses due to the weakening Rupiah. Despite the profit dip, the company posted a 9% increase in consolidated net sales to Rp65.53 trillion.

Ikadin Chief Maqdir Ismail Highlights Presumption of Innocence in Asset Forfeiture Bill

Maqdir Ismail, Chairman of the Indonesian Advocates Association (Ikadin), has urged caution regarding the mechanism for non-conviction based asset forfeiture in the proposed Asset Forfeiture Bill. Speaking at a hearing with the House of Representatives' Commission III, he stressed that while the mechanism is effective, it risks conflicting with the principle of presumption of innocence. He insisted that any seizure must be based on substantial and irrefutable preliminary evidence directly linked to the alleged crime.

Behind the Decision to Renounce Indonesian Citizenship

After two decades in the Netherlands, former Bekasi resident Merry has officially become a Dutch citizen, citing a decade-long internal struggle and growing disillusionment with social and political conditions in Indonesia. The mother of two highlights the robust family support system in the Netherlands, including universal child benefits and educational subsidies, as a key factor providing a sense of security. A failed attempt to resettle in Indonesia in 2017 ultimately convinced her that her homeland no longer felt like home.

Indonesia advances Trans Papua road to boost connectivity

The Indonesian government is progressing construction of the 50.14-kilometer Mamberamo-Elelim segment of the Trans Papua road, a project aimed at strengthening connectivity between economic centres in Papua and Papua Highlands. The road, being built under a public-private partnership, is expected to lower logistics costs, improve access to essential services, and stimulate local economic activity. As of mid-July 2026, physical progress had reached 51.59 percent, with completion targeted for November 2026.

Government Must Know, Big Investors Now Favour This Approach

Indonesia's industrial estate association warns that the country's large market and natural resources are no longer enough to attract major investors. Global investors now prioritise speed and certainty in business licensing over market size, viewing Indonesia as a single entity rather than a collection of separate ministries. Bottlenecks in spatial planning, land acquisition, and inter-agency coordination are delaying project realisation, costing the nation jobs, exports, and state revenue.

Prabowo to Receive Thai PM at Merdeka Palace This Afternoon

President Prabowo Subianto is set to host Thai Prime Minister Anutin Charnvirakul for a state visit at the Merdeka Palace in Jakarta. The welcoming ceremony is scheduled for 4:30 p.m. WIB, with the visit taking place from 3 to 4 August. Jakarta traffic police have prepared temporary traffic diversions along major protocol roads to facilitate the state agenda.

Rice and Shallot Prices Rise, While Chillies, Eggs, and Chicken Fall

Bank Indonesia's latest price monitoring reveals a mixed picture for staple food commodities, with shallot and garlic prices experiencing significant increases. In contrast, the cost of chillies, chicken meat, and eggs has declined, offering some relief to consumers. The data highlights ongoing volatility in food prices across different categories.