Indonesian Political, Business & Finance News

Archive: 5 August 2026

Showing 701-750 of 1,487 articles

Semarang Immigration Deports Four Chinese Nationals Wanted by Their Government

The Semarang Immigration Office has deported four Chinese citizens who were fugitives wanted by authorities in China. The individuals were initially detained during a raid on an online fraud operation involving a 'love scamming' modus operandi in Semarang. Officials emphasised that Indonesia will not serve as a safe haven for transnational criminal activities.

Suspended Prosecutor Febrie Adriansyah Still Receives 50 Percent Base Salary

Former senior prosecutor Febrie Adriansyah has been temporarily suspended from his position following his implication in a money laundering and corruption case. Despite the suspension, the Attorney General's Office confirmed he will continue to receive 50 percent of his base salary without allowances. The administrative measure will remain in effect until a final and binding court decision is reached.

Police Chief Listyo Sigit Unfazed by Leadership Change Rumours

National Police Chief General Listyo Sigit Prabowo has dismissed speculation about his potential replacement, asserting that such rumours do not affect the force's performance. He emphasised that the appointment and dismissal of the police chief is the prerogative of President Prabowo Subianto. Sigit reaffirmed the institution's commitment to maintaining public order and awaiting any official decision from the palace.

Coordinating Minister for Political and Security Affairs: Domestic Situation is Very, Very Stable!

Coordinating Minister for Political and Security Affairs Djamari Chaniago has assured the public that the domestic situation remains under control and is 'very, very stable'. Following a meeting with top security officials, he urged the public not to be alarmed by content circulating on social media. The minister confirmed that community activities are proceeding normally and that security conditions are safe across all regions of Indonesia.

BPS: Bali-Nusra Records Highest Economic Growth in Q2

Indonesia's Statistics Indonesia (BPS) reported that the Bali and Nusa Tenggara region posted the highest annual economic growth in the second quarter of 2026 at 6.97 percent. Java remained the largest contributor to national GDP with a 56.47 percent share, while national growth was recorded at 5.29 percent. Manufacturing, trade, and construction were the primary drivers of growth across most major islands.

Fadli Zon on Prabowo's 'Londo Ireng' Speech: Just a Joke, No Need to Be Offended Unless You're a Traitor

Minister of Culture Fadli Zon has defended President Prabowo Subianto's use of the term 'londo ireng', describing it as a humorous ice-breaker intended to foster camaraderie. Zon stated the remark serves as a historical reminder of internal betrayal during the colonial era and cautioned against foreign interests undermining national unity. He added that only those who identify as traitors should take offence at the president's characteristic joking style.

AGO Seizes Documents in Search of Lawyer Don Ritto's Home

Investigators from the Attorney General's Office have seized documents from the Bandung residence of lawyer Don Ritto in connection with a money laundering case involving former junior attorney general for special crimes Febrie Adriansyah. The search is part of a broader probe into multiple corruption and money laundering cases transferred from the National Police, including the PT Asabri scandal. Five witnesses from the private sector were also examined as the investigation widens.

Indonesia's Manufacturing Sector Expands in Q2 2026, BPS Provides Evidence

Indonesia's manufacturing sector remained in expansionary territory during the second quarter of 2026, according to the Central Statistics Agency (BPS). The Manufacturing Business Conditions and Prospects Index (IKBM) rose to 52.31, driven by gains in production, orders, and stocks. However, the survey also revealed a contraction in the employment component, which slipped below the neutral threshold.

Illegal Prescription Drug Ring in Cirebon Busted, Hundreds of Tramadol Pills Seized

Police in Cirebon have dismantled an illegal prescription drug distribution network, arresting two suspects and seizing 1,200 pills. The operation began with the arrest of a 31-year-old man, whose interrogation led officers to a larger stash at a second suspect's home. Authorities confiscated 850 Tramadol tablets, 300 Trihexyphenidyl tablets, cash, and a motorcycle used in the operation.

Bali Officials Study Regional Bond Scheme from Jakarta's Pramono Anung

Bali Governor Wayan Koster and Badung Regent I Wayan Adi Arnawa met with Jakarta Governor Pramono Anung to explore regional bond schemes for infrastructure and tourism development. The Badung administration is preparing to issue bonds, citing a strong debt service coverage ratio, and seeks regulatory support from the central government. The meeting, directed by the Home Affairs Minister, also covered optimising spatial planning and non-budget financing innovations.

Social Affairs Minister inaugurates 67 functional officials to strengthen public services

Social Affairs Minister Saifullah Yusuf has inaugurated 67 functional officials, urging them to improve public service delivery through accurate data collection. He stressed that social assistance distribution must be based on verifiable field data to ensure it reaches eligible recipients. The minister also called for an end to corruption within the ministry and emphasised that aid programmes should be paired with empowerment initiatives to help beneficiaries achieve self-sufficiency.

Bappenas: Project Readiness Key to Accelerating Hydropower Investment

Indonesia's Ministry of National Development Planning (Bappenas) has emphasised that thorough project preparation is crucial for securing financing for hydropower plants. The ministry advocates for the early adoption of HydroSelect and Hydropower Sustainability Standard instruments to improve bankability by addressing environmental, social, and governance risks. This approach is deemed essential to support the government's target of adding 11.7 GW of hydro capacity under the 2025โ€“2034 electricity procurement plan.

OJK Reveals Major Challenges for Regional Development Banks, Including Budget Dependency

Indonesia's Financial Services Authority (OJK) has highlighted that while Regional Development Banks have overcome capital hurdles through mechanisms like Bank Business Groups, they still face significant challenges. Key issues include heavy reliance on regional government budgets and intense competition with national banks for both market share and talent. The regulator is pushing a 2024-2027 roadmap focused on human resources and digital transformation to ensure sustainable growth.

UBSI Tasikmalaya Lecturers Boost MSME Competitiveness Through Digitalisation

A team from Universitas Bina Sarana Informatika (UBSI) Tasikmalaya has completed a community partnership programme aimed at strengthening the competitiveness of local craft business Rima Craft. The initiative, funded by the Ministry of Higher Education, Science, and Technology, focused on digital marketing, financial management, and product innovation. The programme provided equipment, training in AI and e-commerce, and developed a dedicated web-based information system to help the MSME expand its market reach.

Pegangsaan Dua LRT Station Renamed Kelapa Gading, Here's Why

Jakarta Governor Pramono Anung has announced the renaming of the Pegangsaan Dua LRT station to Kelapa Gading to prevent public confusion with a future Proklamasi station. The decision aligns the station's name with its actual location. Pramono also detailed the progress of the Kelapa Gading-Manggarai LRT route, a Rp 12.1 trillion project expected to serve as a new backbone for the capital's public transport, carrying an estimated 80,000 passengers daily.

Culture Ministry to Utilise Danantara's Idle Assets for New Museums

The Indonesian government plans to establish several new museums by repurposing idle assets owned by the state investment body Danantara. Culture Minister Fadli Zon announced initiatives including a film museum in Jakarta's Old Town and a photography museum in Semarang. The projects aim to advance national culture and are scheduled to commence this year.

Kimia Farma Posts Rp10.3 Billion Profit in First Half of 2026

State-owned pharmaceutical company PT Kimia Farma (Persero) Tbk. swung to a net profit of Rp10.32 billion in the first half of 2026, reversing a loss of Rp95.01 billion a year earlier. The turnaround was driven by a 7.61% rise in net sales and a significant increase in other income. The company also benefited from lower financial costs and a foreign exchange gain.

South Konawe Regional Secretary Removed After Striking Sibling During Affair Raid

The Regional Secretary of South Konawe, Ichsan Porosi, has been dismissed from his post after being named a suspect for hitting his younger sibling during a raid on an alleged extramarital affair. The regent has appointed the head of the inspectorate as acting secretary to ensure government operations and public services continue without disruption. The move is intended to allow the definitive secretary to focus on his legal proceedings while maintaining administrative stability.

Rattan Smuggling Rife: Is Indonesia's Furniture Industry Under Threat?

The foiling of an attempt to smuggle nearly 100 tonnes of raw rattan to Malaysia highlights persistent challenges in Indonesia's rattan industry. Despite government efforts to promote downstream processing, illegal exports of raw materials continue to undermine domestic supply. This threatens the stability of the national furniture and handicraft sectors, particularly small and medium enterprises that depend on natural rattan.

Malaysia Considers Stationing Police at Airports Following MAS Pilot Drug Case

The Malaysian government is considering deploying Royal Malaysia Police officers at airports to tighten security and prevent drug smuggling, following the arrest of a Malaysia Airlines co-pilot for trafficking ecstasy into Indonesia. Authorities have also identified a Kuala Lumpur International Airport staff member suspected of aiding the operation. The case has prompted calls for stricter background checks and health screening protocols for airline crew.

More Than a Place of Worship: Masjid Pertolongan Allah Becomes a Hub for Community Development

Masjid Pertolongan Allah in Sleman, Yogyakarta, is being developed as a central pillar for community guidance, not just a place for daily prayers. The housing complex's developer, Ahmad Hanafi Rais, emphasizes the mosque's role in youth and family programs. The initiative was highlighted during a study session attended by prominent national figure Amien Rais, who shared his reflections and urged the younger generation to uphold religious values.

Social Affairs Minister stresses People's Schools require collaboration and internal integrity

Social Affairs Minister Saifullah Yusuf has emphasised that the success of the People's School programme hinges on close collaboration across ministry units and a strong commitment to integrity. The programme, part of President Prabowo Subianto's education-based poverty alleviation strategy, will provide free boarding education and integrated interventions for families. The ministry is also targeting the construction of up to 150 new school buildings to accommodate at least 140,000 students next year.

National Police Chief Vows Action Against Hoax Spreaders of Demo Videos

National Police Chief General Listyo Sigit Prabowo has confirmed that perpetrators spreading hoaxes related to demonstrations will face legal consequences. Authorities are currently investigating social media accounts suspected of attempting to divide the public. The government has assured that the security situation across Indonesia remains safe and under control.

NTB High Prosecutor's Office Auctions Seized Assets Worth IDR 3.1 Billion

The West Nusa Tenggara High Prosecutor's Office is auctioning seized assets from general and special criminal cases with a total limit value of approximately IDR 3.1 billion. The auction, which includes land, buildings, vehicles, and mobile phones, is expected to boost state revenue. The public can participate both in person at five district prosecutor's offices and online from 13 August 2026.

Home Affairs Minister Tito Says Rp14 Trillion Needed to Address Fiscal Crisis in 79 Regional Governments

Home Affairs Minister Tito Karnavian has revealed that approximately Rp14 trillion is required to resolve budget shortfalls affecting 79 regional governments, primarily for civil servant salaries. The crisis stems from central government cuts to regional transfer funds. Two solutions are being explored, including a top-up to the Transfer to Regions budget and the settlement of outstanding Revenue Sharing Funds from 2024.

Education Ministry Boosts Teacher Competence in Digital Era Through KLIC Programme

Indonesia's Ministry of Primary and Secondary Education is enhancing teacher competence to adapt to digital transformation through the Korean e-Learning Improvement Cooperation (KLIC) 2026 programme. The initiative focuses on strengthening digital skills, global collaboration, and innovative, student-centred learning. Top participants will be selected for advanced training in South Korea to become agents of change in digital learning development.

Indonesia's Poor Population Declines Nationally, but Rises in Aceh, Bali, and Papua

Indonesia's national poverty count fell by 430,000 people to 22.93 million in March 2026, according to the latest data from the Central Statistics Agency (BPS). However, this national improvement masks regional disparities, with several provinces including Aceh, Bali, and parts of Papua recording an increase in their poor populations. The data highlights uneven economic recovery and development outcomes across the archipelago.

Pekanbaru Mayor Promotes Green City Spirit at IMT-GT Forum

Pekanbaru Mayor Agung Nugroho has urged regional leaders to embrace the Green City concept during the opening of the Indonesia-Malaysia-Thailand Growth Triangle (IMT-GT) Green Cities Mayor Council 2026. The international seminar, hosted in Pekanbaru, Riau, serves as a platform for cross-border cooperation on environmental sustainability. Nugroho emphasised that preserving nature is essential for securing the future of the next generation.

Corruption Assets of Bagek Polak Village Head Returned to West Lombok Regency Government

The Mataram District Attorney's Office has returned 39 acres of land, used as evidence in a corruption case involving the Bagek Polak village head, to the West Lombok Regency Government. The convicted village head, Amir Amraen Putra, was sentenced to two years in prison for misusing the customary land asset. The local government plans to lease the land to boost regional revenue.

APINDO Bidik Investasi Besar dari Rakernas di Makassar

The Indonesian Employers' Association (APINDO) is hosting its 35th National Working Meeting in Makassar, leveraging the city's strategic role as a gateway to Eastern Indonesia to attract significant investment. The event features a Business and Investment Forum designed to connect local businesses with domestic and international investors, supported by a dedicated investment unit to facilitate project realisation. The initiative aims to strengthen the investment climate and promote economic growth, particularly in Eastern Indonesia, while also providing a platform for thousands of MSMEs to expand their market access.

Protecting Your Financial Future with Financial Literacy

Digital transformation has made financial transactions instant but also risky, underscoring the urgent need for financial literacy. Without it, individuals are vulnerable to illegal online loans, investment scams, and impulsive spending. The article advocates using regulated platforms like Pegadaian's Tring! app to build a secure financial foundation.

Police and Military Battle 27-Hectare Forest Fire in Pelalawan, Water-Bombing Helicopters Deployed

A joint task force comprising police, military, and civilian agencies is battling a 27-hectare land and forest fire across two locations in Pelalawan Regency, Riau. Two water-bombing helicopters have been deployed to assist ground crews in extinguishing the persistent peatland blaze. Authorities have reiterated a strict ban on slash-and-burn land clearing and warned of legal action against perpetrators.

Malaysian Cabinet Holds Emergency Meeting Over MAS Pilot Smuggling Ecstasy into Indonesia

The Malaysian government has convened an emergency cabinet meeting to address the arrest of a Malaysia Airlines co-pilot for attempting to smuggle ecstasy into Indonesia. Officials are reviewing reports from the Home and Transport Ministries to formulate immediate mitigation measures. Preventative steps under consideration include deploying dedicated police officers at Kuala Lumpur International Airport and tightening airline crew vetting procedures.

Poverty in Bali Rises Slightly; Cigarettes Remain Second-Largest Expenditure

Bali's poverty rate edged up to 3.44% in March 2026, with the number of poor residents increasing by 1,920 compared to September 2025. The province's tourism low season and reduced agricultural output were cited as contributing factors. Cigarettes remain the second-largest contributor to the poverty line after rice, highlighting the significant financial burden of tobacco consumption on low-income households.

Govt opens registration for 81st Independence Day ceremony at palace

The Indonesian government has opened online registration for citizens wishing to attend the 81st Independence Day flag-hoisting ceremony at the presidential palace. Applicants must submit personal details and documents between August 5 and 7, with successful registrants invited to witness the historic commemoration and cultural performances firsthand.

Social Affairs Ministry Sends Aid to Flood and Landslide Victims in Padang

The Indonesian Ministry of Social Affairs has dispatched Rp1.46 billion in logistical aid to assist communities affected by severe flooding and landslides in Padang, West Sumatra. The aid includes food, evacuation equipment, and family supplies to meet the basic needs of impacted residents during the emergency response period. No casualties have been reported, though the disaster has affected approximately 700 homes and 1,488 families.

Indonesian Ambassador: Faith-Based Diplomacy Needed to Complement Conventional Diplomacy

Indonesia's Ambassador to the Holy See, Michael Trias Kuncahyono, has argued that faith-based diplomacy is essential to resolve conflicts rooted in religious identity, where secular diplomacy often fails. Speaking at a conference in Yogyakarta, he drew on his experience covering Middle Eastern conflicts to stress the importance of religious literacy for diplomats. He also highlighted Indonesia's harmonious diversity as a strong diplomatic asset in international religious forums.

Now Hanging Their Heads in Apology: The Three Health Workers Who Mocked Deceased Patient Yurizal Tri Chaerawan

Yurizal Tri Chaerawan, a BPJS patient who complained online about waiting eight hours for a hospital room, has passed away, sparking public outrage. His death came days after several health workers and a doctor posted sarcastic and dismissive comments on his social media plea. The individuals involved have since apologised following a wave of criticism over their lack of empathy.

West Java Council Raises Alarm Over Teacher Crisis, Shortfall of 6,000 Educators

The West Java Regional People's Representative Council (DPRD) has warned that the province is facing a critical shortage of approximately 6,000 teachers, a situation it describes as a systemic threat to national education standards. The crisis, attributed to central government bans on recruiting new honorary teachers and a zero-growth policy for civil servant positions, has forced schools to assign educators to subjects outside their expertise. In response, the provincial government has partnered with the Indonesia University of Education to deploy over 1,000 students to schools in an effort to mitigate the shortfall.

Coordinating Minister: Social Media Accounts Spreading Demo Hoaxes Face Criminal Charges

Coordinating Minister for Political and Security Affairs Djamari Chaniago has warned that owners of social media accounts disseminating hoaxes about anarchic demonstrations will face criminal prosecution. The minister stated that videos circulating online, which call for unrest during the upcoming Independence Day celebrations, depict past events and do not reflect the current stable situation in Indonesia. He urged the public not to be provoked by unverified information and to trust the government to maintain security.

Malaysia to Station Police at Airports to Curb Drug Smuggling

The Malaysian government is considering deploying Royal Malaysia Police officers inside airport areas to prevent drug trafficking, following the arrest of a Malaysia Airlines co-pilot in Indonesia. Currently, security screening is assisted by auxiliary police, but the government believes sworn officers are needed to address aviation security loopholes. A decision will be made after a detailed review of the incident and airport vulnerabilities.

Samarinda Doctor Suspended After Commenting on BPJS Patient Who Later Died

A doctor at RSUD IA Moeis in Samarinda has been temporarily suspended after commenting on a social media post by a BPJS patient who later died. The patient had complained about an eight-hour wait for a hospital room, and the doctor's response drew public criticism for lacking empathy. Hospital management has reported the incident to the regional inspectorate while disciplinary proceedings continue.

Presidential Clash Threatens Brazil-Argentina Diplomatic Relations

Brazil has downgraded its diplomatic relations with Argentina after President Javier Milei insulted President Luiz Inacio Lula da Silva in a television interview. The Brazilian ambassador to Buenos Aires will not return to his post, marking a new low between Latin America's two largest economies. The escalating tension threatens to unsettle markets, given both nations' key roles in the Mercosur trade bloc.

BPS records slight increase in Gini Ratio inequality to 0.368

Indonesia's expenditure inequality, as measured by the Gini Ratio, edged up to 0.368 in March 2026 from 0.363 in September 2025, according to the Central Statistics Agency (BPS). Urban areas recorded a higher inequality level of 0.387 compared to 0.296 in rural regions. The slight rise in inequality occurred alongside a reported decline in the national poverty rate to 8.07 per cent.

Kapolri Listyo Sigit Responds to Replacement Rumours: It's the President's Prerogative

National Police Chief General Listyo Sigit Prabowo has responded calmly to rumours of a presidential letter regarding his replacement, stating that the decision is entirely the prerogative of President Prabowo Subianto. He affirmed that the speculation has not disrupted police operations and that the force remains focused on serving the public. DPR Commission III members have also denied receiving any such letter and praised Sigit's performance.

Businesses urge investment climate reforms to prevent more layoffs

The Indonesian Employers Association (Apindo) has urged the government to tackle structural economic bottlenecks, warning that failure to improve the investment climate will lead to further job losses. Apindo chairwoman Shinta Kamdani highlighted that high production and logistics costs, regulatory inefficiencies, and weak labour productivity are undermining the real sector's ability to expand and create employment. The association has formed an internal task force to identify and push for the resolution of business constraints, arguing that preventing layoffs requires upstream reforms rather than reactive measures after workers have been let go.

PT Samwon Busana Jepara Officially Closes on 1 August, 685 Workers Laid Off

South Korean-owned garment manufacturer PT Samwon Busana Indonesia has permanently ceased operations in Jepara, Central Java, due to sustained financial losses. The closure, effective 1 August 2026, resulted in the termination of 685 employees, with all severance obligations settled using the calculation formula stipulated in Government Regulation No. 35 of 2021. The company had previously sought legal clarity regarding the layoff process following a Constitutional Court ruling on the Job Creation Law.

Finance Ministry: Q2-2026 Economic Growth Proves Economy Remains Buoyant

Indonesia's economy grew by 5.29 per cent in the second quarter of 2026, which the Finance Ministry says demonstrates sustained economic vigour. The growth was supported by expanding manufacturing activity, stable purchasing power, and a healthy state budget. The government remains confident of achieving its full-year growth target of 5.6 to 6.0 per cent.

Pangolin Enters Residential Area in Pandeglang, Handed Over to BKSDA

A pangolin was found wandering into a residential area in Pandeglang, Banten, prompting residents to evacuate the animal and hand it over to local authorities. The protected and endangered species was safely secured by the Regional Disaster Management Agency (BPBD) before being transferred to the Natural Resources Conservation Agency (BKSDA) in Serang. Officials suspect the animal's appearance was due to habitat disturbance or a search for food.

Punishment Has an End, Service Does Not

A reflective piece on the life and philosophy of Burhanuddin Abdullah, former Governor of Bank Indonesia, highlighting his belief that public service transcends personal tribulation. It details his significant contributions to Indonesia's economic sovereignty, including early IMF debt repayment and modernising monetary policy, while noting how public memory often fixates on scandal over achievement.