Indonesian Political, Business & Finance News

Archive: 5 August 2026

Showing 901-950 of 1,487 articles

OJK Reveals Development Roadmap for Regional Development Banks to Boost Economic Growth

Indonesia's Financial Services Authority (OJK) has outlined a new development roadmap for Regional Development Banks (BPD), citing their unique role in driving local economies. Despite total BPD assets reaching Rp1,036.51 trillion as of March 2026, the regulator notes challenges remain in human resources and IT systems. The roadmap aims to ensure sustainable growth, with credit distribution rising to Rp656.87 trillion and a strong capital adequacy ratio of 26.19%.

BI Bali Facilitates Food Distribution to Counter El Niño Impact

Bank Indonesia's Bali office is facilitating food distribution through regional public companies to mitigate inflationary risks from the strong El Niño phenomenon. The central bank is strengthening inter-regional cooperation to ensure supply availability, particularly as the dry season threatens agricultural output. This comes as Bali's annual inflation eased to 2.42 per cent in July, though the meteorological agency warns of potential drought.

Police Investigate Criminal Element in Felling of 10 Trees Near Bandung Padel Court

Bandung Police are investigating potential criminal violations after 10 trees were allegedly felled without permission on Jalan LLRE Martadinata. Authorities are coordinating with the city government, which has yet to file a formal report, while the mayor suspects the act was intended to improve the visibility of a padel court and violated environmental protection regulations.

Customs Seize Illegal Harley-Davidson CKD Imports, Here's What They Look Like

Indonesian customs officials at Tanjung Priok port have thwarted the smuggling of five disassembled Harley-Davidson motorcycles and 20 frames from China. The illegal imports were detected through X-ray scanning anomalies and physical inspection, violating a trade ministry regulation that prohibits the import of used vehicles. The operation highlights the use of advanced scanning technology to protect domestic industry.

Mutilated Body Found in Depok: Victim's Identity Revealed, Suspect Arrested

Police have identified the victim of a mutilation case in Depok as Kunaefi, a 51-year-old man, and arrested a suspect with the initials SA. The victim's headless body was found in a sack in the Tanah Merah area after a resident attempted to burn what they thought was rubbish. The suspect allegedly killed the victim following a dispute at a rented house, mutilated the body, and sold the victim's motorcycle.

Driver Reveals Tourists Cancelled Nusa Penida Trip Over Rp 25,000 per Destination Levy

A group of 47 tourists cancelled their holiday to Nusa Penida, Bali, after being unexpectedly charged a new levy of Rp 25,000 per person for each destination visited, sparking widespread complaints from local drivers. The Klungkung Tourism Office acknowledged the controversy, stating the levy is mandated by a new regional regulation effective 1 August 2026, while the local hotel and restaurant association confirmed a drop in bookings and called for infrastructure improvements before additional charges are imposed. Industry players are seeking an audience with the government, arguing that poor road conditions and destination management make the new fee unjustifiable to visitors.

US Boosts Intelligence Assets in Cuba, Signalling Pressure on Regime

The United States has reportedly increased its intelligence presence in Cuba as part of a broader Trump administration strategy to pressure the communist regime into reform. The enhanced espionage activities, which include a bolstered CIA presence, are seen as a potential precursor to military action or efforts to destabilise the government. The move comes alongside tightened economic blockades and legal actions against former Cuban leaders.

Sidoarjo Court Fines Illegal Alcohol Sellers, Urges Satpol PP to Act Without Discrimination

The Sidoarjo District Court has fined three individuals for illegally selling alcohol, with penalties ranging from Rp300,000 to Rp2 million. The cases involved a distributor selling retail without a permit, another store operating similarly, and a grocery shop selling alcohol without any licence. The presiding judge urged the Public Order Agency (Satpol PP) to enforce local regulations firmly and without favouritism.

Deputy Police Chief Encourages Personnel to Develop Competencies, Foster Innovation

Deputy Police Chief Commissioner General Dedi Prasetyo has urged all Indonesian National Police (Polri) personnel to continuously develop their skills and knowledge, regardless of rank. He highlighted the case of a junior officer whose agricultural innovation supports national food security as a model for the force. Polri is also expanding its network of Police Study Centres in universities to promote research, evidence-based policing, and collaboration with academics and the public.

Blok M-Soekarno-Hatta Bus Route Officially Named 'Transbandara', Fare Set at Rp 15,000

The Jakarta provincial government has officially named the bus service connecting Blok M to Soekarno-Hatta Airport as 'Transbandara' and set its fare at Rp 15,000. The fare, formalised under Governor's Decree Number 685 of 2026, will take effect on 1 September 2026 following a one-month public socialisation period. Officials clarified that this is an initial fare establishment rather than an increase, as the service was previously operating under a trial period.

Bangladesh garment sector sheds thousands of jobs amid global competition and structural weaknesses

Bangladesh's crucial garment industry, which accounts for 80% of export earnings, is facing a severe downturn with thousands of layoffs and factory closures. The sector is struggling with weak global demand, stiff competition from India and Vietnam, and a failure to modernise beyond basic products. The impending loss of least-developed country trade benefits in Europe is adding to the pressure, raising concerns about the future of an industry that employs over 4.5 million people.

Government Extends WFH for Civil Servants Until End of September 2026

The Indonesian government has extended the work-from-home policy for civil servants by one day a week until the end of September 2026, following a two-month evaluation. The policy aims to reform the bureaucracy, save energy, and improve operational efficiency. Public-facing services such as health, education, and licensing will continue to operate fully on all working days.

Chronology of Mutilated Body Discovery in Depok: Police Arrest Suspect in Pandeglang

The Indonesian National Police have arrested a suspect in connection with the discovery of a mutilated body in Depok. The victim, Kunaefi, was allegedly murdered by an acquaintance following a dispute, after which the suspect dismembered the body and disposed of the remains in multiple locations.

Governor Mualem Seeks Full Ministerial Support for Aceh's Agricultural Recovery

Aceh Governor Muzakir Manaf has requested comprehensive support from Agriculture Minister Andi Amran Sulaiman to rehabilitate agricultural land devastated by recent hydrometeorological disasters. The appeal covers over 57,000 hectares of damaged rice fields and 50,000 hectares of plantations, including the renowned Gayo coffee highlands. The Minister has committed to providing superior seeds, fertilisers, and technical assistance to restore productivity.

Protected Pangolin Found on Anturan Beach Handed Over to Bali BKSDA

A live Javan pangolin, a protected species, was discovered on Anturan Beach in Buleleng, Bali. Local police and residents collaborated to evacuate the animal before handing it over to the Bali Natural Resources Conservation Agency (BKSDA) for health checks and eventual release. Authorities have urged the public to report any encounters with protected wildlife immediately and to refrain from hunting or trading them.

One Swipe, Rp23 Billion Gone! The Dark Side of a Live Shopping Startup

A CNBC Indonesia report highlights the financial ruin faced by users of the live shopping app Whatnot, where one user lost Rp23 billion in four months. The platform, which dominates the North American and European live commerce market, faces criticism for its addictive, casino-like auction design that experts say degrades user consent. While the company denies significant problems and points to new safety features, stories of depleted retirement funds, maxed-out credit cards, and alleged stolen goods being sold on the platform are mounting.

Trade Minister pushes to strengthen Indonesia-Thailand ties

Indonesia's Trade Minister is advocating for stronger bilateral trade relations with Thailand, emphasising support for MSMEs and integration into global value chains. The minister highlighted the strategic economic partnership between the two largest ASEAN economies, with bilateral trade reaching US$17.7 billion in 2025. Despite global uncertainties, Indonesia's domestic market, demographic bonus, and natural resources are seen as key assets for maintaining regional competitiveness.

LPPOM Urges Businesses to Secure Halal Certification Ahead of October 2026 Deadline

The Indonesian Ulema Council's food and drug assessment agency (LPPOM) has called on food and beverage businesses to immediately begin the halal certification process, following public scrutiny of a well-known restaurant chain found to lack the credential. The agency stressed that early preparation is crucial ahead of the government's mandatory halal programme, which comes into full effect on 18 October 2026. LPPOM emphasised that halal certification is not only a regulatory requirement but also a long-term investment to boost consumer trust and competitiveness.

Makassar Cooperative and SME Office Prioritises Korpri Cooperative Programme

The Makassar Cooperative and SME Office is prioritising the establishment of a Korpri cooperative as a strategic initiative to enhance the financial welfare of civil servants. The programme aims to provide legal and transparent financial services, protecting members from illegal loans. The cooperative is also designed to support digital banking and empower small businesses run by the families of government employees.

Mass Funeral Held for 112 Victims of Israeli Attack in Gaza

Palestinians in Gaza City held a mass funeral for 112 people, mostly women and children, whose bodies were recently recovered from rubble two weeks after an Israeli strike on a residential block in November 2023. The victims, from two extended families, were wrapped in Palestinian flags before burial in what was described as the largest funeral in Gaza since the war began.

Police Arrest Suspect in Depok Mutilation Case

Police have arrested Saepul, a 26-year-old man suspected of murdering and mutilating Kunaefi in Cipayung, Depok. The suspect allegedly killed the victim following a dispute, dismembered the body, and disposed of the remains in two separate locations. The case came to light after local residents discovered the torso while burning what they thought was a rubbish sack.

Government Targets 1.45 Million Household Gas Connections by 2029 to Curb LPG Imports

The Indonesian government plans to install 1.45 million household gas network connections by 2029 to reduce reliance on imported LPG. The project, which will utilise state budget, public-private partnerships, and state-owned enterprise investments, aims to provide a more stable and cost-effective energy source. Officials claim the switch could save households up to Rp 900,000 annually.

Defence Minister: TNI's Weaponry and Ammunition Needs Beginning to Be Met

Indonesian Defence Minister Sjafrie Sjamsoeddin stated that the Indonesian Armed Forces' (TNI) requirements for weaponry and ammunition are starting to be fulfilled. He noted a significant improvement compared to previous years, attributing the progress to the government's ongoing revitalisation of national defence capabilities throughout 2026. The assessment followed an integrated tri-service exercise in Lingga Regency.

Government Accelerates Household Gas Network Development

The Indonesian government is accelerating the construction of household gas networks to bolster national energy security and reduce reliance on LPG. The programme targets 119,379 new connections across 15 districts and cities for the 2025–2026 period, with a cumulative target of 1.45 million connections by 2029. The expansion will be funded through a combination of the state budget, public-private partnerships, and state-owned enterprise investments.

East Java's economy grows 5.72 percent in second quarter, says BPS

East Java's economy expanded by 5.72 percent year-on-year in the second quarter of 2026, according to Statistics Indonesia (BPS). Growth was broad-based across all sectors except mining and quarrying, which contracted by 4.89 percent. Government consumption surged by 19.35 percent, leading the expenditure side, while construction and information-communication sectors posted strong gains.

IYCTC: Komdigi's Move Proves Indonesia Protects Children from E-Cigarette Promotion

The Indonesian Youth Council for Tactical Changes (IYCTC) has praised the Ministry of Communication and Digital Affairs (Komdigi) for reprimanding YouTube over an influencer's promotion of e-cigarettes, calling it a crucial step in protecting children in the digital space. The group urged the government to use this case as a starting point for consistent enforcement of Government Regulation No. 17 of 2025 on child protection in electronic systems. IYCTC also highlighted the broader issue of influencers being used by the tobacco and vape industry to target young audiences, citing a tenfold increase in e-cigarette prevalence over the past decade.

Coordinating Minister Summons TNI Chief and Police Chief, Assures Situation Under Control

Coordinating Minister for Political and Security Affairs Djamari Chaniago summoned the TNI Commander, National Police Chief, and other top officials, assuring the public that the domestic situation remains secure and under control. He urged citizens not to be influenced by hoaxes circulating on social media. The government pledged to maintain stability and public calm.

CELIOS Questions Anomalies in Indonesia's Q2 2026 Economic Growth Data

The Center of Economic and Law Studies (CELIOS) has cast doubt on the 5.29% economic growth figure for Q2 2026, arguing it contradicts weakening consumer indicators. Director Nailul Huda highlighted a decline in the Consumer Confidence Index and Real Sales Index, alongside a slowdown in household spending, suggesting the growth was primarily driven by wealthy consumption and vehicle imports rather than broad-based economic health.

Indef: 5.29 Percent Economic Growth Still Solid, but Unemployment Challenges Remain Large

The Institute for Development of Economics and Finance (Indef) has assessed that Indonesia's economic growth of 5.29 percent in the second quarter of 2026 remains relatively solid, despite a slowdown from the previous quarter. Indef director Eko Listiyanto cautioned that the headline figure has not resolved structural issues, particularly regarding job creation and stagnant purchasing power. He urged the government to ensure that macroeconomic growth translates into wider employment opportunities and improved public welfare.

Indonesia's Poverty Rate Falls to 8.07% in March 2026, BPS Reports

Indonesia's poverty rate declined to 8.07% in March 2026, with the number of people living in poverty falling by 430,000 to 22.93 million compared to September 2025. The national poverty line rose to Rp669,235 per capita per month, while urban poverty improved more significantly than rural poverty. However, the depth and severity of poverty indices worsened in rural areas, indicating a widening expenditure gap among the rural poor.

Police Destroy 46 Million Illegal Prescription Pills in East Jakarta, Two Arrested

Indonesian police have uncovered a massive illegal pharmaceutical operation in East Jakarta, seizing and destroying 46 million prescription-only pills. Two suspects were arrested for distributing the unlicensed drugs across Greater Jakarta and West Java, with authorities warning of strict action against any perpetrators, including police officers.

Forest and Land Fires in West Kalimantan Claim One Life

A resident has died amid forest and land fires in Ketapang Regency, West Kalimantan, after being overcome by thick smoke. The local disaster agency reports that fires have consumed over 40 hectares and are affecting nearly all sub-districts, with ground crews struggling due to limited water sources. Authorities have deployed water-bombing helicopters to assist in controlling the blazes and are requesting additional aerial support from the national disaster agency.

Bandung Council Pushes for Criminal and Civil Action in Tree Felling Case

The Bandung Regional House of Representatives (DPRD) is urging the city government to pursue both criminal and civil charges over the felling of 10 large trees near a padel court. Commission I Chairman Radea Respati Paramudhita argues the act was organised, likely involving corporate backing, and demands accountability beyond individual workers. He insists the city must take concrete legal steps to ensure environmental restoration and create a deterrent effect against corporate violations.

Bappenas: Cultural Investment Key to Boosting Economic Value and Competitiveness

Indonesia's Ministry of National Development Planning (Bappenas) has highlighted the strategic importance of investing in the arts and culture sector to drive economic growth. The government views the nation's vast cultural wealth as a competitive advantage that, if managed properly, can create high-value products for the global market. A key part of this strategy is the National Talent Management programme, designed to systematically nurture creative human resources and strengthen the creative industry ecosystem.

National Police Chief Sigit on Succession Issue: It's the President's Prerogative

National Police Chief General Listyo Sigit Prabowo has responded to speculation about his potential replacement, stating that the decision is entirely the prerogative of the president. He dismissed concerns that the rumours are affecting his performance, while the House of Representatives denied receiving any official letter regarding a change in police leadership. A presidential advisor added that all positions are temporary and the timing of any replacement depends solely on President Prabowo Subianto.

Two Students from Government-Run 'Sekolah Rakyat' Represent Indonesia at ASEAN Children's Forum

Two students from Indonesia's state-run 'Sekolah Rakyat' program participated as national delegates in the 9th ASEAN Children's Forum, held in a hybrid format from Putrajaya, Malaysia. The students presented recommendations on preventing violence against children, focusing on physical, psychological, sexual, and digital abuse, as well as neglect. Their participation marks a significant achievement for the social welfare-based school program, highlighting its potential to empower underprivileged students on an international stage.

Indonesia foils smuggling of used Harley-Davidsons from China

Indonesian customs officials at Tanjung Priok Port have thwarted an attempt to smuggle used Harley-Davidson motorcycles and frames from China, which were misdeclared as used motorcycle parts. The seizure, which violates the Minister of Trade Regulation on the import of used goods, involved five disassembled motorcycles and 20 frames linked to three importing companies. Authorities are now coordinating with the Ministry of Finance to determine whether the state-controlled goods will be auctioned or destroyed.

Experts Discuss Cancer Developments at BOSS 2026, SWICC Launches Free Screening Programme

National oncology experts gathered at the Bogor Oncology Summit SWICC (BOSS) 2026 to discuss advancements in cancer treatment, covering breast, lung, cervical, colorectal, and leukaemia cases. The event highlighted the strategic role of the Suherman Widyatomo Integrated Cancer Center (SWICC) in providing comprehensive care. In conjunction with the summit, a programme offering 500 free cancer screenings was launched to promote early detection and reduce late-stage diagnoses in Indonesia.

Indonesia's Poor Population Continues to Decline, Hits Lowest Level in Nearly 30 Years

Indonesia's poverty rate has fallen to its lowest point since 1999, with the number of people living in poverty dropping to 22.93 million in March 2026. The Central Statistics Agency (BPS) also introduced a new household-based poverty line presentation to complement the existing per capita measure. The national poverty line was recorded at Rp669,235 per capita per month, equivalent to Rp3.09 million per poor household.

Mass Funeral Held for 112 Victims of Israeli Attacks in Gaza

A mass funeral was held in Gaza City for 112 Palestinians whose bodies were recently recovered from rubble, months after they were killed in Israeli attacks. The victims, including many from a single extended family, were buried as rescue workers reported thousands more remain entombed beneath destroyed buildings. The ceremony occurred amid ongoing violence, with reports of continued casualties despite a fragile ceasefire.

Indonesian Navy Escorts Rupiah Distribution to Remote Papua Islands

The Indonesian Navy's X Fleet Command has launched the 2026 Sovereign Rupiah Expedition to distribute legal tender to five remote, frontier, and outermost (3T) regions in Papua. The mission, involving the KRI Mata Bongsang-873, aims to ensure the availability of rupiah currency and reinforce state sovereignty in isolated island communities. The voyage covers a 625-nautical-mile route, including stops at Pai, Owi, Numfoor, Bepondi, and Yapen islands.

Fadli Zon: Kopdes Merah Putih Embodies Gotong Royong Culture

Culture Minister Fadli Zon has stated that the Kopdes Merah Putih (Red and White Village Cooperative) programme is a manifestation of Indonesia's mutual cooperation culture, aimed at boosting public welfare by strengthening village economies. He contrasted the cooperative model with capitalism, arguing it ensures benefits are shared among members rather than a select few. The programme is also intended to serve as a distribution centre for subsidised goods such as LPG and fertiliser to ensure they reach the intended recipients.

PLN accelerates hydro projects through 7,046 MW bundled procurement

State electricity firm PLN is bundling hydropower plant procurement into a 7,046 megawatt package to expedite its 2025–2034 electricity supply plan. The GIGA ONE Hydro scheme covers projects across Sumatra, Kalimantan, and Sulawesi, with around 1,000 MW already in the auction phase. PLN aims to create economies of scale, attract more bidders, and secure more competitive offers while addressing interconnection readiness and regulatory certainty.

Malaysia-Indonesia Drug Network Exposed: Customs and Police Seize 80kg of Meth and 5,200 Ecstasy Pills

A joint operation by Indonesian Customs, the National Police's Criminal Investigation Unit (Bareskrim), and the anti-terror squad Densus 88 has dismantled a major international drug trafficking ring. The operation, conducted from 26 July to 1 August 2026, resulted in the seizure of 80 kilogrammes of methamphetamine and 5,200 ecstasy pills. The drugs were smuggled by sea from Malaysia to the eastern coast of Sumatra, destined for Palembang, and the investigation has uncovered a sophisticated, multi-layered courier network.

How Many Days Off for 17 August 2026? Here Are the Details

The Indonesian government has designated Monday, 17 August 2026, as a national holiday to commemorate the 81st anniversary of Independence Day, creating a long weekend. While no additional collective leave days have been granted for the Independence Day period, the calendar also includes a holiday for the Prophet Muhammad's birthday on Tuesday, 25 August 2026, which follows a weekend and a recommended leave day.

West Bandung's Strategy to Meet Rice Production Targets Amid El Nino Threat

The West Bandung Regency government is implementing a series of mitigation measures to safeguard its 2026 rice production target of 265,368.2 tons of dry unhusked grain (GKP) against the impacts of El Nino. With first-semester production already down 11.59 percent year-on-year, officials are distributing hundreds of water pumps and promoting drought-resistant seed varieties. Farmers are also being advised to adopt water-saving cultivation techniques and shift to alternative crops to prevent further harvest failures.

Pertamina Patra Niaga Showcases SME Souvenirs at GIIAS 2026

Pertamina Patra Niaga is promoting its fostered small and medium enterprises (SMEs) by featuring their products as free souvenirs at the GIIAS 2026 automotive exhibition. Visitors can obtain items such as candles and batik pouches, including some made in collaboration with children with special needs, after participating in interactive games at the MyPertamina booth. The initiative aims to increase market exposure and support the business sustainability of local artisans.

Minister Invites North Maluku Residents to Strengthen Village Cooperative Role

Minister of Villages Yandri Susanto has urged the people of North Maluku to actively support the establishment of 'Red and White Village Cooperatives' (KDKMP), a government initiative aimed at strengthening village economies and eradicating poverty. The cooperatives will serve as off-takers for local farmers and fishermen, guaranteeing a market for their produce, and will also act as integrated distribution channels for government social assistance. The minister also cautioned residents against misinformation regarding the programme, specifically denying false claims that the cooperatives would force the closure of small village shops.

Businessman Shot Dead in Singkawang; Hitman Claims He Was Paid Rp 90 Million

A businessman in Singkawang, West Kalimantan, was fatally shot outside his home, and the alleged hitman has confessed to the crime. The suspect told police he was paid Rp 90 million in instalments to carry out the killing. Authorities have named the victim's younger brother as the individual who allegedly ordered the murder.

17 Chinese Companies Raided, 330 Agents Deployed to Detain 114 Individuals

Taiwanese authorities have raided 17 Chinese companies accused of illegally poaching semiconductor talent, deploying 330 agents across 64 locations. The operation, conducted between 13 July and 4 August, resulted in the intensive questioning of 114 individuals. Taipei is intensifying efforts to protect its strategic chip industry from what it describes as aggressive talent theft by Beijing.