Indonesian Political, Business & Finance News

Archive: 7 August 2026

Showing 451-500 of 1,438 articles

Yogyakarta city government to boost people's economy through 270th anniversary celebrations

The Yogyakarta city government is organising a two-month series of events for its 270th anniversary, running from August to October 2026, with the aim of stimulating the local economy and promoting tourism. Mayor Hasto Wardoyo stated that the approximately 120 activities, including cultural festivals and markets, must create space for MSMEs, artists, and communities. The extended celebration period is also intended to serve as a strategic city branding tool to attract tourists.

Legislator Calls for Service Audit After BPJS Patient Waits Eight Hours for Hospital Bed

An Indonesian legislator has urged a comprehensive audit of healthcare services following the case of a BPJS patient who died after waiting eight hours for a hospital bed. The official stressed that capacity shortages must not lead to a loss of certainty in patient care and called for a real-time bed availability system. He also highlighted the need to address systemic pressures on healthcare workers while distinguishing between professional conduct and social media interactions.

LHS Urges 35th NU Congress to Prioritise Deliberation, Avoid Voting

Former Religious Affairs Minister Lukman Hakim Saifuddin has called on participants of the 35th Nahdlatul Ulama (NU) Congress to uphold the organisation's dignity by prioritising deliberation over voting in leadership decisions. He warned against the dangers of money politics, power intervention, and the influence of financiers, urging that the forum be kept honourable. Lukman stressed that the appointment of the top leaders should be achieved through consensus rather than a ballot to prevent practices that could compromise NU's independence.

After Signs of Intervention Intensified

The resignation of Bank Indonesia Governor Perry Warjiyo triggered immediate but limited market jitters, with the Jakarta Composite Index and the rupiah both weakening. A researcher noted the muted reaction suggests investor confidence remains underpinned by the central bank's aggressive efforts to defend foreign exchange reserves, interest rates, and the currency.

After Signs of Intervention Intensified

The resignation of Bank Indonesia Governor Perry Warjiyo caused limited market jitters, with the Jakarta Composite Index dipping slightly and the rupiah weakening past 18,000 per US dollar. However, a researcher noted the muted reaction suggests investors remain confident in the central bank's commitment to safeguarding foreign exchange reserves and the currency.

National Police Chief Pledges to Support Labour Struggle, Urges Orderly Conduct

National Police Chief General Listyo Sigit Prabowo has assured labour unions that the police will support and facilitate their advocacy efforts. During a dialogue with the Koalisi Besar Perjuangan Buruh Indonesia (KBPBI), he pledged to act as a bridge between workers and the House of Representatives. He also urged workers to maintain public order and avoid unrest while pursuing their demands to ensure national stability and progress towards the Indonesia Emas 2045 vision.

UI Academic Develops Ecosystem-Based Business Model for Second-Life EV Batteries

An academic from the University of Indonesia (UI) has developed a new business model to repurpose used electric vehicle (EV) batteries, supporting the national energy transition. The research emphasises that extending battery life through a second-life concept not only fosters a circular economy but also requires strong governance and coordination among stakeholders. The model positions an 'ecosystem orchestrator' to link manufacturers, testing firms, repurposing industries, and regulators.

Independence Day Bonanza: Red and White Trinket Sellers at Jatinegara Market Swamped with Buyers

Traders at Jakarta's Jatinegara Market are experiencing a twofold surge in sales of flags and Independence Day accessories as the 81st anniversary of the Republic of Indonesia approaches. The heightened public enthusiasm for decorating neighbourhoods has turned August into the most anticipated season for seasonal vendors. The increased demand is providing a significant boost to the income of small traders who rely on this annual patriotic moment.

Danantara & JBS Form USD 2.5B Protein Partnership

Indonesia's sovereign wealth fund Danantara has entered a strategic partnership with global protein giant JBS, acquiring a 25% stake in its Australia and New Zealand operations for USD 2.5 billion. The joint venture, which could deploy up to USD 5 billion in total capital, aims to leverage JBS's expertise and distribution networks to accelerate the development of Indonesia's domestic protein sector. The deal aligns with Danantara's mandate to forge international collaborations that deliver long-term value and support national economic growth.

Police Force Visits Palangka Raya University to Discuss Centre for Police Studies

The Indonesian National Police (Polri) is advancing the operationalisation of a Police Studies Centre at Palangka Raya University in Central Kalimantan. The initiative aims to foster collaboration between the police and academia to produce research and policy recommendations that can be directly implemented in the field. The programme is part of a broader national effort, with 54 such centres already established across the country.

Blora's Oro-oro Kesongo Geotourism Site Erupts Again, Spewing Mud

The Oro-oro Kesongo geological site in Blora, Central Java, experienced a series of mud eruptions on Friday morning, with plumes reaching up to 15 metres. Authorities have cordoned off the area and warned residents to stay clear due to the risk of toxic gas, which has caused fatalities in previous incidents. The site has a history of dangerous eruptions, including a 2023 event that killed one person.

APPBI Targets Over IDR 38 Trillion in Transactions During ISF 2026

The Indonesian Shopping Centre Management Association (APPBI) is aiming for transactions worth up to IDR 38.93 trillion during the 2026 Indonesia Shopping Festival, a significant increase from the previous year's target. The extended 17-day event, running from 7 to 23 August across 407 shopping centres, is designed to boost consumer spending amidst a challenging retail climate. The festival is expected to provide a vital stimulus for the economy, particularly benefiting the lower-middle class which dominates the shopping centre demographic.

Metro Jaya Police Assure Safe August, Urge Public Not to Worry

The Metro Jaya Regional Police have moved to reassure the public of security and order amid circulating rumours of protests in August 2026. Authorities have taken down 30 provocative and hoax contents and detained 28 individuals, with 10 facing legal proceedings. The police emphasised a dual approach of law enforcement alongside preventive and educational measures to maintain stability in Jakarta.

Finance Minister Purbaya Asks LPDP to Fund Environmental Research in the Timor Sea

Finance Minister Purbaya Yudhi Sadewa has requested that the Indonesia Endowment Fund for Education (LPDP) finance environmental research in the Timor Sea to address the ongoing impact of the 2009 Montara oil spill. The research aims to formulate a comprehensive environmental recovery policy and strengthen sustainable marine resource management. The findings will also serve as a basis for the government to claim environmental restoration compensation from the responsible parties.

Dedi Mulyadi Offers Bounty for Capture of Indonesian Flag Burners

West Java Governor Dedi Mulyadi has announced an open-ended bounty for citizens who help capture the perpetrators behind the recent burning of the Indonesian flag in Bandung. He stated the reward is intended to boost public participation and revive community spirit in safeguarding their neighbourhoods. The initiative is framed as support for the police in tackling crime.

Indonesian govt shifts transmigration focus to human capital

The Indonesian government is overhauling its transmigration policy, pivoting from simply relocating people to a human capital-focused approach aimed at creating new economic growth centres and reducing regional disparities. Minister Rachmat detailed the shift at the launch of the Patriot Expedition 2026, emphasising that the programme will strengthen talent development and research to transform agriculture and boost local commodities like Papuan coffee. The initiative is designed to produce skilled future leaders who can drive inclusive and sustainable economic growth in transmigration areas.

Portrait of Gazans Working from Displacement Tents

Amid widespread destruction and soaring unemployment, a growing number of Gazans are turning to the digital economy for survival. Remote work for international clients has become one of the few remaining opportunities to earn an income, with new co-working spaces emerging across the enclave. However, workers face immense challenges, including devastated infrastructure, unreliable power, and severe difficulties in receiving payments due to banking restrictions.

Indian Teacher and Manager Arrested in Bali for Smuggling Rp1.5 Billion Worth of Thai Cannabis

Two Indian nationals, a teacher and a company manager, have been arrested at Bali's Ngurah Rai Airport for attempting to smuggle over 10 kilograms of cannabis from Thailand. The suspects, who were paid USD 300 for the job, concealed the drugs in suitcases disguised as food souvenirs and toys. Authorities are investigating whether the narcotics, valued at approximately Rp1.5 billion, were intended for distribution in Bali or merely in transit to India.

Police Officer Bripda Putra Creates Eco-Friendly Fertiliser, Deputy Chief Urges Room to Grow

Deputy National Police Chief Komjen Dedi Prasetyo has praised Bripda Muhammad Putra Aulia, a Riau Police officer, for developing over 5.2 tonnes of eco-friendly fertiliser and other agricultural innovations. The officer, who holds a degree in animal husbandry, is being held up as an example of the force's commitment to supporting national food security and green policing principles. His work aligns with Riau Police's Green Policing paradigm, which integrates environmental protection into public security.

Unib PKM Builds Participatory Village Waste Management Model

A community service team from the University of Bengkulu (Unib) has developed a participatory waste management model to foster environmental awareness in rural areas. The initiative focuses on changing household habits through education, aiming to increase waste sorting participation and significantly reduce landfill volume. The village government is also preparing regulations and allocating funds to support the sustainable programme.

Minister: Public Islamic Funds Must Empower, Not Just Provide Aid

Religious Affairs Minister Nasaruddin Umar has called for a shift in the management of public Islamic funds from consumptive charity to productive community empowerment. He highlighted the substantial potential of zakat and other funds to independently finance poverty alleviation and social infrastructure without relying on the state budget. The minister also stressed the need for an integrated national database to prevent overlapping aid distribution and ensure funds reach all eligible recipients.

Polinela Research Supports Governance of Free Nutritious Meal Programme

Researchers from Lampung State Polytechnic (Polinela) have developed a sustainability evaluation model for the Free Nutritious Meal Programme using True Cost Accounting and systems thinking. The study, conducted at a vocational school in Pringsewu, assesses cost, menu acceptance, food utilisation, and overall programme sustainability. The initiative aims to provide a comprehensive, data-driven instrument for schools, food providers, and policymakers to enhance the programme's effectiveness.

This Week in the Indonesian Economy (31-6 Aug 2026)

Indonesia entered the final stretch of its pre-Independence Day calendar this week with a flurry of policy announcements, economic data releases, and strategic manoeuvres that together paint a picture of a government determined to accelerate growth while grappling with some stubborn structural fissures.

Weapons Discovery at South Jakarta School Points to Multiple Criminal Offences

Police have stated that the discovery of hundreds of weapons, along with narcotics, at a private school in Pondok Pinang, South Jakarta, is leading to multiple criminal charges. The findings include 995 airsoft guns, air rifles, and firearms, as well as marijuana and methamphetamine. Authorities have summoned foundation officials for questioning and have dismissed claims that the weapons were for extracurricular activities.

BI DKI Reminds Provincial Government to Manage Risks in Regional Bond Issuance

Bank Indonesia's Jakarta office has urged the city administration to carefully manage the risks associated with its planned Rp3.5 trillion regional bond issuance, particularly ensuring a sustainable repayment scheme. The funds are earmarked for infrastructure projects including the Manggarai-Dukuh Atas LRT, as the province seeks alternative financing amid reduced central government transfers. Governor Pramono Anung maintains the move is a creative financing strategy to maintain fiscal health, not a sign of budgetary shortfall.

Indonesia Explores Chinese and Russian Investment for Trans Kalimantan Railway

The Indonesian government is actively seeking foreign investment from China and Russia to fund the construction of the Trans Kalimantan Railway, a project that must be built from scratch. This initiative contrasts with the Trans Sumatra Railway, where existing tracks only require connection, and a detailed roadmap is being prepared by state-owned operator KAI to attract investors. The development of these rail networks is viewed as crucial for enhancing national connectivity, reducing logistics costs, and stimulating sustainable economic growth.

This Week in Indonesian Politics (31-6 Aug 2026)

The final days of July and the opening week of August 2026 delivered a relentless torrent of political, legal, and security news in Indonesia, confirming that the Prabowo Subianto administration's second year in office will be defined as much by the battles being fought inside the state apparatus as by the grand visions being articulated from the Presidential Palace.

Balinuraga Mass Ngaben Strengthens Cultural Preservation and Tourism

The South Lampung Regency government is leveraging the mass Ngaben ceremony in Balinuraga Village to bolster cultural preservation and tourism development. The regency aims to transform the village into a cultural tourism destination by 2027, inspired by Bali's Penglipuran Village model. The initiative includes plans to upgrade infrastructure and enhance the local environment, contingent on community cooperation.

This Week in Indonesian Business and Investment (31-6 Aug 2026)

Indonesia's business and investment landscape proved characteristically busy in the final days of July and opening week of August 2026, with a confluence of domestic economic milestones, sovereign wealth fund dealmaking, trade diplomacy, and global market turbulence all jostling for attention.

KNEKS Pushes for Indonesia to Have World's First Sharia GDP

Indonesia's National Committee for Sharia Economy and Finance (KNEKS) is accelerating the development of a Sharia Gross Domestic Product (GDP) indicator to measure the sector's contribution to the national economy. The methodology is reportedly ready, pending budget support for a nationwide survey. If realised, Indonesia would become the first country in the world to possess such a comprehensive measurement tool.

Aquaculture Production in Cirebon Soars

Aquaculture production in Cirebon Regency has surged dramatically, reaching a peak of over 7 million tonnes in December 2025. The sector, driven primarily by brackish water ponds, has become the main engine of the local fishing industry. Capture fisheries also maintained a stable contribution to the coastal economy during this period.

Prabowo Praises Bahlil's Wit: 'He Can Make Jokowi Laugh'

President Prabowo Subianto lauded Energy Minister Bahlil Lahadalia's intelligence and charm during the launch of Bahlil's biography, noting his rare ability to make former President Joko Widodo laugh. Prabowo highlighted Bahlil's unique blend of Eastern Indonesian directness and Javanese-influenced diplomacy, attributing it to his Javanese wife.

Riau Resident Attacked by Sun Bear While Gardening, Trap Immediately Set

A villager in Pelalawan, Riau, was attacked by a sun bear while working in his garden, prompting a swift response from the Riau Natural Resources Conservation Agency (BBKSDA). The agency deployed a Wildlife Rescue Unit to the scene to install a box trap and coordinate mitigation efforts, prioritising public safety and the protection of the protected species. The incident underscores the government's commitment to rapid, collaborative human-wildlife conflict management under the directive of the Forestry Minister.

Ministry of Tourism: 34th FBLB enters top Karisma Event Nusantara 2026

The Indonesian Ministry of Tourism has announced that the 34th Baliem Valley Cultural Festival (FBLB) has been selected as one of the top 10 events in the 2026 Karisma Event Nusantara (KEN) programme. The award recognises the Jayawijaya Regency's commitment to promoting culture and tourism, even amidst budget constraints. The ministry hopes the festival's international profile will attract more foreign and domestic tourists, boosting the local economy.

Jakarta Police Reveal Four Methods of Spreading Provocation and Hoaxes on Social Media

The Jakarta Metropolitan Police have identified four distinct modus operandi used by suspects to spread provocative content and hoaxes on social media. The methods range from manipulating legitimate documents and creating fake electronic files to paying others to produce defamatory content and reposting unverified information. As part of a three-month operation, ten individuals are facing legal proceedings while police emphasise a dual approach of law enforcement and preventive education.

Prabowo: Bahlil's life journey can inspire young generation

President Prabowo Subianto has stated that the life journey of Energy and Mineral Resources Minister Bahlil Lahadalia serves as an inspiration for young people, proving that economic background does not determine leadership potential. Speaking at the launch of a book celebrating Bahlil's work, Prabowo emphasised that leadership is earned through hard work, attitude, and values, not given as a gift. He also stressed that a leader must possess empathy and wisdom, as courage without moral foundation can endanger those they lead.

West Java Police Chief Urges Parents to Enforce 9 PM Curfew for Children

West Java Police Chief Inspector General Pipit Rismanto is urging parents to strictly enforce a 9 PM curfew for their children to minimise crime and juvenile delinquency. The initiative includes a programme where parents sign agreements with schools, acknowledging that violations could lead to their child's withdrawal. The police are also conducting outreach with community and religious leaders to promote the policy.

Polda Metro Jaya Clarifies Hundreds of Weapons at South Jakarta Private School Are Air Rifles, Not Firearms

The Jakarta Metropolitan Police have clarified that 995 of the 996 weapons discovered at a private school in Pondok Pinang, South Jakarta, are air rifles and airsoft guns, not firearms. The sole firearm, a Franchi SPAS-15, is registered to a deceased individual, while the air guns were legally imported for a school extracurricular activity. The discovery, which also included narcotics and pornographic materials, has sparked a dispute between the school's former and current management over ownership and access.

Trump Signs New Executive Orders Restricting Birthright Citizenship

President Donald Trump has signed two new executive orders aimed at curbing birthright citizenship in the United States, criticising a prior Supreme Court ruling as 'very unfortunate'. The orders target children of members of designated foreign terrorist organisations and seek to ban the practice of 'birth tourism'. The move is expected to face immediate legal challenges despite the White House's assertion that it does not violate the court's decision.

Deputy Minister pushes for digital transformation in education sector

Deputy Minister of Primary and Secondary Education Fajar Riza Ul Haq has urged the acceleration of digital transformation in schools to bolster learning innovation. He highlighted the success of the national 'Rumah Pendidikan' super app, which recently won first place at a UN-backed global summit in Switzerland. The minister also launched the 'Bungo Pintar' app in Jambi, praising it as a local initiative that enhances transparency and access to educational information.

IMF Acknowledges Indonesia's External Debt is Safe, Avoiding Default Risk

The International Monetary Fund (IMF) has assessed that Indonesia's external debt remains at a safe level, with limited short-term rollover risk. The country's gross external debt is projected to stay moderate at 30% of GDP by the end of 2025. However, the IMF cautioned that a high reliance on foreign portfolio investment leaves Indonesia vulnerable to shifts in global financial market sentiment.

UPI Cibiru Holds Interactive Nutrition Education for Elementary Students in Sumedang

Universitas Pendidikan Indonesia (UPI) Cibiru campus has conducted an interactive nutrition education programme for students at SDN Tolengas in Sumedang Regency, West Java. The initiative, part of a community service project, utilised a serious game called 'GiziMoo' to teach children about balanced diets and healthy eating habits. The school's headteacher noted a marked increase in student enthusiasm and knowledge regarding nutritional content and portion sizes following the activity.

Central Jakarta declares war on illegal tramadol distribution

The Central Jakarta administration, alongside local authorities and community groups, has formally declared a commitment to eradicate the illegal circulation of tramadol in the Tanah Abang district. The initiative aims to protect youth from the misuse of the prescription painkiller, which is increasingly being sold without medical oversight. Coordinated, unscheduled enforcement operations will be conducted regularly to suppress the illicit trade.

Suno to Add Watermark to AI-Generated Songs for Easy Identification

AI music service Suno has announced it will begin watermarking songs created on its platform, a move towards transparency amid ongoing legal battles over copyright infringement. The company will also implement a labelling system and partner with content recognition firms to prevent misuse, while facing a recent adverse court ruling in Germany for training its models on copyrighted music without permission.

Indonesia resumes Mendut Temple restoration phase II

The Indonesian government has commenced the second phase of restoration work on the historic Mendut Temple in Magelang, Central Java. The year-long project prioritises repairing water leaks and realigning bulging walls, with the aim of having the temple ready to host Vesak celebrations next year. The site will remain temporarily closed to the public to ensure the safety of the 30 to 40 conservation workers and specialists involved.

Trump Confident War Against Iran Will End Soon

US President Donald Trump has expressed confidence that the five-month conflict with Iran will conclude shortly, suggesting Tehran cannot sustain a prolonged war. He indicated a preference for a diplomatic deal and claimed 'very good talks' were underway, while also hinting at a swift agreement to reopen the Strait of Hormuz. Trump simultaneously dismissed concerns over US munitions supplies, asserting near-unlimited stocks for certain weapons despite acknowledging constraints on others.

Academic Proposes Phased Roadmap for 100 GW Solar Power Target

An academic from the PLN Institute of Technology has proposed a phased roadmap to achieve Indonesia's 100 GW solar power target, cautioning against a rushed approach. The plan outlines three stages from 2025 to 2035, focusing on foundational projects, large-scale industrial supply, and ultimately relying on cheaper battery storage and green financing. The proposal highlights the need for regulatory reform, grid development, and massive investment to ensure the ambitious target is met sustainably.

Bappenas: Vertical Housing Development Supports Mass Transportation

The Minister of National Development Planning has emphasised that building vertical housing is crucial for supporting mass transit systems and sustainable urban growth. He noted that residential density directly influences the viability of transport networks like the MRT, advocating for an integrated approach to spatial planning. The Deputy Minister of Housing added that the state must control land, spatial planning, and long-term financing to ensure affordable housing and orderly urban development.

Investment in Mataram Remains Low, Hampered by Spatial Planning Regulations

Investment realisation in Mataram, West Nusa Tenggara, has reached only 26.12 percent of its target by July 2026, generating Rp 1.14 billion in local revenue. Officials attribute the low investment to restrictive spatial planning regulations that prevent the conversion of green zones for development. The city's investment office remains optimistic that targets can be met if these land-use restrictions are relaxed.

OJK: Multifinance Receivables Growth to Remain Positive Through End-2026 Despite Downside Bias

Indonesia's Financial Services Authority (OJK) expects multifinance receivables growth to remain positive through the end of 2026, albeit with a downward bias from the 6-8 percent target. The industry recorded a 1.88 percent year-on-year increase in receivables as of June 2026, supported by operational efficiency and risk management. However, the recent 100 basis point benchmark interest rate hike is anticipated to pressure future profitability, particularly for floating-rate financing schemes.