Indonesian Political, Business & Finance News

Archive: 7 August 2026

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Two Suspects Allegedly Involved in Robbery and Kidnapping of Mobile Phone Shop Owner in Ambarawa

Police have confirmed that a body found in a car in Grobogan, Central Java, is that of Candra Waskito, a 25-year-old mobile phone shop owner from Ambarawa who was reported missing. The victim was allegedly robbed and kidnapped, with evidence including dozens of phone boxes and burnt clothing found near the vehicle. Authorities are now pursuing two young men seen acting suspiciously near the abandoned car on the morning the body was discovered.

Will the End of War Immediately Lower Fuel Prices? It's Not That Simple

Despite potential peace deals, global fuel prices are expected to remain high due to severe damage to refining capacity from conflicts in Ukraine and the Middle East. Analysts warn that a disconnect between crude oil prices and refined product costs means consumers may not see relief at the pump even if crude prices fall. Refining companies, however, are reporting record profits as constrained capacity drives up margins.

From Waste to Rupiah: UBSI Helps Mawar Burangrang Waste Bank Go Digital via Shopee

Universitas Bina Sarana Informatika (UBSI) has provided digital marketing assistance to the Mawar Burangrang Waste Bank in Depok, enabling it to sell recycled products on Shopee. The initiative, part of a community partnership programme, aims to expand market reach and boost sustainable income for the community enterprise. The training covered account setup, product photography, and digital promotion strategies to support the circular economy.

Japan's Plan to Slash Consumption Tax on Food Sparks Controversy

The Japanese cabinet has approved a plan to reduce the consumption tax on food and beverages from 8% to 1%, a move intended to ease household burdens but which has drawn sharp criticism. Economists and political figures warn the temporary measure, set to begin next April, could be ineffective against inflation, jeopardise social security funding, and risk triggering a market shock similar to the UK's 'Trussonomics' debacle.

100 Hectares of Land in Banggai Ablaze, Suspected Caused by Motorcyclist's Cigarette Butt

Approximately 100 hectares of land in Central Sulawesi's Banggai Regency have been scorched by a wildfire, with authorities suspecting a discarded cigarette butt as the cause. The fire, which began on Thursday, has spread rapidly due to dry conditions during the current dry season, affecting vegetation and coconut trees. Emergency services are still battling the flames to prevent them from reaching residential areas.

MIND ID Pays Rp 12.6 Trillion in Dividends, Mining Investment Deemed Crucial for State Revenue

Indonesia's mining holding company MIND ID has paid Rp 12.6 trillion in dividends to the state for the 2025 fiscal year, underscoring the sector's significant fiscal contribution. A senior lawmaker stressed that legal certainty and consistent policy are essential to sustain investment and production, which in turn support state revenue through dividends, taxes, and royalties. PT Freeport Indonesia projects its total contribution to the state will reach approximately US$2.6 billion in 2026.

Telkom Accelerates Strategic Holding, 34 Entities Cut

State-owned telecommunications giant PT Telkom Indonesia is accelerating its corporate transformation by forming a Strategic Holding Organization, targeting completion by 2027. The streamlining programme will see 34 of its 67 entities eliminated to create a leaner, more efficient structure. The initiative, discussed with the Ministry of State-Owned Enterprises, aims to enhance decision-making speed and strengthen the company's global competitiveness.

Telkomsel and Pertamina Patra Niaga Integrate Braze, Leveraging AI to Serve Customers

PT Telkomsel and PT Pertamina Patra Niaga have integrated the Braze customer engagement platform into their digital ecosystems to deliver more personalised, real-time interactions using artificial intelligence. The move aims to enhance customer experience within apps like MyTelkomsel and across various digital channels, including mobile, email, and WhatsApp. A government official highlighted the importance of responsible AI adoption and cross-sector collaboration in strengthening Indonesia's digital economy.

Navy Veterans Association mobilises members to develop food security land

The Indonesian Navy Veterans Association (PPAL) has directed its regional branches to actively cultivate land for food security, supporting the government's programme to strengthen local food reserves. The initiative includes developing fish ponds and planting crops, while also aiming to support the needs of retired navy personnel. This effort aligns with broader military involvement in agriculture, with the Indonesian Navy managing thousands of hectares to boost national soybean production and reduce import dependency.

TNI Clarifies Pramuka Certificate Cannot Replace Recruitment Tests

The Indonesian Armed Forces (TNI) have clarified that while Pramuka Garuda certificates provide an administrative advantage, they do not exempt applicants from mandatory selection tests. This follows a statement by the National Scout Movement chairman suggesting the certificate could allow direct entry into the TNI and police force.

100 Vessels Carrying Nickel and Other Minerals Officially Resume Exports, Saving Rp2.2 Trillion

The Presidential Staff Office has announced the resumption of mineral commodity exports after a blockage caused by rare earth element content issues. Approximately 100 vessels have been cleared to operate, carrying nearly 400,000 tonnes of minerals worth an estimated US$124 million or Rp2.2 trillion. The government is also preparing a revision to trade regulations to standardise verification for surveyors and customs authorities, preventing future disruptions.

In Prison Garb and Handcuffs, Febrie Examined at Attorney General's Office

Former Deputy Attorney General for Special Crimes, Febrie Adriansyah, was brought to the Attorney General's Office for questioning as a suspect in a money laundering case. He arrived wearing a pink detention vest and handcuffs, having been transported from the Corruption Eradication Commission (KPK) detention centre. The case follows the discovery of 74 kilograms of gold and Rp543 billion in cash at his residence in Sentul.

Response to the Death of BPJS Kesehatan Patient Yurizal, Professor Dasaad Mourns

Professor Dasaad Mulijono, a leading lifestyle medicine expert, has publicly expressed his grief and apologised following the death of 29-year-old BPJS Kesehatan patient Yurizal Tri Chaerawan. The patient had complained of an eight-hour wait and was reportedly mocked by healthcare workers before his passing on 31 July 2026. The case has highlighted concerns over the treatment of national health insurance patients in Indonesia.

Investment Ministry Highlights Stagnant Bitung SEZ, Conflict with Residents and PT Futai Sets Bad Precedent

Indonesia's Ministry of Investment and Downstreaming has criticised the sluggish development of the Bitung Special Economic Zone (SEZ), which has only attracted Rp6.5 trillion in total investment over more than a decade. In contrast, the Batam SEZ averages Rp15 trillion annually. The ministry warned that recent conflicts between residents and investor PT Futai could damage the region's investment climate and urged local government to provide stronger facilitation and security.

PT PAL Begins Construction of Scorpene Submarines for Indonesian Navy

PT PAL Indonesia has commenced construction of the first Scorpene-class submarine for the Indonesian Navy with a first steel cutting ceremony in Surabaya, targeting completion within 96 months. The Chief of Naval Staff highlighted that this latest generation Scorpene is more advanced than previous models, featuring greater length, deeper diving capability, and the ability to launch missiles from underwater. The project is seen as a significant step towards strengthening Indonesia's defence industry independence through technology transfer with France's Naval Group.

Febrie Adriansyah Seen in Pink Detainee Vest and Handcuffs

Former Junior Attorney General for Special Crimes, Febrie Adriansyah, was transferred from a Corruption Eradication Commission (KPK) detention centre to the Attorney General's Office for questioning. He is a suspect in multiple corruption and money laundering cases, including those related to ASABRI, the discovery of 74 kg of gold, and alleged graft at PT Krakatau Steel. The case was initially handled by the National Police before being handed over to the Attorney General's Office.

Ngurah Rai Customs Foils Smuggling of 10 Kilograms of Cannabis from Thailand

Customs officers at Bali's Ngurah Rai Airport have intercepted over 10 kilograms of cannabis smuggled from Thailand by two Indian nationals. The suspects, a manager and a teacher, concealed the drugs in food packaging within their luggage. The seizure is estimated to have prevented potential economic losses of Rp 3.3 billion and saved over 2,000 lives from the impact of drug abuse.

Nusantara Capital Authority: 67 Private Investors Have Invested Rp74.54 Trillion

The Nusantara Capital Authority (OIKN) has announced that 67 private investors have committed a total of Rp74.54 trillion to the development of Indonesia's new capital city. The authority is also exploring collaborative opportunities with regional governments, including Central Java, to strengthen the ecosystem for the new capital. The overall financing scheme for the project also includes state budget allocations and public-private partnership schemes valued at additional trillions of rupiah.

Foundation admits it does not know origin of hundreds of weapons at school

The new management of a private school foundation in South Jakarta has claimed ignorance over the discovery of nearly a thousand weapons and ammunition on its premises. The foundation's legal representative stated that the former management, which has since been dismissed, had sole control over the storage rooms. Authorities are now investigating the cache, which also reportedly contained narcotics and pornographic materials.

Monkey Terror in Riau's Indragiri Hilir: 18 Victims Reported, Schools Adopt Remote Learning

A series of attacks by long-tailed macaques in Tembilahan, Indragiri Hilir Regency, Riau, has left 18 residents injured over the past two weeks, prompting local authorities to shift nine schools to online learning as a precaution. The local government is covering all medical costs for the victims, who range from children to adults, while a joint task force has captured one monkey for behavioural analysis. The situation remains under close monitoring as more macaques are still at large in the area.

TransNusa Launch High-Frequency, Twice-Daily Direct Flights Between Jakarta And Bangkok

Indonesian carrier TransNusa has commenced twice-daily direct flights between Jakarta and Bangkok, significantly boosting capacity on one of Southeast Asia's busiest travel corridors. The launch was accompanied by a strategic Memorandum of Understanding with the Tourism Authority of Thailand, witnessed by the Thai Prime Minister, aimed at strengthening bilateral tourism and trade ties. This expansion marks another milestone in TransNusa's rapid international growth, following recent accolades for its passenger growth and new partnerships in the ASEAN region.

Deputy Minister Evaluates Free Nutritious Meal Programme Governance in Jayapura Regency

Deputy Minister of Home Affairs Ribka Haluk conducted a direct evaluation of the Free Nutritious Meal programme's management in Depapre, Jayapura Regency, following a suspected food poisoning incident. The review identified several issues requiring immediate attention, including sanitation, food temperature control, and distribution mechanisms. The government is using this incident as a catalyst to strengthen oversight and develop a tailored governance model for the programme in disadvantaged, frontier, and outermost (3T) regions, particularly in Papua.

Flying Car Debuts at GIIAS, But Indonesian Regulation Remains a Hurdle

Chinese manufacturer XPeng has showcased its X2 flying car at the GIIAS motor show in Indonesia, demonstrating the vehicle's autonomous capabilities for short-distance and emergency travel. While the company confirms the product is already sold in other markets, it acknowledges that discussions with the Indonesian government regarding safety regulations are still in the early stages. The firm is using the exhibition to signal its technological readiness while awaiting a clear legal framework before it can market the vehicle locally.

Two Dead as Sago Workers' Boat Sinks in Meranti Waters, Riau Police 'JALUR' Team Evacuates Victims

A pompong boat carrying four sago workers sank in the waters off Mengkikip Village, Kepulauan Meranti Regency, resulting in two fatalities. A joint search and rescue team, including the Riau Police's 'JALUR' vessel, recovered the bodies of the captain and a worker after a multi-day operation. The cause of the sinking remains under police investigation.

Palace Denies Prabowo Issued Presidential Letter to Replace Police Chief Listyo

The Presidential Palace has dismissed rumours that President Prabowo Subianto has issued a presidential letter to replace National Police Chief General Listyo Sigit Prabowo. State Secretary Minister Prasetyo Hadi confirmed no such letter has been sent to the DPR, while also clarifying that the nomination for a new Bank Indonesia Governor is still under discussion. The Palace further indicated that any cabinet reshuffle would prioritise filling vacant deputy minister positions.

Prabowo Still Searching for New BI Governor, Many Names Under Consideration

President Prabowo Subianto has not yet submitted a definitive candidate for Bank Indonesia governor to the House of Representatives, as consultations and discussions are still ongoing. Minister of State Secretary Prasetyo Hadi confirmed that while acting governor Destry Damayanti is among those being considered, no final decision has been made. The president has reportedly met with several potential candidates as part of the selection process.

Bogor Regency Government Confirms Administrative Handover of Sentul City Public Infrastructure Complete, Awaits Land Certification

The Bogor Regency Government has confirmed that the administrative handover of public infrastructure (PSU) in Sentul City from the developer to the local government is complete. The Housing and Settlement Agency (DPKP) stated that the process is now only pending the issuance of land certificates by the National Land Agency (BPN). The local administration is currently drafting management regulations to ensure the facilities benefit the surrounding community.

DPR Urges Health Ministry to Sanction Healthcare Workers for Ethical Violations

An Indonesian lawmaker has called on the Ministry of Health to impose ethical sanctions on healthcare workers proven to have violated their professional code of conduct. The demand follows public outcry over unsympathetic social media comments allegedly made by medical staff towards a patient who later died. The legislator stressed that consistent ethical enforcement is crucial to uphold the profession's honour and prevent future misconduct.

Home Affairs Ministry's BSKDN Strengthens SINTESIS Development to Support Policy Strategy Recommendations

The Domestic Policy Strategy Agency (BSKDN) of the Ministry of Home Affairs is advancing the development of the SINTESIS platform to enhance data-driven policy analysis. The initiative, discussed in a coordination meeting with the SKALA Program, aims to integrate strategic data and monitor regional governance issues. The platform is expected to enable faster and more responsive policy recommendations for both central and regional governments.

Responding to Indonesia's Economic Slowdown

Indonesia's economic growth slowed to 5.29 percent in the second quarter of 2026, down from 5.61 percent in the previous quarter, yet remains above 5 percent. The slowdown is attributed to a deceleration in the manufacturing sector, while growth is increasingly sustained by government spending on priority programmes. This reliance on fiscal stimulus raises concerns about rising unemployment and the narrowing of the government's fiscal space.

Urban and Rural Poor Alike: Money Spent on Rice, Cigarettes, and Coffee

Indonesia's poverty line rose to Rp 669,235 per capita per month in March 2026, with food commodities such as rice, kretek cigarettes, and instant coffee remaining the dominant contributors. The composition of poverty line expenditure is largely unchanged between urban and rural areas, though the threshold is higher in cities. The data highlights the persistent burden of staple food and tobacco spending on low-income households.

Hashtag #JusticeForWindaLorenza Goes Viral, What Happened to the Former Police Wife's Death?

The death of Winda Lorenza, the former wife of a Medan police brigadier, has sparked public outcry and the viral hashtag #JusticeForWindaLorenza after her family disputed the official finding of suicide. Police maintain that forensic evidence points to a self-inflicted gunshot wound, but the family alleges a lack of transparency in the autopsy process and suspects foul play. The case has drawn significant attention to the ongoing investigation led by the Medan Police and North Sumatra Regional Police.

Trump Signs Executive Order Limiting Birthright Citizenship, Defying Supreme Court

US President Donald Trump has signed two new executive orders aimed at restricting automatic birthright citizenship and the practice of 'birth tourism', despite a recent Supreme Court ruling that struck down a similar attempt. The orders seek to reinterpret historical exceptions to citizenship and expand categories of individuals deemed ineligible. The move marks a renewed challenge to constitutional guarantees and signals a continuation of Trump's hardline immigration policies.

Pejuang Mushola and Residents of Bantargebang Collaborate to Create a Clean Place of Worship

The Pejuang Mushola community, in partnership with Unilever Indonesia and local residents, conducted a clean-up of the Al-Hidayah Mushola in Bantargebang, Bekasi. The initiative aimed to foster a spirit of mutual cooperation (gotong royong) to create a cleaner and more comfortable place of worship. The activity also included education on Clean and Healthy Living Behaviour (PHBS) for the community.

Residents Hope Gunung Putri Station Will Be Reactivated: 'So We Don't Have to Go All the Way to Nambo'

Residents near the long-defunct Gunung Putri Station in Bogor, West Java, are urging the government to reactivate the facility to improve local transport links. The station, which has been abandoned since 2006, is closer to their homes than the currently operational Nambo Station. Locals believe reopening it would not only ease their commute to Jakarta but also revitalise the surrounding area and create economic opportunities.

Official and complete sample agenda for the 17 August 2026 tirakatan night

The malam tirakatan on the eve of Indonesia's Independence Day remains a significant communal tradition, blending remembrance, prayer, and social bonding. A formal agenda for the 2026 commemoration has been outlined, featuring flag ceremonies, the reading of the Proclamation, and shared meals. The tradition is upheld as a vital practice for fostering gratitude, unity, and the spirit of mutual cooperation within communities.

Febrie Adriansyah Arrives at AGO, Examined as Money Laundering Suspect

Former Junior Attorney General for Special Crimes, Febrie Adriansyah, arrived at the Attorney General's Office on Friday to undergo questioning as a suspect in a money laundering case. The investigation, conducted by a special 'Team 9', follows the transfer of the case from the National Police, which included evidence of 74 kilograms of gold and hundreds of billions of rupiah in foreign currency. Febrie is one of two suspects named in the case, alongside private sector individual Nurman Herin.

Police Deny Shooting Extracurricular Existed at School Where 995 Weapons Were Found

South Jakarta police have refuted claims that a shooting extracurricular activity existed at a private school in Pondok Pinang, where 995 airsoft guns, ammunition, narcotics, and pornographic materials were recently discovered. The denial contradicts a statement from PT Lokta Karya Perbakin, which asserted the weapons were licensed inventory for a shooting club that operated from 2020 until the instructor's death in 2024. Authorities are continuing to investigate the intended use of the arsenal and plan to inspect a suspected bunker on the premises at the foundation's request.

BI Survey Records Limited Rise in Residential Property Prices in Q2

Bank Indonesia's Residential Property Price Survey indicates a limited annual increase in primary market house prices during the second quarter of 2026. The growth was primarily driven by large-type houses, while small-type house price growth slowed. Developer financing remains dominated by internal funds, and most consumers continue to purchase homes via mortgage schemes.

Celios urges strengthening of MSMEs in Indonesia-Thailand halal industry cooperation

The Center of Economic and Law Studies (Celios) has called for the Indonesia-Thailand halal industry partnership to actively integrate Indonesian micro, small, and medium enterprises (MSMEs) into the regional supply chain. Researcher Isnawati Hidayah stressed that the cooperation should not merely turn Indonesia into a market for Thai products but must include technology transfer and the use of local raw materials. The appeal follows an agreement between President Prabowo Subianto and Thai Prime Minister Anutin Charnvirakul to build a regional and global halal value chain.

KNEKS: Sharia Banking Struggles to Compete with Conventional Banks, Here's Why

Indonesia's sharia banking sector continues to face significant hurdles in expanding its market share against conventional banks, despite recording double-digit growth. A senior official from the National Committee for Islamic Economy and Finance (KNEKS) highlighted limited service networks and low financial literacy as key obstacles. The sector's assets reached Rp1,055 trillion as of April 2026, yet its market share remains at just 7.46 percent.

Mataram Students Unfurl 20,000 Red and White Flags Ahead of 81st Independence Day

Thousands of students in Mataram, West Nusa Tenggara, participated in a flag-raising ceremony at a major intersection to mark the upcoming 81st anniversary of Indonesian independence. The event, part of a national programme to distribute 10 million flags, was intended to foster a spirit of nationalism among the youth. Local officials and students expressed hopes that this patriotic fervour would translate into a commitment to national development and resilience amid economic challenges.

Law Minister Hands Over Malaysian Pilot Drug Smuggling Case to Law Enforcement

Indonesian Law Minister Supratman Andi Agtas has handed over the case of a Malaysian pilot arrested for smuggling narcotics through Soekarno-Hatta Airport to law enforcement officials. The pilot, identified as MS, was found with over 70,000 ecstasy pills and 25 kilograms of crystal methamphetamine. Authorities believe the suspect was directed by an individual in Malaysia to deliver the drugs to a contact at a Jakarta hotel.

BRIN Showcases Nuclear Technology to President Prabowo for Energy and Medical Use

The National Research and Innovation Agency (BRIN) has presented its nuclear technology developments to President Prabowo Subianto, highlighting applications in energy, food, and healthcare. The agency is advancing radioisotope production for cancer diagnosis and treatment, as well as food irradiation. BRIN emphasised the importance of building domestic nuclear capabilities now to ensure Indonesia is not merely a technology buyer if it decides to adopt nuclear power plants in the future.

Tourism Ministry Says Positive Sector Trend is Strong Capital for Indonesian Economy

Indonesia's tourism sector demonstrated robust growth in the first half of 2026, with increased foreign visitor spending and hotel occupancy rates. A ministry official stated this positive performance serves as a key driver for national economic growth amid global uncertainties. The government views the sector's momentum as crucial for achieving the Indonesia Emas 2045 vision.

Health Ministry Urges Transmigration Expedition to Map Health Conditions in Transmigration Areas

Indonesia's Ministry of Health has called on participants of the 2026 Patriot Expedition (TEP) to map public health conditions and access to basic services in transmigration areas. The mapping should run concurrently with economic potential surveys and cover all age groups, from infants to the elderly. Officials highlighted the need to address regional disparities in life expectancy and the growing burden of non-communicable diseases such as stroke and heart disease.

Mount Lewotobi Laki-laki erupts Friday afternoon, spewing ash 800 metres high

Mount Lewotobi Laki-laki in East Flores, East Nusa Tenggara, erupted on Friday afternoon, sending an ash column approximately 800 metres above its peak. The eruption, which lasted over two minutes, was recorded by the Geological Agency of the Ministry of Energy and Mineral Resources. Authorities have maintained the volcano's alert status at Level III and warned residents of potential respiratory hazards and secondary lahar floods.

First Hearing of Alleged Coal Procurement Corruption at PT PPA Set for 19 August

The Jakarta Corruption Court will commence the trial of three defendants accused of corruption in a coal procurement financing scheme involving state-owned asset management company PT PPA. The alleged irregularities, which include ignoring due diligence and fabricating bank statements, resulted in an estimated state loss of Rp38 billion. The case highlights significant lapses in investment governance within a state-owned enterprise.

Curbing Inflation Through Data-Based Inter-Regional Cooperation

An opinion piece argues that Indonesia's food inflation is primarily a problem of disconnected data between regions rather than production shortfalls. The author proposes a National Food Collaboration Ecosystem (EKPN) as a governance framework to integrate production, distribution, and climate data, enabling proactive rather than reactive price stabilisation.

267 'Dark' Spots in East Kalimantan Lack Internet, Komdigi Speaks Out

Despite East Kalimantan achieving 95.5% connectivity, 269 blank spots remain without internet access. The Ministry of Communication and Digital Affairs is prioritising a multi-technology approach, combining BTS, fibre optics, and satellites to address these gaps. The government is shifting away from relying solely on base transceiver stations to ensure more equitable coverage across challenging terrains.