Indonesian Political, Business & Finance News

Archive: 7 August 2026

Showing 251-300 of 1,438 articles

Baliem Valley Festival drives economy, tourism in Highland Papua

The Baliem Valley Cultural Festival in Highland Papua is expected to boost the local economy by attracting tourists and increasing demand for transport, accommodation, and local products such as Jayawijaya Arabica coffee. Organisers aim to strengthen the link between tourism and the regional economy while promoting the area as a safe and authentic cultural destination. The event has drawn support from central government officials, including the cooperatives minister and deputy tourism minister.

176 Students at SMKN 1 Nanggulan Suspected of Food Poisoning from Free Nutritious Meal Programme, SPPG Operations Suspended

A total of 176 students and two education staff at SMKN 1 Nanggulan in Kulon Progo are suspected of suffering food poisoning after consuming meals from the government's Free Nutritious Meal (MBG) programme. The local health agency reported symptoms of nausea and diarrhoea, with initial investigations pointing towards a grilled chicken dish. The relevant Nutritional Service Unit (SPPG) has had its operations temporarily suspended pending laboratory results.

Government to Revamp National Textbook Quality, Benchmarking Against Neighbouring Countries

The Indonesian government is undertaking a comprehensive review and improvement of national textbooks, following President Prabowo Subianto's direct observations of poor physical quality and small print in school books. The initiative will involve benchmarking Indonesian textbooks against those of neighbouring countries to elevate standards. Beyond physical improvements, the overhaul will also focus on strengthening content related to science, technology, and foreign language skills to prepare students for global competition.

Joint Task Force Battles Forest and Land Fire in Bukit Soeharto Grand Forest Park

A joint task force successfully contained a forest and land fire that swept through two hectares of the Bukit Soeharto Grand Forest Park in East Kalimantan on Thursday. The blaze, suspected to have been ignited by dry twigs amid hot weather, was brought under control before it could spread further into the protected area. Authorities have urged the public to avoid activities that could spark fires during the current dry season.

Galaxy S26 FE Surfaces in FCC Database with Qualcomm Surprise

Samsung's upcoming Galaxy S26 FE has appeared in an FCC filing, revealing a notable component shift. The documentation suggests the device will use Samsung's own Exynos chipset for cellular functions but will incorporate Qualcomm's FastConnect technology for Wi-Fi connectivity. This hybrid approach marks a departure from previous Fan Edition models and hints at a potential cost or efficiency strategy.

Central Papua funds medical scholarships for indigenous students

The Central Papua administration is funding medical scholarships for indigenous Papuan students to address a critical shortage of doctors across the province's remote areas. The programme covers general practitioners, specialists, and dentists, with the first three recipients already admitted to Cenderawasih University. Provincial health officials are also urging district governments to establish their own scholarship schemes to ensure a sustainable supply of healthcare workers.

Mataram City Government Hopes for Share of Rp 20.5 Trillion Aid for Civil Servant Salaries

The Mataram City Government is seeking a portion of the central government's Rp 20.5 trillion budget allocation intended to support regional finances. The city's own funds are only sufficient to cover employee salaries until October, making the aid crucial for ensuring continued payments to government workers. Mataram plans to formally request the assistance from the Ministry of Finance, highlighting its urgent fiscal constraints.

Retail Investors Underpin Indonesian Capital Market Activity Amid Volatility: IDX

Retail investors are playing an increasingly crucial role in sustaining Indonesia's capital market, with their numbers surpassing 30 million as of July 2026. The Indonesia Stock Exchange (IDX) notes that while retail ownership accounts for 18.4% of shares, this segment contributes over half of the total transaction value. The market is heavily dominated by young investors, with those under 30 making up 54% of individual stock investors, prompting the IDX to intensify financial literacy programmes.

Saudi Arabia on High Alert for Coordinated Attack by Iraqi Militias and Houthis

Saudi Arabia is on high alert following intelligence reports of an imminent, coordinated attack from Iranian-backed Iraqi militias and Houthi forces. The planned assault, reportedly directed by Iran's IRGC, is feared to target civilian and economic infrastructure from both the northern and southern borders. The threat emerges despite ongoing de-escalation talks between Riyadh and Tehran, which Saudi officials suspect the attack aims to sabotage.

Deputy Coordinating Minister Otto: Legal Transformation Important to Realise Justice

Deputy Coordinating Minister for Law, Human Rights, Immigration, and Corrections, Otto Hasibuan, has emphasised the importance of shifting Indonesia's legal paradigm from colonial-era retribution towards a justice system based on due process. He highlighted that the new approach focuses on corrective, rehabilitative, and restorative justice to provide legal certainty and improve public welfare. The minister also stressed the strategic role of advocates and legal aid posts in ensuring equal access to justice for all citizens.

Whoosh Share Transfer Sparks Debate

The Indonesian government's plan to take over the consortium shares of the Whoosh high-speed rail project to settle its debts has drawn mixed reactions. While the government aims to prevent the project from burdening the state budget, experts warn the move merely shifts the financial problem to a special mission vehicle, potentially disrupting other infrastructure projects. Concerns have also been raised about reputational damage and conflicts of interest within the Ministry of Finance.

Pertamina Builds Village Energy Independence Through Local Hero Capacity Building

PT Pertamina (Persero) is strengthening the capacity of 'Local Heroes' in villages across Indonesia to ensure the sustainable operation of renewable energy installations. Through its Desa Energi Berdikari programme, the company has provided solar power, training, and certification to villagers like Alfredo in Southwest Papua and Burhanudin in Central Lombok, enabling access to clean water and boosting local economies. The initiative, which has reached 262 villages, aligns with the government's goals for national energy self-sufficiency and contributes to several Sustainable Development Goals.

Chinese Automakers Set to Flood Indonesia, Plan to Open 80 New Dealerships

Chinese automotive brands are accelerating their expansion in Indonesia, with Omoda & Jaecoo targeting over 80 operational dealerships by the end of 2026. The move follows a trend of existing dealerships, including a former Honda outlet in South Jakarta, switching to Chinese marques. The company is also launching the Omoda O4 as its first model in the market, featuring AI technology aimed at younger, tech-savvy consumers.

Agam Regency Government Distributes Red and White Flags Ahead of Independence Day

The Agam Regency Government has commenced the distribution of Indonesian flags to the public as part of the lead-up to the 81st anniversary of the Republic of Indonesia's independence. The initiative, led by Vice Regent Muhammad Iqbal, aims to foster nationalism and encourage residents to display the flag at their homes and businesses. The distribution began at a major intersection in Lubuk Basung and will continue at other strategic locations in the coming days.

State Logistics Firm KAI Logistik Offers 17% Shipping Discount Throughout August

PT KAI Logistik, a state-owned logistics company, has launched a 'Merdeka Ongkir' programme offering a 17% discount on package deliveries weighing at least 10 kilograms during August 2026. The promotion, marking Indonesia's 81st Independence Day, is available at all Kalog Express service points and aims to encourage greater use of rail-based logistics. The company is also expanding its network, now operating 295 service points nationwide, to improve public access to its integrated delivery solutions.

ALPHI: Non-Halal Label Rules Need Clarification to Avoid Multiple Interpretations

The Indonesian Halal Product Assurance Association (ALPHI) has welcomed the issuance of BPJPH Regulation No. 3 of 2026 concerning non-halal labelling but warns that several technical aspects require further clarification. ALPHI highlights that the regulation does not address product naming criteria or the status of halal certificates when violations are found during supervision. The association stresses that the 12-month transition period must be used for massive socialisation and to ensure uniform understanding among supervisors to prevent legal uncertainty.

School Foundation Denies Teacher Involvement in Weapons Storage

A private school foundation in South Jakarta has refuted allegations that its teachers were involved in the storage of nearly a thousand airsoft guns and drugs found on the premises. The foundation's legal representative claimed the items likely belonged to a former official with access to the room. Police discovered the cache, which included 995 airsoft guns, air rifles, a firearm, and suspected narcotics, during a search of the school's storage area.

Bahlil Recalls Facing 1.5 Months of Protests After Banning Nickel Ore Exports

Minister Bahlil Lahadalia recounted the chaotic early days of Indonesia's nickel ore export ban, a policy he was ordered to enforce just days after becoming head of the Investment Coordinating Board in 2019. Despite lacking the formal authority, he announced the ban and faced continuous demonstrations for a month and a half. Bahlil framed the controversial decision as a crucial, non-negotiable step for the nation's economic transformation through downstreaming.

Minister Yandri Assures Village Kiosks Will Not Close Due to Kopdes Programme

Minister Yandri Susanto has dismissed concerns that the Merah Putih Village Cooperative (KDMP) programme will force small village shops to close, insisting it will instead collaborate with them. The KDMP is designed as a government infrastructure to distribute subsidised goods directly to rural communities, cutting lengthy supply chains and stabilising prices. The programme, which aims to complete 35,000 units by the end of August, will also act as an off-taker for local produce and generate village-owned revenue.

Government Begins Discussions on ART and Water Taxi Projects in Bali

The Indonesian government has initiated talks on developing mass transportation in Bali, including an Autonomous Rail Transit (ART) system and water taxis, to address severe traffic congestion. The closed-door meeting involved Bali Governor Wayan Koster, state railway company PT KAI, and the Coordinating Ministry for Infrastructure and Regional Development. Officials are currently studying multiple scenarios, including trams and subways, with central and regional governments expected to collaborate on financing.

Former Jampidsus Febrie Adriansyah Grilled with Dozens of Questions at AGO

Former junior attorney general for special crimes Febrie Adriansyah faced intense questioning from prosecutors, fielding more than 20 queries during his examination at the Attorney General's Office. Adriansyah, a suspect in a major money laundering case, was questioned alongside fellow suspect Nurman Herin regarding evidence including 74 kg of gold and hundreds of billions of rupiah in foreign currency. The investigation is part of a broader probe into corruption and money laundering linked to several cases transferred from the National Police, including the PT Asabri scandal.

China Tightens AI Grip, but the US Still Holds Key Advantages

The global artificial intelligence race is entering a new phase as China surges ahead in open-source AI models, challenging long-held assumptions of US dominance. While China leads in open model development, robotics, and autonomous vehicles, it faces significant hardware constraints due to US export controls on advanced chips. The United States retains a crucial edge through its private capital ecosystem and ability to attract global talent, setting the stage for a contest over whose technology will be most widely adopted worldwide.

Indonesia has opportunity to increase garment exports by up to 2 billion US dollars

Indonesia's garment industry could boost exports by up to 2 billion US dollars by strengthening operational execution, according to a new report. The Vector Consulting Group study highlights that the next phase of growth will depend on shop floor excellence rather than just labour costs. Industry leaders welcome the insights, hoping to address operational challenges that affect productivity and competitiveness.

Jakarta Police Detain Nine Suspects for Spreading Hoax Content

The Jakarta Metropolitan Police have detained nine individuals suspected of disseminating provocative and false content, including hoaxes about potential riots in August 2026. The arrests stem from five police reports, with authorities identifying four main modus operandi involving document forgery and the spread of unverified information. Police emphasised a dual approach of preventive education and law enforcement to maintain public order both physically and digitally.

Houthi Attack on Saudi Arabia Heightens Middle East Tensions

Houthi rebels have launched an attack on southern Saudi Arabia, injuring 11 people in the deadliest cross-border strike in over four years. The assault follows intelligence reports of coordinated plans by Iran-backed groups to target Saudi civilian and energy infrastructure. The escalation occurs amid ongoing regional conflict involving the US, Israel, and Iran, further destabilising the Middle East.

Papua Provincial Government Distributes 2,000 Indonesian Flags to Jayapura Residents

The Papua Provincial Government has distributed 2,000 Indonesian flags to motorists, pedestrians, and businesses in Jayapura to foster nationalism ahead of the 81st Independence Day. Officials emphasised that the commemoration should strengthen unity and love for the homeland among Papua's diverse communities, rather than being merely a ceremonial event.

IDX Analyst: Indonesia's Fundamentals Remain Strong Amid Market Pressure

A senior analyst at the Indonesia Stock Exchange (IDX) asserts that the country's economic fundamentals are robust despite a 27.88 percent correction in the composite index and significant foreign capital outflows. The current market pressure is attributed to a combination of global and domestic sentiments, including geopolitical conflicts and tight global interest rates. Key macroeconomic indicators, such as GDP growth of 5.29 percent in the second quarter of 2026 and a non-performing loan ratio of 2.17 percent, suggest the economy is far healthier than during previous crises.

Bahlil Reveals Story Behind Nickel Export Ban, Originating from Jokowi's Order

Energy and Mineral Resources Minister Bahlil Lahadalia has detailed the origins of Indonesia's 2020 nickel ore export ban, which began with a directive from former President Jokowi. The policy, initially implemented without a ministerial decree, faced significant domestic and international pressure, including a WTO lawsuit. Officials argue the controversial move successfully transformed the economy, turning regions like Morowali into global industrial hubs.

JakLingko Accident: DKI Jakarta Councillor Kenneth Urges Optimisation of Transjakarta Academy

A JakLingko driver's accident that injured an elderly pedestrian in West Jakarta has prompted DKI Jakarta Regional House of Representatives (DPRD) member Hardiyanto Kenneth to call for a comprehensive audit of driver recruitment, training, and supervision. Kenneth emphasised that the Transjakarta Academy must be fully utilised as a centre for continuous professional development, character building, and safety culture, rather than being a mere formality. He also urged the Jakarta Transportation Agency to tighten oversight and apply strict sanctions for operational violations to prevent future casualties.

Attorney General's Office Begins Investigating Origin of 74kg Gold and Hundreds of Billions in Cash Evidence Linked to Febrie

The Indonesian Attorney General's Office (Kejagung) is intensifying its investigation into former Junior Attorney General for Special Crimes, Febrie Adriansyah, focusing on the origins of seized evidence including 74 kilograms of gold and hundreds of billions of rupiah in cash. Febrie was questioned on Friday in dual capacities as both a suspect and a witness in a money laundering case. The investigation, which was initially handled by the National Police, also involves other suspects and is connected to separate probes into alleged corruption at PT Krakatau Steel and coal procurement for a power plant.

BGN to Enforce Expiry Labels and Sanitation Certification After Bogor Food Poisoning Incident

The National Nutrition Agency (BGN) is tightening food safety protocols for the Free Nutritious Meal programme following a poisoning case in Bogor. Kitchens must now label meals with consumption time limits and secure a Hygiene and Sanitation Feasibility Certificate by 10 August 2026, with non-compliant facilities facing permanent suspension.

AI Factory strengthens Indonesia's position as regional AI hub : Govt

Indonesia is set to become a regional artificial intelligence hub with the launch of the Zankore AI Factory, a partnership between Indosat, Ooredoo Group, Nokia, and NVIDIA. The project, which will be built in Batang, Central Java, aims to reach one gigawatt of computing capacity, making it Southeast Asia's largest AI infrastructure. The government has highlighted the investment as a sign of global confidence in Indonesia's digital economy and a critical step in building a sovereign AI ecosystem, including the development of a large language model supporting Bahasa Indonesia and regional languages.

US-Iran War Claims Another Victim: Japan

Japanese household spending unexpectedly slumped 3.3% year-on-year in June 2026, marking the seventh consecutive month of decline. Officials blamed typhoons and heavy rainfall, while economists warned that the US-Iran conflict is driving up food and energy costs, further threatening private consumption. The weak data comes despite a sixth straight month of real wage growth, suggesting households are opting to save rather than spend.

Former Deputy Attorney General Febrie Adriansyah Re-examined in Money Laundering Case

Indonesian prosecutors have re-examined former Deputy Attorney General for Special Crimes, Febrie Adriansyah, and another suspect, Nurman Herin, in connection with an ongoing money laundering investigation. The two suspects were questioned separately at the Attorney General's Office on Friday, with Febrie currently being held in a Corruption Eradication Commission (KPK) detention facility. Investigators are focusing on corroborating the roles of each suspect against the evidence collected.

Government Assists in Developing 1,000 Hectares of New Community Rice Fields in Aceh Jaya

The Aceh Jaya government, through its Agriculture Office, has secured central government funding to develop 1,000 hectares of new rice fields across the district in 2026. The land, owned by local farmers, will be prepared for cultivation with a budget of Rp35 billion, with planning and execution handled by universities and a Medan-based land management agency.

West Java Government Demands Strict Oversight of 3 Million Houses Programme to Prevent 'Bad Actors'

The West Java Provincial Government has called for rigorous, multi-layered supervision of the national 3 Million Houses programme to ensure transparency and prevent corruption. Regional Secretary Herman Suryatman stressed that the programme's success depends on the integrity of all stakeholders, from beneficiary data collection to on-site implementation. The province is targeting September 2026 as a key phase to accelerate construction, following the launch of a 40,000-unit home renovation initiative in April 2026.

BGN ensures optimal medical care for 219 affected by free meal program incident in Papua

The National Nutrition Agency (BGN) is ensuring optimal medical care for 219 beneficiaries of the Free Nutritious Meal (MBG) program in Depapre, Papua, following a food safety incident. Deputy Head of BGN Trenggono stated that a thorough evaluation is underway to prevent recurrence, with the agency temporarily suspending the local kitchen's operations and coordinating with health facilities where eight patients have been discharged and three referred for further treatment.

Immigration Directorate pushes airlines to connect to iAPI system

The Directorate General of Immigration is urging international airlines to integrate with its interactive Advance Passenger Information (iAPI) system to enhance the speed and efficiency of border checks. The real-time data exchange system allows for electronic validation of travel documents and 'ok to board' responses before passengers depart. The initiative is part of broader digital transformation efforts that have already seen Soekarno-Hatta Airport's immigration service ranked 10th best globally by Skytrax.

Police Find No Evidence in Bunker at South Jakarta Private School

Police have confirmed that a bunker at a private school in South Jakarta contained no additional evidence, despite earlier reports linking it to the discovery of 995 airsoft guns, narcotics, and pornographic materials. The school's legal representative admitted to 'misinformation' regarding the bunker's contents, clarifying that the illicit items were found in other rooms on the premises. Authorities are continuing their investigation into the weapons and suspected drugs seized from the school.

MUI and AMREI Conduct Risk Management Training to Strengthen Organisational and Economic Resilience

The Indonesian Ulema Council (MUI) and the Indonesian Energy Risk Management Association (AMREI) have jointly held a risk management training programme in Jakarta. The initiative aims to enhance the capacity of organisations, particularly within the Islamic economy, to anticipate challenges and implement risk-based governance. The collaboration also seeks to develop a sharia-compliant risk management concept to support the sustainability of community economic enterprises.

State Must Not Bow to Those Attempting to Intimidate Law Enforcement, Says FPIR

The Front Pemuda Indonesia Raya (FPIR) has called on the government to stand firm against any attempts to intimidate law enforcement officials, following alleged threats against the National Police Chief. FPIR coordinator Fauzan Ohorella stressed that such threats, if true, represent a direct challenge to the rule of law and state authority. He also urged the Attorney General's Office to conduct a transparent and professional investigation into corruption cases, including those linked to former junior attorney general for special crimes Febrie Adriansyah, to uphold the principle of equality before the law.

Prabowo Plans to Improve SD-SMA Textbooks, Using Malaysia and Cambodia as Benchmarks

President Prabowo Subianto has ordered a review and improvement of textbooks for primary and secondary schools in Indonesia. The government will compare the quality of national textbooks with those from neighbouring countries, including Malaysia and Cambodia. The initiative follows the President's direct observation of poor-quality, easily damaged textbooks with small print during school visits.

Ministry of Forestry and APP Group Inaugurate Nursery Centre in Banyuasin

The Indonesian Ministry of Forestry, alongside the Ministry of Public Works and APP Group, has inaugurated the Sriwijaya Kemampo Nursery Centre in Banyuasin, South Sumatra. The facility, spanning six hectares, has an annual production capacity of five to ten million seedlings to support land rehabilitation and reforestation efforts. The initiative aligns with President Prabowo Subianto's directive to plant hundreds of millions of trees and strengthen regional access to quality seedlings.

Jakarta Logs Rp173.6tn in Investment for H1 of 2026

Jakarta recorded Rp173.6 trillion in realised investment during the first half of 2026, representing 17.2 percent of the national total and making it the top province for investment. The transportation, warehouse, and telecom sector led with Rp54.3 trillion, followed by other services and trade, highlighting the capital's reliance on services and urban connectivity. The data from the Ministry of Investment underscores Jakarta's continued role as a prime investment destination in Indonesia.

Bank Indonesia links US$3.8 billion Kalimantan projects with investors

Bank Indonesia facilitated an investment forum connecting 15 strategic projects across Kalimantan worth a combined Rp62.13 trillion with prospective investors, resulting in 12 letters of intent. The largest project presented was a coal downstream methanol plant in Tapin, South Kalimantan, requiring Rp46.17 trillion in investment. The central bank aims to accelerate project implementation to boost job creation, economic activity, and downstream industry development in the region.

MUI Declares Men Wearing Women's Clothing During Independence Day Carnivals as Haram

The Indonesian Ulema Council (MUI) has issued a fatwa stating it is haram for men to wear women's clothing, including during Independence Day carnivals. The council cited a hadith prohibiting men from imitating women and vice versa, and warned that such actions could be exploited to promote LGBT agendas. The ruling applies universally, both in private and public spaces.

BGN Finds 950 MBG Kitchens Suspected of Failing Hygiene and Sanitation Standards

The National Nutrition Agency (BGN) has identified 950 kitchens operating the Free Nutritious Meals (MBG) programme that are suspected of failing to meet hygiene and sanitation standards. BGN Head Sudaryono warned that these kitchens face permanent closure if they do not obtain the required sanitation and hygiene eligibility certificates (SLHS) by the 10 August 2026 deadline. The agency is offering assistance to help operators navigate the certification process, but insists there will be no tolerance for facilities that endanger beneficiaries' health.

Inactive Selaut Village Head Named Suspect in Village Fund Corruption, State Losses Reach Rp533 Million

The Natuna District Attorney's Office has detained the inactive head of Selaut Village, identified as B, as a suspect in a corruption case involving the village budget. The suspect allegedly misused village funds between 2021 and 2024, resulting in state losses of approximately Rp533 million. The alleged misconduct includes misappropriating direct cash assistance, creating fictitious accountability reports, and inflating project values for personal gain.

BPBD Muara Enim Extinguishes Forest Fire at One Location in Air Lintang

The Muara Enim disaster mitigation agency has successfully extinguished a forest and land fire in Air Lintang, while firefighting efforts continue across four other villages. The fires, which have burned over 10 hectares since Tuesday, are being tackled by a joint team of BPBD, Manggala Agni, military, police, and local residents.

Deputy Home Minister urges civil servants to find meaning in 81st Independence Day through sportsmanship

Deputy Home Minister Akhmad Wiyagus has called on government officials to use the 81st anniversary of Indonesia's independence to foster a spirit of struggle, unity, and sportsmanship. Speaking at a badminton exhibition, he emphasised that sport can build mental resilience and inter-agency communication. The ministry's sports facilities will be opened to other government bodies to encourage harmony.