Indonesian Political, Business & Finance News

Archive: 7 September 2026

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5 Volcanoes Erupt in Close Succession, Prabowo: It Is Our Destiny to Sit on the Ring of Fire

President Prabowo Subianto convened a limited cabinet meeting on disaster response following a magnitude 7.7 earthquake in Flores, forest fires in six provinces and near-simultaneous eruptions of five volcanoes, including Anak Krakatau. He declared that Indonesia's position on the Ring of Fire means the government must be ready at all times and pledged a significant increase in the disaster mitigation budget. He also urged residents of Jakarta, Banten, Lampung and areas around the Sunda Strait to remain calm but vigilant.

Indonesia's Hajj Fund and Lessons from Malaysia's Tabung Haji

Malaysia's Tabung Haji manages roughly twice the funds in US dollar terms compared to Indonesia's BPKH, operating as a mature 'Sovereign Halal Fund' with 9.7 million individual accounts and a tiered subsidy system. BPKH, established only in 2017, manages around Rp 181 trillion but still relies on bulk (gelondongan) accounts and remains trapped in a procurement-driven regime prone to rent-seeking risks. The author argues Indonesia should adopt individual account ownership, capability-based subsidies, and free the hajj ecosystem from procurement logic.

Avery Hotel & Waterpark Surabaya: The First Smart Recreation Concept in the Heart of the City

Avery Hotel & Waterpark Surabaya Tugu Pahlawan, the newest unit of Waringin Hospitality Hotel Group, is set to open in mid-September 2026, offering an indoor waterpark and eight themed children's rooms. Positioned near the historic Tugu Pahlawan area, the hotel is expected to boost tourism in Surabaya's Old Town, which is being revitalised by the city government.

Prabowo Discusses Forest Fire Handling, Instructs Cabinet Secretary and Finance Minister

President Prabowo Subianto chaired a limited cabinet meeting on natural disaster response, assessing the country's forest and land fire handling as fairly massive despite some delays. He instructed the Cabinet Secretary and Finance Minister to prepare resources under the principle of 'better more than less', including more helicopters, water pumps, firefighters and excavators.

BMKG: Agriculture Must Brace for Peak Dry Season Exacerbated by Strong El Nino

Indonesia's Meteorology, Climatology, and Geophysics Agency (BMKG) has warned the agricultural sector to heighten vigilance as most of the country enters the peak of the dry season from August to September 2026. The situation is worsened by a very strong El Nino expected to last until early 2027, raising risks of water shortages, falling crop yields, and forest and land fires.

Viral! Netizens 'Wrap Their Houses in Plastic' After Tiring of Sweeping Volcanic Ash

Residents of Jakarta and the greater Jabodetabek area have resorted to covering their homes with plastic sheeting after volcanic ash from Mount Anak Krakatau swept into the region. The unusual measure went viral on social media, with netizens describing the exhausting task of repeatedly cleaning thin layers of ash from surfaces such as car bonnets and motorcycle seats. Others have sealed ventilation openings with old newspapers and tape to keep ash out of their homes.

Kaspersky detects 162,000 mobile banking Trojans in Q1 2026

Kaspersky detected 162,275 mobile banking Trojan installation packages in the first quarter of 2026, more than double the number recorded throughout 2024. Banking Trojans accounted for nearly 53 per cent of all dangerous mobile applications detected, with cybercriminals increasingly using sophisticated distribution methods such as phishing links and modified official apps. Kaspersky urged users to install apps only from trusted stores and keep their systems updated.

Tabanan Police Chief Bayu Pati Attends Poverty Reduction Coordination Meeting in Tabanan

Tabanan Police Chief AKBP I Putu Bayu Pati attended the 2026 Poverty Reduction Coordination Team (TKPK) meeting, which focused on synergy between government, business, and society. Tabanan Regent I Komang Gede Sanjaya noted the regency won third-best award for poverty reduction and stunting decline across Java and Bali, earning a Rp 1 billion coaching grant from the Ministry of Home Affairs. The regency's poverty rate currently stands at 3.85%, with a target of 2.75% by 2030.

Nepal marks national mourning day after deadly flood

Nepal observed its traditional final day of mourning for at least 1,380 people killed by a catastrophic flood and mudslide along the China border, with flags flown at half-mast as more than 5,500 remain missing. Search teams rescued four survivors in recent days, including hydropower workers and a Chinese national pulled from tunnels, while operations continue at regional hydropower stations.

Not Just Masks: Essential Clothing to Protect Skin from Volcanic Ash

A dermatology specialist has advised residents affected by volcanic ash to wear fully covering clothing such as long sleeves, trousers and closed shoes to prevent skin damage from abrasive ash particles. The guidance comes as health facilities operate around the clock in response to the eruption of Anak Krakatau, which has spread ash across Banten, West Java, Lampung and Bengkulu.

Wreckage of Crashed Aircraft Nose Shows Cars Struck on Roads

An Amazon Prime Air cargo aircraft overshot the runway at Miami International Airport shortly before 14.00 local time, leaving at least five people dead and five injured, three of them critically. The accident forced the closure of all runways and taxiways at the airport. Amazon and the Miami-Dade Aviation Department confirmed the incident occurred as the aircraft was attempting to land.

Indonesia's Carbon Market Grows, Forestry Ministry Highlights Human Resource Quality

The Ministry of Forestry has stated that improving human resource capacity is key to building a credible and transparent national carbon market. Senior adviser Edo Mahendra said capacity building must go hand in hand with new regulations, including Presidential Regulation No. 110/2025 and Ministerial Regulation No. 6/2026 on forestry carbon trading. Concerns raised include MRV integrity, safeguards, and benefit-sharing for forest communities.

North Kalimantan Police Investigate Suspected Forest and Land Fire Crimes in Bulungan

The Special Crimes Directorate of North Kalimantan Regional Police has launched an investigation into suspected criminal forest and land fires in Mangkupadi Village, Bulungan Regency. Investigators conducted ground checks, drone photography and coordinate mapping at the burnt site, and plan to summon residents and companies for clarification as part of law enforcement efforts.

Coordinating Minister Djamari Invites 358 HGU-Holding Companies to Discuss El Nino

Coordinating Minister for Political and Security Affairs Djamari Chanigo summoned 358 companies holding business-use rights (HGU) to a coordination meeting on forest and land fires at Marine Corps Headquarters in Jakarta. He warned that Indonesia has not yet reached the peak of the current El Nino, meaning fire risks could escalate, and pledged strict enforcement of existing regulations alongside a rapid field response.

Second Global Business Summit on BRI Infrastructure to Accelerate SDGs Held in Singapore

The Second Global Business Summit on Belt and Road Infrastructure Investment to Accelerate the SDGs convened in Singapore under the theme "Connect for Better World", bringing together over 300 senior leaders from business, international organisations, academia and civil society. The summit adopted a declaration on sustainable infrastructure priorities and launched expert groups on sustainable energy and digital infrastructure, alongside twelve SDG-oriented outputs. UN leaders emphasised that cross-border collaboration is essential to advancing the 2030 Agenda.

Judge's Flight Disrupted by Volcanic Ash, Roy Suryo's Pre-Trial Hearing Postponed

The fifth pre-trial hearing filed by Roy Suryo was postponed after the presiding judge was stranded when flights were cancelled due to volcanic ash from Mount Anak Krakatau. Judge I Ketut Darpawan was forced to travel to Jakarta overland and by sea. Roy Suryo has filed five pre-trial challenges, winning partially in the first and losing three others.

BNPB prepares weather modification operation to reduce impact of volcanic ash from Anak Krakatau

Indonesia's National Disaster Management Agency (BNPB) is preparing a Weather Modification Operation (OMC) to induce rain and wash away volcanic ash from Mount Anak Krakatau, which has disrupted communities and aviation. BNPB Head Lieutenant General Suharyanto said the eruption activity has declined, but ash distribution continues, prompting the relocation of the OMC aircraft from Kalimantan to Semarang as an alternative base.

BI: Selaras 2026 Strengthens the Sharia Economic Ecosystem in Banyumas Raya

Bank Indonesia's Purwokerto office said the Selaras 2026 Sharia Economic Festival is part of an integrated effort to strengthen the sharia economic ecosystem across Banyumas Raya in Central Java. The event generated Rp1.29 billion in sales transactions, Rp740 million in potential business-matching financing and Rp653 million in potential exports, drawing around 5,900 visitors.

Prabowo Prepares Additional Budget for Disaster Mitigation

President Prabowo Subianto has announced that the government will significantly increase the budget allocation for disaster mitigation, citing Indonesia's vulnerability as a nation situated on the Pacific Ring of Fire. He also praised the government's swift disaster response in Aceh, North Sumatra and West Sumatra, saying recovery was achieved through the country's own capabilities.

AHY's Remarks Draw PDIP Agreement on the Dangers of Absolute Power

Democratic Party chairman Agus Harimurti Yudhoyono has asserted that power is not held by one person indefinitely, drawing agreement from PDIP's Andreas Hugo Pareira, who invoked the historical lessons of French absolutism and the Revolution. AHY made the remarks at the Democratic Party's 25th anniversary, citing the peaceful democratic transitions during Susilo Bambang Yudhoyono's decade in office.

Pramuka Market Traders Cash In as Hundreds of Boxes of Face Masks Sold Following Volcanic Ash Fallout

Face mask sales at Pramuka Market in East Jakarta have surged after volcanic ash from the eruption of Mount Anak Krakatau spread to the capital. Traders reported selling 100-200 boxes and raising prices by around 5 per cent as distributor stocks run dry. The BMKG confirmed ash clusters extending over Banten, West Java, Lampung and Bengkulu at altitudes of up to 15,000 feet.

Police Foil Smuggling of 150,000 Lobster Fry on Merak Toll Road

Banten Police's Special Criminal Investigation Directorate thwarted an attempt to smuggle 150,000 clear lobster fry (BBL) from Banten to Palembang, South Sumatra. The suspect, apprehended on the Jakarta-Merak toll road, has admitted to making two previous deliveries. He faces charges under the Fisheries Law carrying up to eight years' imprisonment and a fine of up to Rp 1.5 billion.

Government Temporarily Bans Land Clearing by Local Wisdom Method

The Indonesian government has suspended permits for slash-and-burn land clearing by local residents, known as 'local wisdom', which previously allowed burning of up to 2 hectares. The move, instructed by President Jokowi, comes amid an extreme El Nino-driven dry season. Offenders face criminal, civil and administrative sanctions, while police and military are deployed to educate communities on the rules.

Dahua Technology Showcases Integrated Smart Home Solutions at IFA Berlin 2026

Dahua Technology presented its latest AIoT innovations at IFA Berlin 2026, including wireless security systems, the AirShield wireless intrusion protection system, and the WizTalk smart video intercom series. The company also expanded beyond security into fire safety and gaming monitors, underscoring its broadening portfolio. Eason Rao, Overseas Product General Manager, said the event demonstrates Dahua's technological expertise and its push into new business opportunities.

National Police Chief Names 138 Forest Fire Suspects, 42 Corporate Permits Revoked

National Police Chief General Listyo Sigit Prabowo has named 138 suspects in connection with forest and land fires, following 200 police reports. Eight corporations are being processed legally, while coordination with the forestry authorities and the Ministry of Environment has revealed 18 companies with frozen permits and 42 whose permits have been revoked.

Prabowo Leads Limited Meeting on Forest Fire Handling and Mount Anak Krakatau Eruption

President Prabowo Subianto chaired a limited meeting at the Merdeka Palace to monitor responses to multiple disasters across Indonesia, including earthquakes in Flores, increased activity of Mount Anak Krakatau, and ongoing forest and land fires. He noted that Indonesia's position on the Pacific Ring of Fire makes disasters frequent, but stressed that rapid and precise handling must prioritise public safety.

Prabowo Leads Limited Meeting on Disaster Management in Indonesia

President Prabowo Subianto chaired a limited meeting on disaster management, held virtually from the Merdeka Palace. The meeting addressed a series of recent natural disasters, including the Flores earthquake, heightened activity at Mount Anak Krakatau, and ongoing forest fires causing haze.

President Prabowo leads limited meeting on impact of Mount Anak Krakatau eruption

President Prabowo Subianto chaired a limited meeting at the Merdeka Palace, joined via video conference by regional heads, to coordinate the response to the Mount Anak Krakatau eruption, the earthquake in East Nusa Tenggara, and land and forest fires. He urged residents of Jakarta, Banten, Lampung and the Sunda Strait area to remain calm and obey safety zones, while ordering BNPB, BMKG, the military, police and relevant ministries to monitor the situation. The Geological Agency reported the continuous eruption ended after 25 hours, though volcanic activity remains under watch due to high seismicity.

Prabowo Leads Natural Disaster Management Meeting, Calls for Mitigation Budget Increase

President Prabowo Subianto chaired a limited meeting on natural disaster response by video conference, citing the Flores earthquake, Anak Krakatau volcanic activity, and ongoing forest fires. He said Indonesia's position on the Pacific Ring of Fire requires constant readiness and pledged a significant increase in disaster mitigation budget allocations. Prabowo also praised the government's rapid response to disasters in Aceh, North Sumatra, and West Sumatra.

2027 Draft State Budget Posture Changes, Revenue and Spending Targets Rise by Rp9.1 Trillion

Indonesia's House Budget Committee and the government have agreed an adjusted posture for the 2027 draft state budget, raising both state revenue and spending by around Rp9.1 trillion. State revenue is now targeted at Rp3,435.1 trillion, while spending rises to Rp4,106.3 trillion, with the deficit maintained at 2.40% of GDP.

Jurangmangu Station Police Distribute Masks in Anticipation of Volcanic Ash

Police from the East Ciputat sector distributed 500 masks at Jurangmangu Station in South Tangerang as a precaution against health risks from volcanic ash following the eruption of Anak Krakatau. The initiative, carried out jointly with the Ciputat district authorities and station officials, also included public education on protective equipment. The move forms part of a preventive effort to safeguard community health.

Habiburokhman: Law Enforcement in Developed Countries Is Fine — No Bribery or Criminalisation of Critics

Habiburokhman, Chair of the House of Representatives' Commission III, said the 13 criminal offences covered by the Asset Forfeiture Bill have sparked both support and opposition. He cautioned that comparisons with developed countries must also consider whether Indonesian law enforcement has the same integrity as their foreign counterparts, noting that officers in countries like the US and UK do not take bribes or criminalise critics and political opponents.

Good News for TNI Soldiers and Police Members Entering Retirement

The Ministry of Finance has digitised the payment cessation certificate (SKPP) process under PMK 178/PMK.05/2022, integrating its payroll system directly with pension providers such as PT Taspen and PT Asabri. From September 2026, the integration becomes mandatory for TNI, Polri and Defence Ministry civil servants reaching retirement age, enabling first pension payments without delay.

Government operates several alternative airports round the clock to maintain passenger mobility

The Indonesian government has placed five airports on 24-hour operations to accommodate passengers after eight airports were closed following the eruption of Mount Anak Krakatau. The alternative airports include Ahmad Yani in Semarang, Kertajati in Majalengka, Juanda in Surabaya, Yogyakarta International Airport, and Adi Soemarmo in Solo.

Batam city government says flight disruptions affect MICE and tourism sectors

The Batam city government says flight cancellations caused by the eruption of Mount Anak Krakatau are beginning to hurt the local tourism and MICE sectors, as well as logistics flows. Mayor Amsakar Achmad urged the central government to announce the reopening of flight routes within two to three days, citing safety as the priority. Foreign tourist arrivals to Batam had grown to 964,457 in January-July 2026, led by visitors from Singapore, Malaysia and China.

Why Airports Cannot Operate Amid the Spread of Volcanic Ash from Mount Anak Krakatau

Flight operations at Soekarno-Hatta International Airport remain suspended until 18:00 WIB on Monday, 7 September 2026, as Mount Anak Krakatau's eruptive activity intensifies. The closure, repeatedly extended, is driven by safety concerns over volcanic ash, which poses a serious threat to jet engines rather than merely reducing visibility.

Man in Bangli Dies After Being Shot by His Own Rifle While Hunting Civets

A 41-year-old resident of Tembuku, Bangli, died after falling into a 13-metre ravine while hunting civets at night and being struck by a shot from his own air rifle. Police examined his five hunting companions and found no indication of foul play, concluding the death was a pure accident. The victim had been treated at RSUP Prof Ngoerah hospital for several days before succumbing to his injuries.

Malaysia Lifts Haze Emergency Status in Sarawak Following Indonesian Forest and Land Fires

Malaysia has lifted the state of emergency declared in Sarawak after air pollution levels eased from hazardous peaks, though readings remain in the 'very unhealthy' range. The crisis was triggered by smoke from forest and land fires in Kalimantan, Indonesia, which has blanketed parts of Indonesia, Malaysia, Singapore and Brunei for weeks.

Tokyo's Shinjuku to ban more than half of vacation rentals

Tokyo's Shinjuku ward will ban over half of its short-term holiday rentals, including Airbnb listings, in residential zones and areas near schools, following a roughly 40 per cent rise in complaints about noise, rubbish and smoking by tourists. The move follows a July decision by the Japan Tourism Agency allowing municipalities to regulate private lodgings, and reflects a global crackdown on vacation rentals in cities such as New York and Barcelona.

Planting 120,000 Trees, EIGER Develops Ecotourism Destination in Bogor

EIGER is developing the EIGER Nature ecotourism destination in Bogor, West Java, formerly known as EIGER Adventure Land, planting over 120,000 trees alongside environmental conservation and community empowerment initiatives. More than 500 workers have been involved in the development, with the site projected to create over 1,200 jobs once operational, and 5 per cent of net profits earmarked for nature and cultural preservation programmes.

Pekanbaru Infrastructure Development Continues Amid Fiscal Pressure

The Pekanbaru municipal government has continued infrastructure projects despite limited fiscal space, including the resurfacing of Jalan Beringin in the Sungai Sibam area. Mayor Agung Nugroho stressed that budget discipline and prioritisation ensure every rupiah delivers tangible development for residents. Drainage improvements are also planned to keep roads durable and prevent flooding.

With Rp 100 Million Capital, How Much Profit from Buying Retail Sukuk SR025?

The government is offering Retail Sukuk series SR025 with fixed coupons of 6.80% (three-year tenor) and 6.90% (five-year tenor), well above the Bank Indonesia rate. A Rp 100 million investment would yield roughly Rp 510,000–517,500 per month after tax, accumulating to around Rp 118.14 million (three-year) or Rp 130.83 million (five-year) at maturity if coupons are held as cash.

Three regions face Anak Krakatau ash as government bolsters mitigation

The Indonesian government is coordinating mitigation efforts as volcanic ash from Mount Anak Krakatau affects three regions, with the Health Ministry urging residents to wear masks and protect their eyes and skin. The eruption has forced the temporary closure of several airports, including Soekarno-Hatta, while ferries across the Sunda Strait remain operational with heightened safety precautions.

Volcanic Ash Threat Looms, Suhud Urges Jakarta Residents Not to Panic: Safety Comes First

Suhud Alynudin, Chairman of the Jakarta Regional Legislative Council (DPRD DKI), has urged residents to remain calm yet vigilant amid the eruption of Anak Krakatau in the Sunda Strait. He called on families to prepare simple emergency plans and pressed the provincial government to strengthen information dissemination down to neighbourhood level, while praising the education office's move to remote learning as a precaution.

Yusril: Written rules alone are not always enough to face life's challenges

Coordinating Minister for Law, Human Rights, Immigration and Corrections Yusril Ihza Mahendra told new President University students that written rules alone cannot resolve every problem in life, and that clear judgement, integrity and sincerity are essential in decision-making. Speaking at the PREUNI 2026 orientation, he urged students to use their academic freedom responsibly, think critically and embrace differing views. DPD RI Chairman Sultan Bachtiar Najamudin also reminded students that AI can never replace human empathy, conscience and wisdom.

Ministry of Social Affairs prepares additional budget request to support disaster survivors

The Ministry of Social Affairs is preparing to submit a request for Additional Expenditure Budget (ABT) to the President and Ministry of Finance to ensure sufficient emergency disaster funds amid frequent earthquakes, volcanic eruptions and drought. Minister Saifullah Yusuf noted the government has already disbursed Rp2.5 trillion for recovery efforts across three provinces, including Rp14.6 billion for earthquake victims in Flores, East Nusa Tenggara.

Investors Take Note! Here's Telkom's Dividend Hint from This Year's Profit

Telkom Indonesia has signalled it plans to distribute more than 50% of its 2026 book-year profit as dividends, with a dividend payout ratio presumption of 60% to 90% of net profit. The state telecommunication firm previously paid Rp21.99 trillion in dividends for the 2025 book year, one of the largest payouts in the Indonesian capital market this year.

Komnas HAM: Repeated MBG Food Poisonings Threaten Children's Right to Life

Indonesia's National Human Rights Commission (Komnas HAM) has warned that recurring food poisoning cases tied to President Prabowo's Free Nutritious Meals (MBG) programme are becoming a pattern, endangering the right to life of schoolchildren beneficiaries. Hundreds of students across Sidoarjo, Rembang, Jombang and Surakarta were affected in September, following earlier incidents in Jayapura and Semarang. Komnas HAM has urged the National Nutrition Agency to suspend operations at implicated kitchens, conduct transparent investigations, provide full remedies for victims, and strengthen enforcement with police and BPOM oversight.

Presidential Staff Office inspects Yogyakarta SPPG to ensure free nutritious meal programme follows procedures

A senior expert at the Presidential Staff Office (KSP), Aby Ismawan, together with the Yogyakarta municipal government inspected the Sorosutan 3 SPPG kitchen in Umbulharjo to verify that the Free Nutritious Meal (MBG) programme is being managed according to procedure. He found the cooking and packing cycle running smoothly, with no issues over menus, nutrition standards or waste management. Yogyakarta Deputy Mayor Wawan Harmawan confirmed that coordination between the city task force, health office and other agencies is functioning well.

Soetta Closed Due to Volcanic Ash, Flights Diverted to These 6 Airports

Soekarno-Hatta International Airport remains temporarily closed due to volcanic ash from Mount Anak Krakatau, with flights diverted to six alternative airports. Transport Minister Dudy Purwagandhi said the closure would last until 18:00 WIB, subject to BMKG updates, and that 2,300 flights and over 270,000 passengers have been affected since 5 September 2026.