Indonesian Political, Business & Finance News

Archive: 8 September 2026

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Residents Near Mount Anak Krakatau Urged to Remain Vigilant Despite Decreasing Volcanic Activity

The Indonesian Government Communication Agency (Bakom) has advised residents near Mount Anak Krakatau to remain cautious and avoid unverified social media reports. Although volcanic activity has stabilised following the eruption on 4 September, authorities are urging the use of masks and reliance on official government channels to prevent panic.

Airlangga: Indonesia's Islamic Finance Assets Strengthening, Reaching Rp3,131 Trillion

Coordinating Minister for Economic Affairs Airlangga Hartarto announced that Indonesia's Islamic financial assets have reached Rp3,131 trillion, placing the nation among the top four globally. The growth is supported by expanding halal certification and a significant rise in global Muslim consumer spending.

Normal, PVMBG: Mount Bukit Kaba has experienced only one local tectonic earthquake

The Centre for Volcanology and Geological Hazard Mitigation (PVMBG) has confirmed that Mount Bukit Kaba in Bengkulu remains in a normal state. Despite a single recorded local tectonic earthquake, there are currently no indications of increased volcanic activity or changes to climbing access.

Indonesia to shift controlling stakeholder of China-funded railway next week

The Indonesian government is set to transfer a 60 per cent controlling stake in the operator of the Whoosh high-speed railway to either the Indonesia Investment Authority or Sarana Multi Infrastructure next week. This restructuring follows significant cost overruns on the US$7.3 billion project and includes an agreement with China to extend the loan tenure to 80 years. Plans are also underway to extend the railway line further east towards Surabaya.

Promoting School Library Strengthening, Member of Parliament: Improve Human Resource Quality and Literacy

Adela Kanasya Adies, a member of Commission X of the Indonesian House of Representatives, has welcomed the increased budget allocation for the National Library of Indonesia for the 2027 fiscal year. The budget is set to rise by approximately 15.3 per cent to Rp417.725 billion, with a focus on enhancing literacy programmes in rural and remote areas.

Indonesia expedites transformation of migrant worker governance

The Indonesian Ministry for the Protection of Migrant Workers is partnering with the national police to establish a dedicated desk for handling migrant worker cases. The initiative focuses on strengthening pre-departure protections to prevent human trafficking and upgrading the skill levels of workers through the 'SMK Go Global' programme.

Australian Protesters Call for Expulsion of Israeli Ambassador Over Death of Gaza Volunteers

Protesters gathered outside the Israeli Embassy in Canberra to demand the expulsion of the Israeli Ambassador following the refusal to pursue criminal charges regarding the deaths of humanitarian volunteers in Gaza. The demonstration follows controversial statements from an Israeli military commander and calls for increased sanctions against Israel from Australian politicians.

Purbaya Plans to Withdraw Rp100 Trillion in Idle Regional Funds

Finance Minister Purbaya Yudhi Sadewa intends to withdraw approximately Rp100 trillion in idle regional funds currently sitting in bank accounts. The move aims to reduce fund accumulation in the banking sector and ensure that transferred budgets are utilised effectively for regional needs.

Passenger Numbers at Mengwi Terminal Surge Following Flight Cancellations at Ngurah Rai

Passenger numbers at Mengwi Type A Terminal in Badung have increased by 34% due to flight cancellations at Ngurah Rai Airport caused by the eruption of Mount Anak Krakatau. This surge has led to an increase in intercity bus operations, particularly on routes heading towards Jakarta.

Anak Krakatau Eruption Could Cost Airlines up to Rp19 Billion Per Day

The eruption of Anak Krakatau poses a significant financial threat to airlines, with potential daily losses estimated between Rp10 billion and Rp19 billion. These costs stem from cancelled flights, increased operational expenses such as extra fuel, and passenger handling requirements.

Ministry of Women Empowerment and Child Protection Encourages MSMEs to Scale Up, Appreciates Women's Role in Pelindo's CSR Programme

The Indonesian Ministry of Women Empowerment and Child Protection has praised PT Pelabuhan Indonesia's (Pelindo) Corporate Social Responsibility initiatives for supporting women-led MSMEs. The Ministry hopes these programmes will enhance the competitiveness of small businesses, potentially leading to national and export-scale growth.

Venteny (VTNY) Records Rp 105.8 Billion Revenue in First Half of 2026

PT Venteny Fortuna International Tbk has reported a net revenue of Rp 105.8 billion for the first half of 2026, representing a 1.8% year-on-year growth. The company's performance was primarily driven by its B2B financial services and the expansion of its B2B2E Employee Super App ecosystem.

CORE: Strengthening business ecosystem to improve salt farmers' production quality

An economist from the Centre of Reform on Economics (CORE) Indonesia suggests that strengthening the salt business ecosystem is essential to help small-scale farmers improve production quality without bearing heavy technology costs alone. The proposal involves a collaborative model involving cooperatives, regional-owned enterprises (BUMD), and industrial users to manage investments in infrastructure and ensure market stability.

Beyond Managing National Fiscal Policy, This is Purbaya's Greatest Challenge as Finance Minister

Finance Minister Purbaya Yudhi Sadewa has revealed that his primary challenge has been restoring public and investor confidence amidst economic pressures. He utilised the macroeconomic principle of 'self-fulfilling prophecy' to shape positive economic expectations during periods of instability.

Purbaya: With Whoosh Debt Spread Over 80 Years, We Are Already Dead, Just Relax

Finance Minister Purbaya Yudhi Sadewa has revealed that the debt for the Jakarta-Bandung high-speed rail project, known as Whoosh, has been restructured with a repayment period of up to 80 years. This restructuring aims to reduce the annual instalment burden to approximately Rp1 trillion, easing the immediate financial pressure on the state.

Semen Indonesia (SMGR) Optimistic About Cement Industry Prospects Until 2027

PT Semen Indonesia Tbk (SMGR) anticipates a positive outlook for the cement industry through 2027, driven by government infrastructure programmes and private sector investments. The company is implementing strategic improvements in supply chain management and product portfolio diversification to maintain profitability.

Solar Power Most Sought After by Investors, Government to Evaluate Tax Holiday Incentive Schemes

The Indonesian Ministry of Investment has identified solar power as the most attractive renewable energy sector for investors due to advancing technology and lower risks. Consequently, the government is reviewing tax holiday incentives in response to the implementation of the Global Minimum Tax (GMT) to prevent tax revenue leakage to investors' home countries.

Gerindra Responds to AHY's Speech Perceived as a Signal for 2029 Presidential Bid

The Gerindra Party has stated it will not obstruct any political party's intention to nominate candidates for the 2029 Presidential Election. This response follows a speech by Democratic Party Chairman Agus Harimurti Yudhoyono (AHY) regarding the cycle of power and the right to be elected.

Purbaya Reveals Local Governments Hold Rp 100 Trillion in Excess Funds in Banks Annually

Finance Minister Purbaya Yudhi Sadewa has noted that local governments in Indonesia hold approximately Rp 100 trillion in excess liquidity within the banking system every year. He advised regional authorities to prioritise budget absorption for development rather than seeking alternative funding through municipal bonds.

Leading PBNU, Gus Kikin Promises to Continue Visiting PWNU East Java

The newly elected General Chairman of Nahdlatul Ulama (PBNU), KH Abdul Hakim Mahfudz, known as Gus Kikin, has pledged to maintain close ties with the East Java regional leadership. Despite his new responsibilities in Jakarta, he intends to visit the East Java office at least once a month.

Examined for nearly 7 hours, Febrie Adriansyah questioned regarding Tan Kian

Former Special Crimes Prosecutor Febrie Adriansyah underwent a seven-hour interrogation by the Attorney General's Office regarding his alleged links to property businessman Tan Kian. The investigation is part of a larger probe into corruption and money laundering related to the PT ASABRI and PT Jiwasraya cases.

Six Nights Battling Meranti Peatlands: Police Persist Amidst Thick Smoke

The Meranti Islands Police Chief is leading frontline efforts to combat ongoing forest and land fires in the Gemala Sari village. Despite the challenges of deep peatlands and unpredictable winds, emergency teams are working around the clock to prevent further spread across the 85-hectare affected area.

73 Civilians Victim of Houthi Attacks in Southern Saudi Arabia

At least 73 civilians, including women and children, have been injured following Houthi attacks on several cities and economic infrastructure in southern Saudi Arabia. The Saudi-led military coalition has vowed to take all necessary operational steps to protect civilians and neutralise threats following this dangerous escalation.

Indonesia prepares mass bank accounts to boost financial inclusion

Under the direction of President Prabowo Subianto, state-owned lenders BRI and BSI are developing digital applications to facilitate mass bank account creation using National Identity Numbers. The initiative aims to integrate with civil registration data to ensure every citizen possesses an active account, which will also serve as a streamlined channel for distributing government social assistance.

Rukun Raharja (RAJA) Completes Acquisition of Shares in PT Layar Nusantara Gas

PT Rukun Raharja Tbk (RAJA) has finalised the acquisition of a 5% stake in PT Layar Nusantara Gas (PT LNG) via its subsidiary, PT Raharja Gas Kasuri. This strategic move aims to strengthen the group's position within the LNG value chain and support the development of Indonesia's first Floating Liquefied Natural Gas (FLNG) infrastructure.

Strengthening Expansion, BAIC Opens 18th Dealer on Jalan Soekarno Hatta, Bandung City

Automotive distributor JHL Auto has officially opened BAIC's 18th dealership in Indonesia, located on Jalan Soekarno Hatta, Bandung. This strategic expansion aims to tap into the significant automotive market potential in West Java and serves as a precursor to further expansion plans in Surabaya next year.

Semarang City Government Involves MSMEs and Tourism Operators to Welcome National MTQ

The Semarang City Government is integrating local MSMEs, artists, and tourism operators into the upcoming 31st National Musabaqah Tilawatil Qur’an (MTQ) in 2026. The initiative aims to boost the local economy by showcasing culinary delights, creative industries, and cultural heritage to national delegates.

Soekarno-Hatta Airport Resumes Operations, Runway and Apron Cleared of Volcanic Dust

Soekarno-Hatta International Airport has resumed full operations following the impact of volcanic ash from Mount Anak Krakatau. Authorities have implemented rigorous cleaning procedures for runways, taxiways, and aprons to ensure flight safety.

Bad News from Japan: Foreign Exchange Reserves Drop to Deepest Decline Since 2000

Japan's foreign exchange reserves have experienced their sharpest decline since data collection began in 2000, falling by 6.18% in August. The drop is attributed to currency interventions aimed at supporting the yen and fluctuations in government bond values.

AKRA: Company performance unaffected by oil price fluctuations and exchange rates

PT AKR Corporindo Tbk has announced that its performance remains resilient against global oil price volatility and Rupiah exchange rate fluctuations due to its pass-through pricing system. The company plans to focus on monetising the Java Integrated Industrial and Port Estate (JIIPE) and expanding its energy and utility services.

Ministry of Transmigration and Unhas Assist Fakfak Residents in Processing Fish into Food Products

The Ministry of Transmigration, in collaboration with Hasanuddin University's Patriot Expedition Team, is providing training to women in Fakfak, West Papua, to process underutilised 'sibula' fish into value-added products. The initiative aims to foster economic independence through improved processing, packaging, and hygienic handling techniques.

Indonesia's economy ready to move toward 6% growth : Minister

Finance Minister Purbaya has expressed optimism that Indonesia's economic growth could approach 6 per cent in the third quarter of this year. He emphasised the importance of shaping positive public and investor expectations to prevent economic downturns and drive the private sector as an engine of growth.

Giuseppe Garibaldi Currently in the Arabian Sea, Expected to Arrive in Indonesia on 17 September

The Italian aircraft carrier Giuseppe Garibaldi is currently navigating the Arabian Sea en route to Indonesia. Upon arrival, the vessel will be renamed KRI Gajah Mada and officially commissioned under the Indonesian flag in a ceremony expected to be attended by President Prabowo Subianto.

KSP Applauds North Sumatra Immigration for Establishing Assisted Villages and Pimpasa to Strengthen Oversight

The Presidential Staff Office (KSP) has commended the North Sumatra Regional Office of the Directorate General of Immigration for launching the Immigration Assisted Village and Immigration Officers for Village Development (Pimpasa) programmes. These initiatives aim to enhance regional immigration oversight and strengthen early detection mechanisms to combat human trafficking.

Doctor in Denpasar Named Suspect in Case of Concealing Child's Origins

A doctor and her mother in Denpasar, Bali, have been named suspects in an investigation regarding the alleged concealment of a child's true origins. The case was reported by the doctor's husband, who claims his name was omitted from hospital administrative procedures.

Saudi Arabia Bans 30 Types of Snacks in Schools, Including Iced Tea and Crisps

The Saudi Arabian Ministry of Education has implemented a ban on 30 types of food and drink items in school canteens to promote healthier eating habits. The new regulations target high-sugar and processed foods, such as soft drinks, energy drinks, and certain processed meats, to ensure students have access to balanced nutrition.

Clean Air Day: Jakarta Needs Stronger Regulations to Tackle Air Pollution

A member of the Jakarta Regional House of Representatives has called for the allocation of five per cent of the regional budget to combat the capital's persistent air pollution. The proposal emphasises the urgent need to update outdated 2005 regulations to better address modern urban mobility and environmental challenges.

BKPM Opens Foreign Investment Opportunities to Expand EV Charging Stations

The Indonesian Investment Ministry (BKPM) is easing regulations for foreign direct investment to expand the network of Public Electric Vehicle Charging Stations (SPKLU). The move aims to address the current shortage of charging infrastructure as the nation transitions towards a low-carbon economy.

Economic growth must be accompanied by higher productivity : Bappenas

The National Development Planning Agency (Bappenas) has emphasised that Indonesia must prioritise productivity, innovation, and human capital to achieve its Golden Vision 2045. The agency highlighted the need for evidence-based policymaking to navigate global challenges such as geopolitical tensions and the energy transition while avoiding the middle-income trap.

Jakarta Free from Volcanic Ash Exposure, Students to Return to Schools on 9 September

Jakarta Governor Pramono Anung has announced that distance learning will end and schools will return to normal operations following a decrease in volcanic ash from Mount Anak Krakatau. The decision follows the restoration of normal flight operations at major airports and the implementation of weather modification efforts to mitigate ash impact.

Australia Announces Bill to Allow Opt-Out of Social Media Content Algorithms

Australian Prime Minister Anthony Albanese has introduced a bill that would allow users to opt out of algorithm-based content recommendations on social media. The proposed legislation also aims to protect minors from harmful content, with significant fines for platforms that fail to comply.

Hundreds of Students Suspected of Food Poisoning; SMAN 1 Tunjungan Blora Students Traumatised by Free Nutritious Meal Consumption

Approximately 137 students and a teacher at SMAN 1 Tunjungan, Blora, are suspected of suffering food poisoning after consuming the Free Nutritious Meal (MBG) programme. The incident has left many students traumatised, with several requiring hospitalisation due to symptoms of diarrhoea and dizziness.

Five Central Papua Police Officers Deployed to Investigate Fatal Paniai Fire

The Central Papua Regional Police have deployed five officers to investigate a devastating fire at Bopauda Market in Paniai, which claimed the lives of 11 people. The investigation aims to determine the cause of the blaze that destroyed 49 buildings and left 148 residents homeless.

32 Primary School Students in Bantul Absent Following Free Nutritious Meal Poisoning, 2 Still Hospitalised

Dozens of students and teachers at SDN 1 Sumberagung in Bantul are absent following a suspected mass poisoning linked to the Free Nutritious Meal (MBG) programme. The school has officially issued a statement rejecting the programme temporarily to prevent further incidents due to trauma and health concerns.

Education Office Responds to Student Allegedly Suffering Memory Loss Following Free Nutritious Meal Poisoning in Karo

A 16-year-old student in Karo, North Sumatra, is reportedly suffering from memory loss following suspected food poisoning from the Free Nutritious Meal (MBG) programme. The North Sumatra Education Office has expressed deep concern and is coordinating with the school to support the student's recovery and eventual return to studies.

The Forgotten Forest Fires of South Papua

Fires have burned for over a month along a road built to support the mega food estate project in Merauke, South Papua, turning the night sky red in the villages of Wanam and Wogekel. Residents suspect the blazes, which spread to standing trees near Kilometer 55, were started from land-clearing debris left by the 135-kilometer road project initiated by then-Defense Minister Prabowo Subianto in early 2024.

Boosting Performance: Perta Arun Gas Relies on GUCD and LNG Hub Businesses

PT Perta Arun Gas (PAG) is looking to expand its revenue streams through Gassing Up and Cooling Down (GUCD) services and the development of an LNG Hub. The company aims to leverage its existing infrastructure to provide specialised cooling services for LNG tankers and tank rental options for partners.

Anyer Hotel Business Impacted by Krakatau Eruption, Entrepreneurs Share Their Stories

Increased volcanic activity from Anak Krakatau has led to a 30% drop in hotel bookings in the Anyer and Carita coastal areas due to cancellations. While entrepreneurs remain wary of potential tsunami risks, they hope the current eruptive activity remains limited to mountain formation without causing large-scale disasters.

Soekarno-Hatta Airport Serves 324 Flights After Operations Return to Normal

PT Angkasa Pura Indonesia (InJourney Airports) served 324 flights at Soekarno-Hatta Airport by Tuesday afternoon after operations resumed following closure due to volcanic ash from the Mount Anak Krakatau eruption. All routes, including to Medan and Aceh, have been declared safe, with total aircraft movements projected to reach 896 flights and around 113,000 passengers for the day.

Preparing for the World of Work, UBSI Student Undertakes Internship at the Ministry of Transport

Aidil Koto, a seventh-semester Information Systems student at Universitas Bina Sarana Informatika (UBSI), is undertaking an internship at the Ministry of Transport of the Republic of Indonesia, placed in the Planning Bureau. The placement was facilitated by the BSI Career Center, which bridges students with professional opportunities in companies and government institutions.