Indonesian Political, Business & Finance News

Airlangga Says Some Oppose Indonesia’s Progress, Citing the IMF

| Source: CNBC Translated from Indonesian | Infrastructure
Airlangga Says Some Oppose Indonesia’s Progress, Citing the IMF
Image: CNBC

Coordinating Economic Affairs Minister Airlangga Hartarto said many foreign parties were uncomfortable with Indonesia’s potential to develop, particularly in the technology industry.

Airlangga cited Indonesia’s development of the CN235 aircraft, which he said faced opposition from foreign parties on various grounds. One party that prohibited it, he said, was the International Monetary Fund (IMF).

He said the opposition grew stronger as Indonesia’s aviation industry advanced and considered developing an aircraft with capacity for 100 passengers.

“When we developed the CN235, it was a breakthrough. Turboprop and jet engines were not an issue, because both were advancing relatively well. And when we wanted to move towards a 100-passenger aircraft, the world was taken by surprise,” Airlangga said at Bappenas on Monday (19 October 2026).

“At the time, the IMF said Indonesia was not allowed to have an aircraft industry because it was an industry that was, what, close to the people,” Airlangga said.

Airlangga said that successfully building an aircraft with capacity for 100 passengers would bring substantial benefits. It could advance the aerospace industry and enable it to compete with leading global aircraft manufacturers, while also serving as a source of national economic activity and improving connectivity between communities.

He added that aircraft of this size are currently in high demand in many countries.

“If we want to order aircraft from Airbus or Boeing, there is a backlog. The backlog can be 10 years. Therefore, this is an opportunity for us to revitalise the industry,” Airlangga said.

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