Constitutional Court affirms only the BPK may calculate state losses; observers warn of staffing constraints
Markets reacted positively to President Prabowo’s address and Bank Indonesia policy. The Constitutional Court (MK) has ruled that only the Badan Pemeriksa Keuangan (BPK) is authorised to calculate state losses. Researcher Herdiansyah Hamzah, also known as Castro, from the Corruption Studies Centre (SAKSI) of Mulawarman University, says the substance should focus on clarifying the standards and measurement methods for calculating state losses.
According to Castro, if the measurement instruments and methodologies are standardised and clear, the calculation of state losses could be carried out by any institution in the interest of law enforcement efficiency. “What is most important is the standards and the measurements for calculation. So if we have standards and measurements, anyone could eventually calculate it. Not just the BPK,” Castro said in a telephone interview on Thursday (21/5/2026).
He argued that the calculation of state losses remains conventional because it only addresses the tangible monetary losses. He notes that in corruption cases in the natural resource or extractive industries, the environmental damage arising from collusion or corrupt relations could be far greater.
“For example, how about the environmental losses caused or exacerbated by corrupt relationships and activities? That is not explained. If we look at cases involving Basuki Wasis or Bambang Hero recently, they are part of the larger issue. So should the environmental losses be included in the calculation or not?” Castro said.
Moreover, Castro reminded that in Indonesia’s positive law practice there are standard procedures. Whoever conducts investigative auditing in the early stages—whether BPK, BPKP, public accountants, or investigators—will ultimately have their findings tested in a court of law. “Ultimately we hand it over to judges to determine which calculations are relevant to the case or legal event that occurred. So in a corruption case, whoever calculates isn’t a problem, but it will be verified by judges when deciding the case,” he explained.
Castro further acknowledged concerns about implementing MK’s ruling. He said making BPK the sole gateway to calculation would face capacity issues in logistics and human resources (SDM). (H-4)
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