Government Policies Expected by Indonesian Business Actors Amid Geopolitical Conflict

According to a survey by the Indonesian Chamber of Commerce and Industry (Kadin), the government policies most desired by business actors amidst geopolitical conflict are incentive assistance.

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The Indonesian Chamber of Commerce and Industry (Kadin) surveyed businesspeople regarding the policies needed to protect businesses from the impact of geopolitical conflicts, such as the US-Israel war against Iran.

The results revealed that 19.8% of respondents expected temporary subsidies or fiscal incentives, and 19.5% hoped for easier access to financing.

“This shows that amidst global pressure, businesses desperately need a liquidity cushion to maintain cash flow and sustain operations,” stated the Indonesian Chamber of Commerce and Industry (Kadin) in its Q1 2026 Business Pulse report.

In full, here are the government policies expected by businesses to address the impact of geopolitical conflict:

Support for subsidies or temporary fiscal incentives: 19.8%

Ease of access to financing for businesses: 19.5%

Exchange rate stability and responsive monetary policy: 16.7%

Diversification and stabilization of energy supply: 15.1%

Logistics support and security guarantees: 15.1%

Reduction of trade tariffs: 6.0%

Development of hedging instruments and financial diversification: 5.7%

Legal certainty: 0.6%

Don’t know/did not answer: 1.6%

This survey involved 210 Kadin members across 27 provinces in Indonesia, selected using a random sampling method. The survey was conducted online from March 17 to April 5, 2026.

“Disclosure: This is an AI-generated translation of the original article. We strive for accuracy,

but please note that automated translations may contain errors or slight inconsistencies.”