Yusril: Luhut’s Statement on the Definition of Corruption Deserves Consideration

Jakarta, CNBC Indonesia – Coordinating Minister for Law, Human Rights, Immigration and Corrections Yusril Ihza Mahendra has responded to National Economic Council (DEN) chair Luhut Binsar Pandjaitan’s remarks on changing the interpretation of corruption. Yusril said the proposal deserved consideration in light of international agreements Indonesia has adopted.

Yusril said Indonesia ratified the United Nations Convention against Corruption (UNCAC) around 20 years ago. However, the definition of corruption has not changed and still refers to Law No. 31 of 1999.

The new Criminal Code (KUHP), he added, has also not changed the definition of corruption.

“So we have indeed been stagnant on this issue. That is why what Mr Luhut has said is worth considering,” Yusril said at the Presidential Palace complex on Wednesday (21 October 2026).

“The focus of UNCAC is more on recovering state losses and on bribery,” he added.

Yusril also said changing the definition would affect the Corruption Eradication Commission’s (KPK) remit, focusing its enforcement work on bribery. Other matters would no longer constitute the specific crime of corruption, but would instead be treated as general criminal offences under the Criminal Code.

“So Mr Luhut is right that our anti-corruption law does not refer to the international legal convention, and no other country has a definition of corruption like ours,” he said.

Yusril, who served as state secretary from 2004 to 2007, said the definition should be changed to make it easier for state-owned enterprises (SOEs) to make business decisions. Under such an approach, losses incurred by an SOE leader’s business decision would no longer automatically constitute an offence.

“What Mr Luhut said is valid: many government officials, state officials and SOE executives are afraid to make decisions because they worry that, if a decision results in a loss, it will be called corruption. But if it makes a profit, nothing happens,” he said.

“In business, you can make a profit or a loss. This has happened in the case of former Pertamina president director Karen Agustiawan and others. I think perhaps now is the time to consider reforming the substantive legal provisions on corruption,” he added.

However, Yusril stressed that the proposal remained a subject for discussion. There are currently no plans to revise the Corruption Eradication Law, although he said the relevant ministries would discuss the matter because it had received the President’s approval.

“I heard that Mr Luhut had spoken with the President yesterday. In principle, the President has agreed. That is what I heard from Mr Luhut,” he said.