Yusril Meets Luhut to Discuss State Losses and Corruption

Jakarta, CNBC Indonesia — Coordinating Minister for Law, Human Rights, Immigration and Corrections Yusril Ihza Mahendra met National Economic Council Chairman Luhut Binsar Pandjaitan on Tuesday (27 October 2026). They discussed recent reports that the definition of corruption could be changed so that it no longer focuses on state financial losses.

Yusril clarified that the element of state financial loss would not be removed. However, the government wants to make the definition of state finances more precise, as numerous laws and regulations currently define them. These include Law No. 15 of 2006 on the Audit Board of Indonesia and Law No. 1 of 2004 on State Treasury.

“When there are too many definitions of state finances, the question is which one should be used and applied. People end up choosing whichever is easier to implement and quicker to act on. For legal certainty, it is therefore essential to clarify the meaning of state finances,” Yusril told reporters on Tuesday (27 October 2026).

Yusril also said Indonesia’s Law on the Eradication of Corruption contains a very broad definition of corruption. Several acts are classified as corruption if they cause losses to state finances and the national economy.

He proposed that the law should not define corruption in general terms, but instead set out which acts constitute corruption. The government used a similar approach when preparing a government regulation in lieu of law (Perpu) after the 2002 Bali bombings.

At the time, the government did not define terrorism, but listed categories of conduct. For example, the use of weapons and explosives to threaten people and cause widespread fear in society was categorised as terrorism.

“If it is agreed that the Corruption Law should take the same approach, it will be very clear which acts are categorised as corruption,” he said.

Luhut said the review of state financial losses and corruption was necessary to provide legal certainty for investors, particularly as the government plans to establish the Indonesia International Financial Centre.

“Perhaps in Bali in the near future, within the next few months. There will also be a Family Office there, and that too needs the legal certainty we have discussed,” Luhut said.