Policy
Govt eyes selective easing of local content rules amid U.S. tariff talks
President Prabowo Subianto has signaled plans to ease Indonesia’s local content (TKDN) regulations and certain import restrictions as part of a broader trade strategy to negotiate with the United States. The potential relaxation comes in response to recent U.S. tariff hikes on Indonesian exports and is aimed at improving Indonesia’s global competitiveness.
Easing of U.S.-China trade war brings mixed impact for Indonesia: Apindo
The Indonesian Employers Association (Apindo) sees the easing of trade tensions between China and the United States as having at least two major implications for Indonesia's economy.
Govt asked to immediately conduct clinical trials of “Bill Gates” TB vaccine
Health Commission IX of the House of Representatives (DPR) asked Minister of Health Budi Gunadi Sadikin to accelerate clinical trials and distribution of the Tuberculosis (TB) vaccine developed with the support of U.S. tycoon Bill Gates.
Income stagnation undermines purchasing power: CORE Indonesia
Amid relatively stable inflation, Indonesia’s declining purchasing power is being primarily driven by stagnating income levels, according to Mohammad Faisal, Executive Director of the Center of Reform on Economics (CORE) Indonesia.
Beverage industry calls for policy synergy amid economic slowdown
The Indonesian soft drink industry has called for coordinated policy measures to maintain sectoral stability in 2025, as early signs of an economic slowdown and weakening consumer demand pose significant challenges to the food and beverage sector.
AHY eyes LVC scheme to lure foreign investors for giant sea wall project
Coordinating Minister for Infrastructure and Regional Development, Agus Harimurti Yudhoyono (AHY), has announced plans to implement a Land Value Capture (LVC) scheme to attract foreign investment for the ambitious Giant Sea Wall project.
Lawmaker backs revocation of licenses for mass organizations involved in thuggery
A legislator of the House of Representatives (DPR) Commission II, Indrajaya, has voiced his support for the Ministry of Home Affairs’ plan to revoke the legal status of community organizations (ormas) involved in acts of thuggery, while emphasizing that the state must not be defeated by criminal activity disguised as civil organizations.
Prabowo’s “Sekolah Rakyat” initiative targets 100 new schools per year despite hurdles
President Prabowo Subianto’s ambitious plan to establish 100 Sekolah Rakyat (People’s Schools) annually is moving forward, backed by a substantial budget of Rp25.8 trillion (US$1.5 million) despite facing significant challenges, particularly in land acquisition, which could leave a large portion of the budget unused in its early phases.
Indonesia finalizes 3-kg LPG subsidy reform: Bahlil
Indonesia is in the final stages of reforming regulations related to the distribution and supervision of its 3-kg liquefied petroleum gas (LPG) subsidy, according to Minister of Energy and Mineral Resources (ESDM) Bahlil Lahadalia.
RI moves forward with sustainable finance committee for green investments
The government, through the Ministry of Finance, the Financial Services Authority (OJK), and Indonesia Central Bank (BI), is pushing ahead with the formation of the Sustainable Finance Committee (SFC), as mandated by Law No. 4/2023 on the Development and Strengthening of the Financial Sector (P2SK).
Fed holds rates steady, limiting BI’s room for monetary easing
The U.S. Federal Reserve has once again opted to maintain its benchmark interest rate at 4.25–4.5 percent, a move analysts say narrows the policy space for the Indonesian Central Bank (BI) to cut interest rates amid an ongoing slowdown in domestic economy.
Erick Thohir confirms SOEs transfer dividends to Danantara
Minister for State-Owned Enterprises (SOEs) Erick Thohir has confirmed that a significant portion of dividends from state-owned companies has been transferred to Indonesia's sovereign wealth fund, Daya Anagata Nusantara (Danantara), but declined to specify the amount or name the contributing entities.