The Indonesian government has decided to delay the annual increase in provincial minimum wage (UMP) rates, raising questions about its implications for workers, businesses, and the political landscape. Initially scheduled for announcement by Nov. 21, 2024, the wage adjustment will now wait until after the country’s regional elections. This decision follows a Constitutional Court (MK) ruling and ongoing dispute over minimum wage regulations.

With the final results of the country’s simultaneous regional elections not expected until Dec. 16, the quick count data offers a glimpse into the shifting dynamics of power, particularly between the governing coalition of President Prabowo Subianto, including former president Joko “Jokowi” Widodo, and the Indonesian Democratic Party of Struggle (PDI-P).

President Prabowo Subianto marked his first overseas trip as Indonesia's leader with a high-profile debut at two major multilateral forums, achieving notable milestones for the country’s foreign policy agenda. Following his bilateral visits to China and the United States, Prabowo attended the Asia-Pacific Economic Cooperation (APEC) Summit in Lima, Peru, from Nov. 15 to 16, and the Group of 20 Summit in Rio de Janeiro, Brazil, from Monday to Tuesday. These summits provided a platform for the newly inaugurated President to showcase his administration’s vision for Indonesia’s global role.

Amid the campaign session in the runup to the regional head elections on Nov. 27 and the final phase of capital city relocation from Jakarta to the future Capital City of Nusantara (IKN), the government and the House of Representatives agreed to revise the Jakarta Special Region (DKJ) Law. The amendment is the first legislation the current House has produced since it began its five-year term on Oct. 1.

Three women will compete for the governorship of East Java, the country’s second-most populous province and a stronghold of the country’s largest and most influential Islamic organization, Nahdlatul Ulama (NU). Unlike a few other regional head elections marred by power struggles between political elites, the East Java gubernatorial race has shaped up to be a riveting contest between candidates equally qualified for the province’s top job.

The South Jakarta District Court has dealt the Corruption Eradication Commission (KPK) a major blow after granting a pretrial motion filed by South Kalimantan Governor Sahbirin Noor, who claimed the KPK’s move to name him a suspect was illegitimate.

Indonesia received a significant boost of 1.2 billion euros  (US$1.14 billion) in green financing from a German bank, Kreditanstalt für Wiederaufbau (KfW), at the United Nations Climate Change Conference’s 29th meeting (COP29) in Baku, Azerbaijan. This funding has unlocked a gateway for President Prabowo Subianto’s energy vision amid environmentalists’ concerns about the President’s future commitment to addressing climate change.

Prabowo Subianto’s first foreign sojourn as president, which took him to China and the United States in quick succession this month, shows how confident he is in running Indonesia’s foreign policy amid escalating tension between the two big powers.

President Prabowo Subianto’s decision to continue with the selection of 10 candidates for the Corruption Eradication Commission (KPK) leadership posts nominated in the final weeks of former president Joko “Jokowi” Widodo’s term has sparked concerns over the legitimacy of the commission’s future leaders.

The competition is heating up ahead of the regional head elections, especially in provinces where candidates supported by President Prabowo Subianto’s Onward Indonesia Coalition (KIM) are facing off against candidates of the Indonesian Democratic Party of Struggle (PDI-P). However, Prabowo’s open support for KIM-backed candidates has called into question the neutrality expected of the head of state.

The State Logistics Agency (Bulog), has been proposed to become an autonomous body directly accountable to President Prabowo Subianto. With this change, Bulog would no longer be under the supervision of the State-Owned Enterprises Ministry, effectively reinstating Bulog’s institutional power back to the New Order era. 

The new complaints center to where the public can take their grievances about the government may seem noble, but as the initiative comes from Vice President Gibran Rakabuming Raka, it is generally seen as an attempt to establish his footing in the administration of President Prabowo Subianto. It also provides with him a strong and visible platform to prepare for the next presidential election in 2029.

The launch of Indonesia’s newly formed investment authority, Daya Anagata Nusantara (Danantara), initially set for November 7, has been delayed due to President Prabowo Subianto’s concurrent visit to China. Danantara is now expected to launch upon the President’s return, likely at the end of November. However, questions linger about the clarity of Danantara’s purpose and the implications of its establishment on Indonesia’s existing investment entities.

Just as President Prabowo Subianto transformed the communications and information ministry into the Communications and Digital Ministry to improve digital governance in the country, the police have arrested a number of officials at the new ministry for their alleged role in online gambling.

President Prabowo Subianto has issued a new Government Regulation (PP) to forgive loans from state-owned banks for individuals and micro, small and medium enterprises (MSMEs) in sectors like farming, fisheries and plantations, as in select industries including clothing, food and the creative economy. The new regulation is expected to boost business growth for debtors in these sectors and industries, and also presents a potential political advantage for the current administration, at minimal cost.

With the financial constraints facing President Prabowo Subianto in running the country and his bid to fulfill his campaign promises, the government has welcomed initiatives intended to ease its burden. Nevertheless, the helping hand may cost the government in the future as there is no such thing as a free lunch or good Samaritans, especially in politics.

The National Solidarity Movement (GSN) was formed earlier this month apparently to serve as a political safety net for President Prabowo Subianto. The organization, which is neither a social movement nor a political group, will consolidate Prabowo’s volunteers and supporters, from the grassroots to politicians, including members of the Red and White Cabinet.

In a landmark ruling, the Constitutional Court has instructed lawmakers to draft a new manpower law, striking down 21 articles in the contentious Job Creation Law that aimed to replace it. This decision underscores persistent challenges and legislative inconsistencies within the omnibus law, which was designed to revise over 70 laws.

Gerindra politician Simon Aloysius Mantiri was recently appointed as the new CEO of state-owned oil and gas holding company Pertamina, followed by two other Gerindra politicians on the board of commissioners, one of them as chief commissioner. Their appointments reflect a change of Pertamina’s leadership from being led by professionals to now being dominated by political figures, which raises concerns as Pertamina faces heavier challenges with declining oil production amid President Prabowo Subianto’s energy self-sufficiency target.

Joko “Jokowi” Widodo may have ceased to be president as of Oct. 20, but he apparently still exercises some power and influence over the new government, as evidenced by the corruption prosecution against Thomas Lembong, who briefly served as his trade minister.

President Prabowo Subianto has expressed his commitment to prioritizing food self-sufficiency for Indonesia, setting a five-year deadline to achieve this objective. However, Indonesia still faces many issues with its food supply as the country relies heavily on food imports to meet the needs of the hour, a challenge that many previous presidents have attempted to address to no avail.

In arresting retired senior Supreme Court official Zarof Ricar last week, the Attorney General’s Office (AGO) appears to have killed two birds with one stone. State prosecutors not only revealed alleged bribery in the controversial acquittal of a former politician’s son of murder charges in Surabaya, but also entrenched corruption within the country’s judicial system.

Indonesia has every reason to be skeptical about the prospect of the intergovernmental organization knowns as BRICS. Questions regarding its effectiveness in reforming the global financial system still abound, as well as whether it is too much of an anti-West group led by China that would not necessarily serve Indonesia’s national interests.

Jakarta voters will decide their leaders for the next five years during the simultaneous regional elections on Nov. 27. The upcoming race will feature an independent contender known to peddle conspiracies, a former West Java governor backed by the bloated government coalition and a former minister endorsed by the Indonesian Democratic Party of Struggle (PDI-P).

President Prabowo Subianto has ordered his ministers to rescue publicly listed PT Sri Rejeki Isman (Sritex), the biggest textile company in Southeast Asia, after a commercial court in Semarang, Central Java, declared bankruptcy. Sritex’s rescue comes after a sequence of downfalls of many other textile companies.

Following their inauguration, members of President Prabowo Subianto’s Red and White Cabinet joined a boot camp at the Military Academy in Magelang, Central Java, which was aimed at building a team spirit before they started working together. It was claimed the retreat was important to create a shared understanding among the plus-size cabinet to stay in tune with Prabowo’s governing vision.

The recent formation of the National Police’s Corruption Eradication Corps (Kortas) by then president Joko “Jokowi” Widodo a few days before he stepped down on Oct. 20 has sparked a discourse about its potential to reshape the country’s antigraft campaign.