Special climate and energy envoy Hashim Djojohadikusumo, President Prabowo Subianto’s younger brother, has revealed a proposal to distribute free smartphones to social assistance (Bansos) recipients, but Coordinating Economy Minister Airlangga Hartarto has denied its existence. The conflicting statements have raised questions about how the initiative came to be announced, particularly as the government pursues a separate program to open bank accounts for 200 million people.

The appointment of Suroso Isnandar as president director of state-owned electricity company PT PLN comes as the government steps up efforts to deliver its ambitious 100 gigawatt-peak (GWp) solar power program. Having previously overseen renewable energy projects at PLN, Suroso is well positioned to lead the initiative. However, delivering the program within its three-year timeline will be challenging, given Indonesia’s structural constraints on integrating variable renewable energy (NRE) into its electricity grid.

Nearly two years into his presidency, President Prabowo Subianto has moved decisively to tighten his grip on Indonesia’s two most powerful security institutions. A series of leadership changes at the National Police (Polri) and the Indonesian Military (TNI) this month have systematically reduced the residual influence of former president Joko “Jokowi” Widodo’s administration, realigning internal loyalties and strengthening presidential authority for the remainder of his term toward the 2029 elections.

A tax on sugar-sweetened beverages (SSB) is planned from the second half of 2027, the government has said, after making similar promises almost every year since 2022. The levy is expected to raise Rp 1.7 trillion (US$95 million), while diabetes care alone cost the national health insurance an estimated Rp 12.6 trillion in 2024. At its planned scale, the proposed levy risks falling short as both a public health measure and a revenue-generating instrument.

State asset fund Danantara plans to take several state-owned enterprises (SOEs) public in 2027, but whether the listings will attract investor interest remains uncertain. The companies have yet to be identified, and Danantara has pledged to conduct rigorous reviews before determining which are ready to enter the stock market. The key question, however, is whether the selected companies can offer sustainable returns and adequate investor protection, or whether the IPOs will serve primarily as a fundraising measure, leaving investors exposed to losses rather than potential capital gains, as previous cases suggest.

For nearly four months wildfires have ravaged Indonesia, exposing acute, systemic failures in government response and law enforcement. While the ongoing dry spell has exacerbated the crisis, suspected corporate land clearing by burning points to a deliberate, recurring practice that authorities have repeatedly failed to halt.

State-owned lender Bank Mandiri (BMRI) recently issued US$750 million in perpetual bonds, an uncommon instrument among Indonesian corporates, with an initial annual distribution rate of 7.35 percent. The issuance is intended to strengthen the bank’s capital base by bolstering its Additional Tier 1 (AT1) capital and supporting business expansion. However, it has also fuelled speculation that BMRI, along with other Himbara banks, may be facing mounting financial demands from their involvement in financing government programmes.

The controversy surrounding Vice President Gibran Rakabuming Raka has entered a new phase. Criticism of how he reached office is increasingly channeled into talk of impeachment. Paradoxically, the more it is discussed, the less likely it seems to happen. The mechanism exists, but the politics suggest its impact will be symbolic rather than institutional.

With three months left in the year, Indonesia has collected barely two-thirds of its annual tax target. The government now faces an uncomfortable choice over how aggressively to pursue the remainder and where to restrain spending. Every effort to balance the books carries consequences for businesses and people who depend on public services. Who will bear the cost if the government's revenue ambitions exceed its capacity to collect?

President Prabowo Subianto wants to revive Indonesia's struggling textile industry by establishing a new state-owned enterprise (SOE), potentially drawing on assets left behind by bankrupt textile giant Sritex. The plan comes amid factory closures, mass layoffs and mounting competition from cheaper imports. But with much of the industry's production capacity already underutilized, the government faces a difficult question: Will another state-owned company restore the industry's competitiveness or merely add to its problems?

The new Labor Protection Law, approved by the House of Representatives on Oct. 6, promises stronger severance entitlements, tighter dismissal rules and greater employment security. But stronger legal protections mean little if employers circumvent restrictions on temporary employment or fail to pay compensation. The real test of the new law lies not in its promises but in whether its provisions translate into effective protection for workers when their livelihoods are most vulnerable.

The inauguration of Suyudi Ario Seto as the new National Police (Polri) chief should be a chance to ask whether Polri can become a truly professional force. The early signals suggest it will not.

PT Nations Petroleum, an oil and gas company linked to businessman Hashim Djojohadikusumo, President Prabowo Subianto’s younger brother and special climate and energy envoy, has committed US$103.3 million to three years of work on the Natuna D-Alpha block, prompting questions over why the relatively new player is willing to take on such an ambitious bet.

The latest ruling by the Constitutional Court has raised far more questions than it has answered regarding the educational qualifications of Vice President Gibran Rakabuming Raka.

Bahlil Lahadalia’s latest appointment as coordinating downstream and energy transition minister gives him an unusually broad mandate, as he will also retain his position as energy and mineral resources minister, though the scope of the newly established coordinating ministerial post is yet to be clearly defined in terms of authority and jurisdiction. The arrangement seems to be in line with the government’s continuing prioritization of downstream industrial development, but raises a central question: Will the new post improve coordination on Indonesia’s downstream and energy transition agenda or simply add another layer of bureaucracy?

Indonesia wants to ride the global data center boom, betting that investment, skilled jobs and computing power for artificial intelligence will drive economic growth. But the cloud leaves its imprint on the ground: Data centers consume vast amounts of electricity and water and can expose surrounding communities to heat and noise. The question is whether the government will make this boom work for the public or leave communities to pay for it.

President Prabowo Subianto wants Indonesians to enjoy free education from kindergarten through university. Few would dispute the objective of making education more accessible. The harder question is how the government will pay for it. The state has yet to fully fund a Constitutional Court order to extend free compulsory basic education to private schools, even as Prabowo adds free university tuition to a budget already carrying increasingly expensive signature programs.

The government has formally changed how it manages its budget surplus funds (SAL), ending a nearly year-long debate over how the roughly Rp 400 trillion (US$22.4 billion) in surplus funds should be managed and put to use. Under Finance Ministry Regulation (PMK) No. 67/2026, excess government cash can now be placed with commercial banks or invested in government securities (SBN), giving the Finance Ministry greater flexibility in managing its cash.

The decision by PT Kereta Api Indonesia (KAI) to recall several electric trains produced by PT Industri Kereta Api (INKA) for its Commuter Line service adds to the challenges facing the state-owned rolling stock manufacturer, which is struggling with high debt and production constraints amid a planned merger with KAI. Meanwhile, government approval to import secondhand rolling stock from Japan provides a short-term solution to KAI’s train shortage. Such reliance on imports could persist unless INKA’s production capacity and the domestic rolling stock supply chain are strengthened.

Indonesia has once again been forced to confront an uncomfortable question: What happens to the principle of equality before the law once the courtroom doors close?

The House of Representatives is entering its most consequential electoral reform since 2017. As Commission II drafts a new Election Law for 2029, the fault line is already clear: the legislative threshold.

Indonesia's illegal cigarette trade has long deprived the state of revenue and undermined formal producers. Recent allegations that people linked to a House of Representatives legislator sold counterfeit excise stamps, however, suggest that illicit trade may also involve those with access to formal institutions. The case raises questions about how illegal cigarettes keep circulating through counterfeit branding, informal distribution and alleged collusion, even as authorities tighten enforcement and regulation.

Indonesia has barely had time to digest one high-profile corruption scandal before another has breached the surface, this time striking at the heart of the country's land administration. The latest case centers on the Agrarian and Spatial Planning Ministry/National Land Agency (BPN). A sweeping bribery probe by the Corruption Eradication Commission (KPK) has ensnared senior bureaucrats, a prominent property developer and multiple operatives identified as close associates of minister Nusron Wahid, a Golkar politician.

Indonesia’s economy has recently received a welcome piece of good news, with the latest state budget figures showing a sharp increase in tax revenue. Net tax revenue rose by a remarkable 24.1 percent year-on-year as of August 2026, reaching Rp 1.409 quadrillion (US$79 billion), or 59.8 percent of the full-year target. Finance Minister Suahasil Nazara attributed the increase to higher global oil and gas prices, strong domestic consumption and improvements in the Coretax system.

Bank Indonesia (BI) opted to keep monetary policy supportive of growth on Sept. 23, holding its benchmark rate at 5.75 percent despite the United States Federal Reserve’s rate hike a week earlier. The decision, Governor Destry Damayanti’s second consecutive hold, reflects BI’s expanded mandate to support economic growth and job creation. Rather than raising rates to defend the rupiah, BI strengthened incentives for investors to hedge their currency exposure, seeking to balance growth with exchange-rate stability.

The proposed acquisition of a 30 percent stake in PT Bayan Resources (BYAN) by Jhonlin Baratama has entered a new phase after both parties signed a conditional sale and purchase agreement. The deal follows weeks of uncertainty over Bayan’s production quota, which had forced three of its subsidiaries to declare force majeure while awaiting approval of their revised 2026 mining work and budget plans (RKAB). The timing of the acquisition, Bayan’s force majeure declaration and the subsequent approval of its revised production quota raises questions about the role of regulatory intervention in corporate outcomes.

The government’s flagship free nutritious meal program is facing an escalating crisis of public confidence as recurring food-poisoning outbreaks sweep the country. Yet despite mounting casualties, growing demands for accountability and urgent calls for a moratorium, the government has shown no intention of pausing the rollout.