Vale Canada, a subsidiary of Brazilian mining firm Vale, and Sumitomo Metal Mining (SMM), a unit of Japanese conglomerate firm Sumitomo Group, have finally agreed to divest parts of their stake in Vale Indonesia (INCO) to Indonesian state-owned mining holding company Mineral Industri Indonesia (MIND ID). The initial deal was inked with the signing of a Head of Agreement (HoA) on the sideline of the 2023 Asia-Pacific Economic Cooperation (APEC) Leaders’ Meeting, bringing MIND ID to be one step closer to becoming INCO’s controlling shareholder.

The campaign teams of the presidential and vice presidential candidate pairs are confident they can win the Feb. 14, 2024 race in only one round. However, although one of the tickets, namely Prabowo Subianto and his running mate Gibran Rakabuming Raka, slowly approaches the 50 percent mark in opinion surveys, experts maintain that the presidential election will most likely carry on to a runoff.

The Transportation Ministry has confirmed that wheel wear on the Greater Jakarta LRT system, resulting in the cancellation of 103 trips daily, was caused by design flaws in the rail tracks, particularly on tight, narrow curves that do not comply with Transportation Ministry Regulation No. 60/2012. Instead of rectifying the problematic rail designs on curves, however, the ministry is currently planning to revise the regulation to accommodate the existing rail designs.

The integrity of the 2024 general election has been undermined by the recent decision to retain six justices on the Constitutional Court even though they have been found guilty of having committed ethics breaches when they issued a recent ruling related to the presidential election.

The plan to extend the Whoosh! high-speed rail (HSR) to Surabaya is entering its early stages. The route extension, which currently only connects Jakarta and Bandung, is necessary to increase the high-speed public transport utilization from its current state. However, there are concerns regarding the possible downsides from continued partnership with China to develop the project, as well as calls for a more thorough feasibility study on the extension plan.

The increasingly estranged relationship between President Joko “Jokowi” Widodo and the Indonesian Democratic Party of Struggle (PDI-P), the largest party in his coalition government, in the run up to the February general election will likely undermine the way he governs the country for the remaining 11 months of his term.

The Indonesian government is planning to kickstart the early retirement of its coal-fired power plants (CFPP) ahead of the upcoming 2023 UN Climate Change Conference (UNFCCC COP 28), amid the slow disbursement progress of promised foreign funding. Captive CFPPs for metal processing is said to be the obstacle to the implementation of the Just Energy Transition Partnership (JETP) worth US$20 billion.

President Joko ‘'Jokowi'' Widodo is consolidating power around himself ahead of the 2024 elections by nominating his confidante, newly installed Army Chief of Staff Gen. Agus Subiyanto to replace Adm. Yudho Margono as the Indonesian Military (TNI) commander due to retirement. The President is also reportedly replacing State Intelligence Agency (BIN) chief Budi Gunawan with former Army chief of staff Gen. Dudung Abdurachman.

The announcement of Prabowo Subianto and Gibran Rakabuming Raka as the last presidential candidate pairing to be registered with the General Elections Commission (KPU) reveals a cold antagonism between sitting President Joko ‘’Jokowi’’ Widodo and former president and party matron Megawati Soekarnoputri, which could go on long beyond the 2024 elections.

After reaping profits at the height of the COVID-19 pandemic, Indonesia’s pharmaceutical industry is now facing a weakening economy. State-owned pharmaceutical companies have been hit hardest, with problems that include significant debt, expired vaccines and a high risk of bankruptcy. Private pharma companies, meanwhile, have booked positive performances.

The Indonesian Democratic Party of Struggle (PDI-P), the victor of the 2019 general election, has finally declared Mahfud MD to be the running mate of the party’s presidential candidate Ganjar Pranowo for the 2024 election. That declaration, made amid President Joko ‘’Jokowi’’ Widodo’s shaky support for his fellow PDI-P member, was seen as the PDI-P asserting its confidence even if Jokowi eventually supports rival presidential contender Prabowo Subianto.

State-owned energy company PT Pertamina has quietly received a state capital injection (PMN) of Rp 3.37 trillion (US$40.47 billion), based on a presidential regulation (PP) signed on Oct. 3. Pertamina has received this PMN to fortify the state-owned enterprise's (SOE) capital structure as well as to fund the capacity of its business activities. Interestingly, the SOE received this PMN through PP No. 48/2023 on PMN allotment to PT Pertamina. The use of the presidential regulation means that the PMN was given solely through the President's authority without getting approval by the House of Representatives.

The police are investigating Corruption Eradication Commission (KPK) head Firli Bahuri over allegations of extorting Rp 1 billion (US$65,000) from Agriculture Minister Syahrul Yasin Limpo to halt a corruption probe into the cabinet minister.

Indebted state-owned publicly-listed construction company PT Waskita Karya Tbk (WSKT) has caused jitters on the stock market after defaulting on Rp 941.75 billion (US$60.38 million) worth of bonds. The State-Owned Enterprises Ministry scrambled to save Waskita by forcing state banks to agree to the company’s 10-year restructuring plan, but private bondholders rebuffed the plan. Waskita’s fate is now uncertain.

Corruption allegations dealt a heavy blow to the NasDem Party for the second time, just over four months ahead of the presidential election. Coordinating Political, Legal and Security Affairs Minister Mahfud MD said on Wednesday that the Corruption Eradication Commission (KPK) had named Agriculture Minister Syahrul Yasin Limpo a suspect over alleged malfeasance. The news came after KPK investigators searched Syarul’s official residence and office in Jakarta, as well as his houses in Makassar, South Sulawesi, while he was on a working visit to Europe last week.

Negotiations are under way for Starlink, a satellite-based broadband service owned by billionaire Elon Musk, to operate independently in Indonesia and provide internet services directly to Indonesian consumers. However, reaching a deal has become a challenge as Starlink must first meet local terms and conditions already set in place.

President Joko “Jokowi” Widodo now has a political party he can call his own after his youngest son Kaesang Pangarep took control of the Indonesian Solidarity Party (PSI) this week, only three days after he was inducted as a member. This prepares the ground for the incumbent to continue exercising some control over the 2024 presidential election, in which he is constitutionally barred from running after serving two five-year terms, and to remain active in politics after he steps down in October next year.

The expansion of the Balikpapan oil refinery in East Kalimantan belonging to state-owned oil and gas holding company Pertamina has suffered a massive 30 percent cost overrun and a further delay to its completion. The Balikpapan refinery expansion is one of the few progressing refinery expansion and development projects mandated by President Joko “Jokowi” Widodo to reduce dependency on fuel imports, and yet it has suffered delays.

Two Islam-based parties could not be more different than the National Mandate Party (PKB) and the Prosperous Justice Party (PKS), yet they have joined hands in nominating former Jakarta governor Anies Baswedan as their presidential candidate for next year’s election. Should Anies goes on to win, the PKB and PKS will be fighting it out in determining the extent to which Islam is going to be a factor in influencing the policies of the new government.

The government, in an attempt to rein in rising rice prices, has employed various instruments such as social assistance (Bansos) programs and market operations to flood the market with rice from the national reserves. However, rice prices have skyrocketed above initial projections made several months ago when the plan was drafted. As of Sept. 12, average retail prices of rice reached Rp 12,740 (US$83 cents)/kilogram and Rp 14,390/kg for medium rice and premium rice, respectively. Market experts now estimate that the government needs to disburse several times more rice than what has been allocated.

Winning votes in East Java, among other key provinces, will be a deciding factor in the upcoming presidential election, as it was in the last two races. Because the province is a stronghold of Indonesia’s largest Muslim organization, Nahdlatul Ulama (NU). Anies Baswedan has turned to National Awakening Party (PKB) leader Muhaimin Iskandar as running mate in the hope of winning this big voting bloc.

Five state-owned corporate venture capitals (CVCs) have formally launched the Merah Putih Fund, raising US$300 million in its first fundraiser targeting “soonicorns”, or start-ups expected to soon become unicorns.

The country’s political landscape has changed after the announcement that former Jakarta governor Anies Baswedan will partner with National Awakening Party (PKB) chairman Muhaimin ‘’Cak Imin’’ Iskandar as presidential and vice-presidential candidates. The Coalition of Change for Unity, which has until now opposed the current government and has selected Anies as its presidential candidate, has moved closer to President Joko “Jokowi” Widodo’s policy lines, turning the 2024 presidential election into a race among the “President’s men”.

After several delays and subsequent controversies, the Greater Jakarta LRT finally commenced official commercial operations on Monday. Within three days of operation, however, the LRT has encountered a series of issues, including train delays, train door malfunctions and sudden power outages leading to abrupt train stops. These operational problems have added to an array of controversies that have clouded the development of the LRT.

Indonesia made the point of attending the summit of the club of emerging economies known as BRICS in South Africa last week, but it politely turned down an invitation to join the group, which is expanding its membership to strengthen its hand in managing global economic affairs.

For the last year of his final term in office, President Joko “Jokowi” Widodo has set ambitious targets in terms of economic growth, poverty reduction, job creation and reducing inequality, using the state budget as an instrument to achieve these. And yet, the budget continues to be burdened by rising debt and ballooning contingency allocations related to infrastructure projects.

President Joko “Jokowi” Widodo and Megawati Sukarnoputri, the chair of the Indonesian Democratic Party of Struggle (PDI-P), the largest party in the coalition government, have sharp and probably irreconcilable differences in their approaches to the 2024 presidential race. Jokowi, a member of the PDI-P, appears to be supporting Defense Minister Prabowo Subianto of Gerindra, another coalition member party. Meanwhile, Megawati has named Central Java Governor Ganjar Pranowo as the PDI-P candidate.

President Joko “Jokowi” Widodo’s policy to develop the country’s mineral downstream industry, especially for nickel, is once again facing scrutiny after senior economist Faisal Basri called out the policy for benefitting other countries, especially China, more than Indonesia. Jokowi refuted Faisal’s claims, sparking a series of counterarguments from his camp in defense of the policy.

The Golkar Party and the National Mandate Party (PAN) have finally decided to ally themselves with the Gerindra Party and the National Awakening Party (PKB) to support Prabowo Subianto in his presidential bid. This makes Prabowo the current presumptive presidential candidate with the biggest political backing, which could translate into a better chance of winning the 2024 race.

Jakarta’s Light Rail Transit (LRT) system has once again sparked controversy due to criticism regarding design flaws and the presence of 31 trainsets with varying specifications. This has added to a myriad of issues plaguing the LRT project, which has the potential to further postpone the planned commercial operation start date of August 18, 2023, and escalate the project's financial cost.