The Transportation Ministry will include ride-hailing motorcycles in the draft revision of Law No. 22/2009 on road traffic and transportation, covering two-wheeled passenger transportation, as well as motorcycle-based delivery of goods and food, with deliberations targeted for completion this year.

The concern follows West Java Governor Dedi Mulyadi’s decision to temporarily halt construction of a BDx data center in Jatiluhur, West Java, despite having attended the project’s groundbreaking ceremony on July 28. 

The Finance Ministry has announced mandatory belt-tightening in government institutions but at the same time insists that budget execution is on course to meet the fiscal plan for this year.

Labor unions hail the new legislation as a win for workers, thanks to more rigid arrangements on contract work, outsourcing, layoffs and severance payments.

Nickel prices fell to a year-to-date low of US$15,510 a tonne on Oct. 2, with further downside risks likely to hinge on Indonesia’s nickel supply policy, according to Fitch’s BMI Research.  

Forestry think-tank Auriga Nusantara estimates that forest loss in Indonesia surged by 66 percent in 2025 to 433,751 ha, its highest level in eight years, with more than 78,000 ha linked to food and energy self-sufficiency programs.

The Indonesia Stock Exchange (IDX) is cautiously reintroducing short-selling in equities in a move to improve liquidity on the local bourse, but the measure could have negative side effects unless it comes with stringent regulatory enforcement.

Analysts warned that the change could signal less emphasis on non-mineral industries such as textiles and footwear, while the energy transition could take a back seat when it conflicts with the government’s increasingly dominant downstreaming agenda.

Though details are still being ironed out, the subsidy plan aims to ease price-related pressures on soybean importers while ensuring their availability and affordability, including for consumers of tofu and tempeh.

The government targeted to finalize the bill before the end of October, following a Constitutional Court ruling on October 2024 that ordered the establishment of a new employment law separate from the Job Creation Law within two years.   

Despite the deadlock, lawmakers are still targeting Oct. 8, or sooner, to pass the bill before entering a recess that will last until next month.  

The government is rolling out a new stimulus package to support consumer spending and employment in the fourth quarter of 2026, with some measures to remain in place after the turn of the year.

The 2027 budget plan passed last week foresees the highest tax revenue relative to gross domestic product in the past decade, which the government aims to achieve without introducing new levies or hiking rates.

The 2027 State Budget Law passed Tuesday gives the finance minister authority to conduct examinations and special audits of state revenue collection, which companies worry may hold up tax refunds and hurt their cash flow.  

The RKAB approval process should follow the established fourth-quarter timeline to avoid any delays, which could impact miners' operational readiness, production planning and other related aspects alongside state revenue potential, two industry associations have stressed.

The Indonesian Employers Association (Apindo) pointed out issues faced by businesses, such as shifting investment toward capital-intensive industries and the declining capacity of several sectors to absorb jobs.  

The head of the state-owned battery holding company has urged stronger, more integrated policy support to streamline the nickel battery industry so it could better meet domestic demand and build resilience against foreign imports seeking to enter the local EV market.

Four small businesses and 25 Democratic-led states argue that the tariffs, applied to imports from 60 trading partners including the EU and China, far exceed the president's authority.

BPJS Kesehatan president director Prihati Pujowaskito said the agency had collected Rp 118 trillion in premiums as of September, while it had paid Rp 132 trillion in healthcare benefits, leaving a cash flow deficit of around Rp 14 trillion.

Leaders of the Indonesian Sugarcane Farmers Association (APTRI) have complained at the House of Representatives that sugar imports would keep prices depressed and put strain on an industry struggling to gain a footing.  

The Vanda Solar and Battery project in the Riau Islands is expected to be operational by 2029, but only if the Indonesian government issues its long-awaited electricity export regulation this year or by 2027, its developer has said.

Following last week's criticism of the government's delay in installing managers at Red and White Cooperatives, the Agrinas chief has asserted that co-op managers are employed at the state-owned agriculture firm.

A planned marketplace for the free nutritious meal program could end up centralizing the program’s supply chain without addressing underlying procurement and governance problems, economists have warned.

Southeast Asia’s largest economy will raise its local content requirement, also locally known as TKDN, for locally produced battery electric four- and two-wheelers to 60 percent from 40 percent on Jan. 1, 2027, before raising it to 80 percent in 2030 under Industry Ministry Regulation No. 6/2022.

The House is currently discussing revisions to Law No. 17/2003 on state finance, which has long been used to anchor annual budgets by limiting the deficit to 3 percent of GDP and accumulated debt to 60 percent of GDP.

The law requires products or restaurants without the certification in October to declare they do not comply with Islamic law, a step that could hit sales. In the absence of compliance, such products could be pulled from the market.

Newly-appointed Finance Minister Suahasil Nazara expressed appreciation for the proposal and said that DPD proposals would be a key topic in upcoming discussions with lawmakers on the 2027 state budget draft.