The House of Representatives is seeking to expand Bank Indonesia’s (BI) mandate to include economic growth and job creation, which analysts warn could conflict with monetary policy goals and motivate political interference.

The Attorney General’s Office (AGO) has handed over seized assets worth Rp 7 trillion from corruption cases involving mineral extraction to state tin miner PT Timah and state asset fund Danantara.

Finance Minister Purbaya Yudhi Sadewa has insisted on cutting the state budget allocation for the free nutritious meal (MBG) program if spending on the flagship initiative remains slow.   

In its ruling published on Oct. 2, the WTO has ruled in favor of Indonesia in its stainless steel dispute with the EU after finding that Brussels's countervailing measures were inconsistent with the trade body's SCM Agreement.

The government has lambasted the European Union’s decision to appeal a World Trade Organization (WTO) ruling supporting Indonesian biodiesel exports, arguing that the move went against the spirit of freshly elevated economic ties.

However, Finance Minister Purbaya Yudhi Sadewa has raised objections to the tax amnesty policy, arguing that it would not encourage businesses to become compliant taxpayers, as they would simply expect repeated leniency.

Under the new structure, BP BUMN will act as the sector’s regulatory agency, while Danantara will serve as the executor in charge of around 1,000 state firms and as guarantor for investment holdings.

Danantara has raised Rp 50 trillion through its first so-called patriot bond, with part of the proceeds earmarked for renewable energy and waste-to-energy projects. The company expects to launch initial tenders by the end of October.

The Public Housing Savings (Tapera) program is in limbo after the Constitutional Court struck down its legal basis, with judges declaring compulsory contributions from all workers and employers an unfair burden on both.

President Prabowo Subianto previously announced the plan as part of his administration’s economic stimulus package, which includes repairing 1,000 vessels of 30 GT and larger vessels of up to 2,000 GT for state-owned enterprises.

If passed in the coming days, the amendment would “effectively dissolve” the ministry and replace it with the new agency, although its duties would remain “largely the same,” the government stated.

Finance Minister Purbaya Yudhi Sadewa said on Friday he did not instruct state banks to raise their United States dollar deposit rate to 4 percent, and that the government was still considering what incentives to offer to bolster the domestic US dollar supply.

New regulation effectively designates state-owned electricity utility PLN as the sole aggregator for electricity imports and exports.

The proposal is part of a broader set of revisions to the SOEs Law, which is included in the 2025 Priority Legislative Program (Prolegnas).

The Finance Ministry has introduced a new subsidy scheme as the government struggles to make headway on its plan to build or renovate 3 million homes a year.

Minister Purbaya said he had also summoned e-commerce platforms, including Tokopedia and Blibli, urging them to prevent the sale of illegal cigarettes on their marketplaces.

The program, which aims to “link and match” new graduates with industries, will require a total budget of Rp 198 billion in its first stage of implementation.  

The Energy Ministry stated that the policy would be used only as a last resort, and only until the end of the year, if local fuel stocks of private retailers were critically low.

The House of Representatives has agreed on a key medium-term plan to shift the country’s growth strategy from debt-driven to revenue-driven.

It is part of the government’s broader economic package, its third this year, totaling Rp 16.2 trillion (US$974 million) and consisting of eight economic acceleration programs.

The Financial Services Authority’s (OJK) decision to simplify borrowing for micro, small and medium enterprises (MSMEs) is a calculated risk that requires stringent oversight to prevent a surge in bad loans.

The Trade Ministry has reinstated controls on ethanol imports to stabilize molasses prices and protect sugarcane farmers, while also issuing new rules on cassava to support domestic producers.

The agreement, to be signed in Bali, will bring Indonesia and the 27-member European bloc into closer economic ties.

Perpadi and expert observers point out that many rice millers have been unable to sustain operations as their margins narrowed due to delayed interventions and sweeping crackdownsm compounded by the State Logistics Agency (Bulog) continuing to stockpile grain at higher prices.

Calls for reform are being reinforced by Foreign Ministry warnings over a surge in cases involving migrant workers.

Even prior to Dony Oskaria’s appointment, analysts had suggested the removal of Erick Thohir could lead to the dissolution of the SOEs Ministry or its merger with Danantara.

The Financial Services Authority (OJK) has backtracked on plans to make cost-sharing mandatory in health insurance policies.

Spanning 2.5 million hectares across three national parks, the TRHS is a UNESCO World Heritage site recognized for its role in conserving biodiversity and protecting endangered species.

The government has said it will not renew the incentive scheme, which since 2024 has allowed automakers to import completely built-up (CBU) EVs without paying import duties, luxury tax or value-added tax (VAT).

Experts view the empty minister’s seat as evidence of the ministry’s waning purpose, as many of its former responsibilities have moved to Danantara, the country’s state asset fund now in charge of nearly 900 state firms.