The incentives, announced on Monday, will partially waive luxury sales tax (PPnBM) for hybrid car purchases by 3 percentage points to a range of 3 to 9 percent from the initial 6 to 12 percent.

Apindo and other business associations say a 5 percent cut in loan interest rates for labor-intensive industries is insufficient to help employers stay afloat.

Bank Indonesia (BI) has refrained from cutting interest rates despite relatively low inflation as it focuses on buttressing the rupiah at a time when a strong US dollar is putting pressure on other currencies.

In October, the Treasury finalized rules effective Jan. 2 that will limit US investments in artificial intelligence and other technology sectors in China that could threaten US national security.

The government is proceeding with its plan of hiking value-added tax to 12 percent at the turn of the year but has announced multiple incentives to soften the blow for consumers.

The prototype reactor is to be delivered by South Korea in 2028 via sea route, with total investment for the project set to amount to Rp 17 trillion (US$1.06 billion), which would include a survey, research, technology transfer and infrastructure, among other things.

Public Housing and Settlements Minister Maruarar Sirait said the state budget alone is insufficient, with its current capacity covering less than 10 percent of the goal.  

The Agriculture Ministry has signed a collaboration deal to enlist military and police support in pursuit of food security, one of President Prabowo's key policy programs.

US President-elect Donald Trump's transition team is exploring ways to significantly reduce, merge, or even eliminate the top bank regulators in Washington, the Wall Street Journal reported on Thursday citing people familiar with the matter.

Business associations emphasized that challenges, such as providing geolocation data, would not be fully resolved by the delay alone, unless the government decide to give more support.

The move piles pressure on global tech giants such as Facebook-owner Meta Platforms and Alphabet's Google to pay publishers for content or face the risk of paying millions to continue operations in Australia. The rule to affect tech firms with local revenue over A$250 million. 

The EU and US are eager to get their companies to shift their focus from China to alternative emerging markets, particularly in ASEAN, but say regulatory uncertainty in Indonesia threatens FDI opportunities.

New President Prabowo offered a surprise commitment at last month's G20 summit to close hundreds of coal and fossil-fuel power plants by 2040, a bold pledge from one of the world's top coal producers and consumers.

The Financial Services Authority (OJK) and the government plan to gradually build a complete gold investment ecosystem, including a national gold council and hallmarking to ensure product authenticity.

Authorities in two Indian states that are driving its economic growth are drafting tighter workplace rules and inspections to protect white collar employees following the death of a young executive at global consultancy Ernst & Young (EY), which her family blamed on overwork.

The statement, posted on his social media platform Truth Social, did not offer further details. 

For more than one year the government has failed to relocate hundreds of Rempang Island residents to make way for what is promised to be the world’s second-largest glass and solar panel manufacturing site.

“This [move] highlights that there is no coordination between [ministries]," said Andry Satrio Nugroho of the Institute for Development of Economics and Finance (Indef).

The plan comes as the country is estimated to lose over 100,000 hectares (ha) of rice fields each year due to land conversion. Meanwhile, the country has projected it could only create 60,000 ha of new rice fields annually.

Following widespread backlash late last month on the government's plan to hike the VAT rate to 12 percent from Jan. 1, House Commission XI is proposing a selective implementation of the new rate to just luxury goods, both domestic and foreign.

The Industry Ministry has hinted at possibly expanding exemptions from the luxury sales tax and VAT to non-EVs in a bid to bolster the lagging car industry, though the announcement was short on details about the potential incentive.

The government will continue to “prioritize domestic interests” as long as energy transition technology remains expensive and the Indonesian economy is not yet strong, Energy and Mineral Resources Minister Bahlil Lahadalia said in a speech at the Indonesia Mining Summit.

While the organization raised its 2025 global growth forecast to 3.3 percent, it cautioned that "greater trade protectionism, particularly from the largest economies" poses a "downside risk" along with geopolitical tensions and high public debts.

The head of Indonesia’s state-owned electricity company noted that retiring coal-fired power plants ahead of schedule will incur significant expenses, including the cost of building renewable energy power sources with the same capacity and reliability as the retired facilities.

The European Commission in October proposed a 12-month delay until Dec. 30, 2025 after complaints from 20 EU countries, some companies and countries such as Brazil and Indonesia. EU governments backed the move.

A slew of Australia's most lucrative export commodities were effectively banned from China starting in 2020, as relations between the two nations started to fray.

In response to a rise in low-cost goods shipped in from abroad, the government has temporarily suspended imports of sheep carcasses and lamb meat to reduce pressure on local farmers and protect the country’s livestock businesses.

Hashim Djojohadikusumo, Prabowo’s top adviser and biological brother, said on Sunday that the Third Deputy Finance Minister Anggito Abimanyu is set to take helm of the planned body once it is established.

"We require a commitment... that they will neither create a new BRICS Currency, nor back any other Currency to replace the mighty US Dollar or, they will face 100 percent Tariffs," Trump wrote on his Truth Social website, referring to the grouping that includes Brazil, Russia, India, China, South Africa and others.

Washington is expected to further curb exports to Chinese semiconductor toolmakers and sales of certain chipmaking equipment, including products manufactured in Malaysia, Singapore and Taiwan, sources have told Reuters.