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.

The Constitutional Court is asking what the urgency is for it to lower the minimum age for president and vice president from 40 to 35 years if the House of Representatives and the government, who make the electoral laws and regulations, have given their endorsements. It is also a question that many people in the country are asking.

The Indonesian government’s subsidy program for electric motorcycles has faced a slow uptake since it was first introduced on March 20. It is a blow to what was aimed to speed up the mass adoption of electric vehicles (EVs) in the country.

The resistance of the Indonesian Military (TNI) toward the arrest of its high-ranking officer and his aide by the Corruption Eradication Commission (KPK) in relation to an alleged graft case at the National Search and Rescue Agency (Basarnas) has reignited a debate over the military’s long-standing culture of impunity.

Recent developments in the investigation of a corruption case that has been blamed for contributing to a domestic cooking oil shortage last year has led to Coordinating Economic Minister Airlangga Hartarto being questioned by the Attorney General’s Office (AGO). Prior to Airlangga’s interrogation, three palm oil companies had been named new suspects in the case.

Airlangga Hartarto’s position as the chairman of the Golkar Party is currently treading precarious ground due to what is considered to be his lack of party leadership and maneuvering towards opposition presidential candidate Anies Baswedan. President Joko “Jokowi” Widodo’s trusted man Luhut Pandjaitan is touted to be the next chairman and direct the party to give support to Jokowi’s preferred candidate Prabowo Subianto.

President Joko “Jokowi” Widodo has tasked Communications and Information Minister Budi Arie Setiadi and Deputy Minister Nezar Patria with monitoring social media and electronic commerce (e-commerce) issues, including TikTok’s controversial Project S. The President plans to form a task force to manage said issues, as well as base transceiver stations and satellites, along with information and communications technology (ICT) issues in general.

President Joko “Jokowi” Widodo ordered his eighth Cabinet reshuffle earlier this week with just over a year left of his second and final term in office.

In another move of resource nationalism, the government through mining holding company MIND ID plans to acquire majority stake in the country’s largest nickel miner PT Vale Indonesia (INCO) in a bid to speed up the downstreaming of nickel industry in the country.

Indonesia always aspires to be a great nation as “Indonesia Raya”, the title of the national anthem, suggests. Now it is well on its way to become one. Its global profile is growing, earning accolades such accolades as the world’s third largest democracy, the largest democracy in the Muslim world and economically, on the current trajectory, it is rising in ranking, from the 16th largest economy to becoming the world’s top five in the next 20 years. But while rising as a middle power, a great sporting nation Indonesia is not likely to be.

Indonesian President Joko “Jokowi” Widodo instructed his ministers not to lose focus on establishing the country’s downstream industry in light of a recent recommendation from the International Monetary Fund (IMF) for the country to review its downstream policy and consider a phased elimination of the ban on nickel ore exports.

The passage of the omnibus health bill into law appears set to take place this month, notwithstanding a recent delay in the House of Representatives plenary vote.