Recent Economy News: Economic Growth, Policy, and Trends

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Jakarta Post
Economy premium

BI keeps interest rate unchanged despite external pressure

Bank Indonesia (BI) has kept its benchmark interest rate unchanged despite high global energy prices and a recent hike by the United States Federal Reserve (Fed), while relying on hedging to protect the rupiah.

6 hours ago
Economy premium

Gas supply drops to 78% in September, industry says

The restrictions have disrupted production with some business players reducing smelting activity, shutting production lines and furloughing workers.  ...

7 hours ago
Economy premium

EV two-wheeler sales slump as incentive hangs in limbo, industry warns

Electric motorcycles sales have fallen sharply from 70,000 units last year to only 18,900 until August this year, according to the Indonesian Electric Motorcycle Industry Association (Aismoli).   ...

1 day ago

The Latest

Economy

Higher for longer, tighter for banks

Global interest rates are also likely to remain relatively high, as the Federal Reserve raised the Fed Funds Rate (FFR) by 25 basis points to 3.75 percent-4 percent at its September 2026 meeting.

1 day ago
Economy premium

Pension still an afterthought for informal workers despite govt push

The government says pension fund coverage must be extended to include Indonesia’s massive informal sector and lift up the sluggish industry, but the push is constrained by low awareness and unstable incomes.  

1 day ago
Economy premium

Govt under pressure as 3 million home drive hits cracks

The Independent Housing Stimulus Assistance (BSPS), which helps homeowners renovate their houses, had reached only 32.5 percent of its 400,000-unit target for 2026 as of Sept. 17.

2 days ago
Economy premium

Govt settles remaining BLBI-related debt from 1998 crisis

The government has fully settled its remaining debt related to the Bank Indonesia Liquidity Assistance (BLBI) program issued during the 1997-1998 financial crisis, using Rp 55 trillion in Bank Indonesia surplus funds.

2 days ago
Economy premium

Ministry awards oil and gas blocks to Prabowo’s brother, Sinopec, others

PT Nations Petroleum, an oil and gas company under the Arsari Group, owned by Hashim Djojohadikusumo, the younger brother of President Prabowo Subianto, secured the Natuna D-Alpha working area through the direct offer mechanism.

2 days ago
Economy

US Treasury's Bessent, China's He to launch talks on AI, trade, critical minerals

United States Treasury Secretary Scott Bessent and Chinese Vice Premier He Lifeng are set to meet on Sunday to try to tee up potential agreements on AI, tariffs and critical minerals for a high-stakes Washington summit this week between US President Donald Trump and Chinese President Xi Jinping.

3 days ago
Economy premium

State revenue hits 65% in August, Suahasil vows budget credibility

State spending as of the end of August reached only 59.7 percent of this year's allocation as the new finance minister gears up to focus on fiscal continuity.

3 days ago
Economy

ASEAN to roll out upgraded trade pact ahead of schedule

This pact seeks to make it easier for businesses and consumers to transact across Southeast Asia, covering areas such as e-commerce, digital payments, cross-border data flows and cyber security.

3 days ago
Economy premium

Finance minister promises tax refunds for eligible businesses

Business association Apindo has pointed to delayed tax refunds potentially impacting cash flow and liquidity to affect companies' wider operations.

5 days ago
Economy

House discusses changes to fiscal deficit limit

The spending limits have come under the spotlight since President Prabowo Subianto ​took office in October 2024 after making costly campaign promises and setting an 8% economic growth target.

5 days ago
Economy premium

El Niño dries up hydropower lifeline in South Sulawesi

PLN detailed that the aggregate generation capacity of the hydroelectric plants fell from approximately 850 megawatts (MW) to 250 MW.

6 days ago
Economy

US Fed raises rates to tackle 'too high' inflation, irking Trump

The Fed's Federal Open Market Committee voted unanimously to raise rates by 25 basis points to between 3.75 and 4.00 percent.

6 days ago
Economy premium

El Niño chokes Indonesia’s coal exports as rivers run shallow

Citing data from the Shanghai Metals Market (SMM), Indonesia's coal exports totaled 36.10 million tonnes in August, down 23.34 percent year-on-year and 6.54 percent month-on-month, the lowest August level in five years.

1 week ago
Economy premium

Suahasil seen to prioritize fiscal discipline, continuity

The new finance minister is expected to favor predictable policy and tighter governance even as Prabowo pushes for growth.  

1 week ago
Economy

Purbaya says he was 'upset', but half expected removal

Known for his candor, Purbaya Yudhi Sadewa's tenure was marked by the fastest economic growth in three years, but also the widest budget deficit in over twenty years outside of the pandemic, and credit rating outlook downgrades by ratings agencies Fitch and Moody's.

1 week ago
Economy

Long-term sectoral growth patterns: What should we focus on?

The manufacturing sector’s contribution to GDP remains substantial, 19.1 percent in 2025, but its growth has lagged behind national growth, causing its share of GDP to decline over the past 15 years.

1 week ago
Economy

Prabowo sacks Purbaya, turns to familiar hand at Finance Ministry

Suahasil Nazara, former deputy finance minister, pledged after his inauguration to maintain a “healthy and credible” state budget.

1 week ago
Economy premium

Makassar fuel queues trigger WFH, rotating purchase policy

Truck refueling has also been shifted to the evening to ease congestion at gas stations.

1 week ago
Economy premium

Indonesia, China eye cooperation to boost 3 million homes program

The cooperation has formed a working group that includes representatives from BP Tapera and is set to report its survey findings for potential development sites by the end of September.

1 week ago
Economy

India's Modi and China's Xi push business links, border peace as ties revive

India and China's leaders pledged on Saturday to build up business and transport links, New Delhi said, as both rebuild ties badly damaged by a 2020 military clash on their disputed Himalayan border.

1 week ago
Economy

Trump says he would be OK with China building cars in US

A regulation imposed by former President Joe ​Biden's administration in early 2025 effectively bans all Chinese automakers from selling or building passenger vehicles in the US.

1 week ago
Economy premium

Budget can weather $100 crude amid renewed Iran tensions, govt says

Brent crude, the global oil benchmark, slipped to $104.77 a barrel on Friday after hitting $108 on Thursday, its highest level since May 19 and its biggest one-day jump in six weeks. 

1 week ago
Economy

India to push BRICS digital currency link

India is chairing BRICS this year, with leaders of the bloc set to meet in New Delhi on September 12 to 13. The Reserve Bank of India (RBI) proposed linking the countries' official digital currencies to facilitate cross-border trade, Reuters reported in January. 

1 week ago
Economy premium

Consumer confidence up as spending recovers slowly

Indonesian consumer confidence strengthened in August, buoyed by a more positive public assessment of the job market and household spending plans, though retail spending is recovering only slowly.

1 week ago
Economy premium

Volcanic eruptions take toll on economy

Indonesian authorities currently categorize six volcanoes as alert level 3, which signifies an increase in volcanic activity whereby eruptions may occur, just one step shy of the final level that describes a high likelihood of an imminent, substantially more dangerous eruption.

2 weeks ago
Economy premium

European businesses want ASEAN FTA despite bilateral trade progress

Indonesia was the second-most targeted ASEAN market for European business expansion, with 57 percent of respondents planning to expand operations there over the next five years, trailing behind Vietnam at 64 percent.

2 weeks ago
Economy

Oil prices climb as Mideast war flares

The yen strengthened towards the nearly seven-month high touched against the dollar on Tuesday as traders exited short positions in the Japanese currency amid expectations for faster Bank of Japan interest rate hikes and a potential rush of repatriation of Japanese capital.

2 weeks ago

Today's ePost

Wed, September 23, 2026

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