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Backgrounder
Tenggara Backgrounder June 20, 2025
POLITICS
The four islands dispute: An infringement of Aceh’s dignity
President Prabowo Subianto's much-anticipated intervention has seemingly eased tensions over the disputed Panjang, Lipan, Mangkir Gadang, and Mangkir Ketek islands, which had caused a feud between Aceh and neighboring North Sumatra.
Manpower Ministry skimming off expats on top of strict laws on their hiring
Indonesia's tough laws on companies employing foreigners has been further complicated by alleged embezzlement at a unit of the Manpower Ministry which oversees their administration. An ongoing probe into the scandal, however, may not lead to signific...
Dual roles of deputy ministers raise legal, ethical concerns
Some 25 deputy ministers in President Prabowo Subianto's bloated cabinet currently hold concurrent positions as commissioners in various state-owned enterprises (SOEs), which appear to be rewards for helping him win the presidential race last year. T...
BUSSINES & ECONOMICS
Indonesia RE export plan with Singapore, is PLN out?
After years of anticipation, Indonesia and Singapore have officially signed a MoU for renewable electricity exports. Energy and Mineral Resources Minister Bahlil Lahadalia and Singapore's Minister for Trade and Industry Tan See Leng on June 13 finali...
Prabowo’s allies lead SOEs while Danantara sidelines ministry
The recent appointment of directors and commissioners in Indonesia's SOEs saw the assignment of President Prabowo Subianto's allies, including retired and active-duty officers from the TNI and POLRI, along with fellow alumni of the elite Taruna Nusan...
OJK pushes for bank consolidation to boost financial sector efficiency
The Financial Services Authority (OJK) continues to drive efficiency in Indonesia's banking sector, which is experiencing slower growth this year. With too many players in the market, the OJK is encouraging greater consolidation among banks to streng...
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