Indonesia Daily Brief (March 12, 2026)

TOP NEWS

• Reuters — Indonesia’s parliament has backed Friderica Widyasari Dewi and Hasan Fawzi to lead the Financial Services Authority (OJK), fast-tracking the appointments to stabilize markets and oversee governance reforms proposed to MSCI aimed at restoring investor confidence after recent market turmoil.
• Tempo — President Prabowo Subianto announced a firm warning to government officials to provide accurate, transparent data on Danantara’s performance, stressing that misleading or manipulated reports would not be tolerated as the sovereign wealth fund plays a central role in managing Indonesia’s state assets.

Domestic Politics and Economy

• The Jakarta Post — Finance Minister Purbaya Yudhi Sadewa announced that Indonesia is maintaining its first-quarter GDP growth target of 5.5–6 percent, supported by accelerated government spending, despite rising global uncertainty and energy price pressures linked to the Middle East conflict.
• Tempo — President Prabowo Subianto announced that Danantara Indonesia’s return on assets surged by more than 300 percent in 2025, highlighting the potential of consolidated and professionally managed state-owned assets to generate stronger economic value for the country.
• Tempo — Indonesia’s benchmark Jakarta Composite Index fell 0.69% to 7,389.40, as investors adopted short-term trading strategies amid heightened geopolitical uncertainty from the Middle East conflict and ahead of the upcoming Eid holiday.
• The Jakarta Post — Two former senior officials from Indonesia’s communications ministry have been sentenced to prison in a corruption case linked to the temporary national data center project, after a court found the procurement process had been rigged, causing an estimated Rp140.8 billion in state losses.
• Antara — Coordinating Minister for Infrastructure and Regional Development Agus Harimurti Yudhoyono (AHY) said the planned extension of the Whoosh high-speed rail to East Java will move forward only after the financial restructuring of operator KCIC and the resolution of its debt to China Development Bank.
• Antara — Chairman of the National Economic Council Luhut Binsar Pandjaitan said Indonesia’s fuel and LPG supplies remain adequate despite Middle East tensions, with the government coordinating with Pertamina and global suppliers to ensure stable energy availability.