Politics · Indonesia · 5 hrs ago
Prabowo backs proposal to redefine corruption around bribery
President Prabowo approved a study proposing a change to Indonesia’s definition of corruption.
National Economic Council chair Luhut Binsar Pandjaitan presented the study at a meeting in Jakarta on October 20.
It proposes focusing the definition on bribery instead of state financial losses.
Luhut said the proposal draws on the UN Convention Against Corruption, which Indonesia ratified through a 2006 law.
Indonesia’s existing corruption law also treats causing state financial losses as a corruption offence.
Luhut says that approach can make business decisions harder for companies, including Danantara, because ordinary business carries risks.
The proposal is intended to bring Indonesia’s approach closer to international standards, according to Luhut.
The sources do not say whether or when the law will change.
President Prabowo Subianto agreed to a National Economic Council study proposing a change to how corruption is defined in Indonesia.
The study would shift the focus from state financial losses to bribery, according to council chair Luhut Binsar Pandjaitan.
Luhut said the proposal aims to bring Indonesia’s handling of corruption in line with international standards.
He said the current approach can burden business activity because businesses carry risks, including those involving Danantara.
The study cites the United Nations Convention Against Corruption, which Indonesia ratified through a 2006 law.
- Who
- President Prabowo Subianto agreed to the study proposed by the National Economic Council, led by Luhut Binsar Pandjaitan.
- What
- The study proposes changing the definition of corruption to focus on bribery rather than state financial losses.
- When
- Luhut announced Prabowo’s agreement on October 20, 2026.
- Where
- At the Merdeka Palace in Jakarta.
- Why
- Luhut said the change would align Indonesia’s corruption enforcement with international standards and reduce burdens on business activity.
This story does not have two clearly opposing sides.
Indonesia ratified the United Nations Convention Against Corruption through Law No. 7 of 2006.
Luhut said Prabowo agreed to the National Economic Council’s study on redefining corruption.
- Proposal
- Focus corruption definition on bribery rather than state financial losses
- Proponent
- National Economic Council, chaired by Luhut Binsar Pandjaitan
- President
- Prabowo Subianto agreed to the study
- Date announced
- October 20, 2026
- Legal reference
- Indonesia ratified the United Nations Convention Against Corruption through Law No. 7 of 2006
4 sources
What people are saying
The president also agreed with the study made by the National Economic Council team on the definition of corruption, because it is important for corruption enforcement in Indonesia to meet international standards.
Every business has its own risks. I think this is important.