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Hello reader,

Our VP Gibran is not having the best of times. The 37-year-old is now dealing with calls for an impeachment, as well as accusations that he followed a gambling account on Instagram. With his alleged murky online history, should he really be allowed near a device?

But there’s an explanation for everything, as you’ll see below. Also below, you’ll find more of the day’s top stories in Indonesia, including a pessimistic outlook on our economic growth. Sigh.

Cheers,

Andra

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Law/Politics  

• A group of retired military officers has formally urged the House of Parliament (DPR) to begin impeachment proceedings against Vice President Gibran Rakabuming Raka, citing alleged legal violations in his election. The letter, signed by four retired generals and sent on May 26, was confirmed received by the DPR, People’s Consultative Assembly (MPR), and Regional Representatives Council (DPD). The forum, which includes hundreds of retired officers, claims Gibran’s nomination process broke constitutional norms. In response, top officials including President Prabowo Subianto's adviser Wiranto acknowledged the protest but emphasized respect for democratic expression. However, parliamentary leaders, former President/Gibran’s father Joko Widodo, and the Golkar Party firmly stated that Gibran was elected constitutionally and has committed no impeachable offense, leaving no legal grounds for removal.

• The Presidential Palace has responded to a viral screenshot showing Gibran’s Instagram account, @gibran_rakabuming, appearing to follow an online gambling account. A digital audit by the Vice President’s media bureau revealed that the gambling-linked account had changed usernames seven times since being created in November 2022, suggesting it was originally not associated with gambling content. Gibran reportedly followed the account before its identity and content shifted. The Palace noted that such account transformations are common, often due to account sales or hacks. Gibran has since unfollowed the account, and it has been reported to the Ministry of Communications for immediate blocking.

• The Advocacy Team for Democracy (TAUD) has criticized the Jakarta Metro Police for procedural violations in naming 14 suspects from the May Day protest outside the DPR building. According to TAUD, the suspects were charged without sufficient evidence and were never questioned as witnesses before being declared suspects. They also alleged that some of the individuals experienced violence during their arrest, including beatings and forced confessions. TAUD is calling for the case to be dropped and a formal investigation termination letter (SP3) to be issued. Among those charged are Ethical Hacker Indonesia founder Teguh Aprianto and Universitas Indonesia (UI) student Cho Yong Gi. Police confirmed that four of the 14 suspects were paralegal and medical aid volunteers, accused of disobeying lawful orders during the protest.

• A murder case in Serang, Banten has been solved, revealing that the perpetrator was the victim’s own husband. Police confirmed that WP (37) killed his wife PS (35) in their home on June 1, and was arrested yesterday evening. According to the victim’s lawyer, inconsistencies in WP’s initial testimony raised suspicions, leading to his eventual confession. The motive appears to be a domestic argument sparked by accusations of infidelity. WP allegedly strangled his wife in a fit of rage after she jokingly accused him of giving money to another woman. He then staged a fake robbery and attempted suicide by hitting his head against a wall and tying a rope around his neck.

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Business/Economy

• Indonesia’s economic growth is expected to slow to 4.7% in 2025 and 4.8% in 2026, according to the Organisation for Economic Co-operation and Development (OECD), which had lowered its earlier forecasts. The OECD attributed the forecast to domestic policy uncertainty and ongoing global trade tensions. While easing inflation and lower interest rates are expected to support consumption and investment, weaker exports and fiscal ambiguity may weigh on growth. It noted that Indonesia’s inflation will likely stay moderate, but currency depreciation and a widening current account deficit pose risks.

• The Ministry of Finance has issued a revised regulation on the rules for passenger baggage imports and exports, effective June 6, 2025. This update clarifies customs and tax treatment for goods brought by travelers and transport crew, aiming to improve service, legal certainty, and simplify procedures. Under the rule, personal items valued up to US$500 are exempt from import duties, VAT, luxury tax, and income tax. Items exceeding that limit face a 10% import duty and 12% VAT, though personal items are still exempt from income tax. Non-personal goods incur 12% VAT and 5% import income tax. The regulation also formalizes exemptions, changes customs declaration procedures, outlines rules for goods brought by Hajj pilgrims, and strengthens the authority of customs officers.

• The Financial Services Authority (OJK) has issued a circular mandating a co-payment scheme for all health insurance products, requiring policyholders to cover at least 10% of each claim—capped at IDR 300,000 for outpatient care and IDR 3 million for inpatient care. The policy aims to reduce moral hazard and overuse of health services, ensuring more prudent insurance usage while keeping premiums affordable. The rule applies to both individual and group policies, and zero co-payment plans are no longer permitted.

• Trade Minister Budi Santoso confirmed that the integration of Tokopedia and TikTok Shop’s seller management systems does not violate Trade Ministry Regulation No. 31/2023, emphasizing that both platforms remain compliant and are not engaging in prohibited social commerce practices. While some Tokopedia sellers expressed frustration over being "forced" to sell via TikTok Shop and noted differing buyer habits between platforms, the integration is officially aimed at streamlining operations and improving efficiency through a unified Seller Center. Sellers retain the option to choose where their products appear—Tokopedia, TikTok Shop, or both—and are encouraged to complete the integration to avoid disruptions in their sales. 

Everything Else 

• While acknowledging that COVID-19 cases in Indonesia have seen a recent rise, Health Minister Budi Gunadi Sadikin advised the public to remain calm and not to panic. He explained that the current COVID-19 variants spreading in the country are relatively less deadly compared to earlier strains. According to the Ministry of Health, seven new COVID-19 cases were confirmed from specimen tests conducted in May 2025. The positivity rate stood at 2.05 percent for the period between May 25 and 31, meaning that roughly two out of every 100 people tested were found to be positive.

• The Education Fund Management Institution (LPDP) has responded to the US government's temporary suspension of student visa issuance by reaffirming its commitment to ensuring the continuity of education for its scholarship recipients. With 360 awardees planning to study in the US, some with visas already secured and others still in the application process, LPDP has prepared alternative solutions such as study deferrals, transfers to other universities, or temporary online learning. Additionally, strategic measures are in place to redirect students to top universities abroad or in Indonesia to ensure their education continues uninterrupted.