2 Sep 2025 International Economy Protests in Indonesia highlight the country’s inequality; if prolonged, they could drag economic growth below 4.8% (Current Issue No.3599 Full Ed.) คะแนนเฉลี่ย คะแนนเฉลี่ย 5 stars 4 stars 3 stars 2 stars 1 star The protests in Indonesia have spread to key economic and tourism centers such as Jakarta, Bali, Surabaya, Bandung, and Sulawesi, following the government’s provision of a lump-sum housing allowance of IDR 50 million/month for Members of Parliament (MPs). This move has sparked public backlash amid a fragile economy and weak purchasing power, highlighting deep-seated structural issues of income inequality.Indonesia’s economy faces an increased risk of slowdown due to domestic uncertainty, with economic activities disrupted, particularly in Jakarta and Bali, which attract more than 65 percent of the country’s tourists and have been directly affected. Meanwhile, the money and capital markets have been volatile, and the Indonesian Rupiah has depreciated by nearly 1 percent within just days of the protests starting.KResearch assesses that if the protests persist for more than one month without the government being able to swiftly restore confidence, Indonesia’s economy in 2025 is likely to grow at less than the previous projection of 4.8 percent. This would further hinder economic recovery and make addressing domestic long-term inequality challenges even more difficult. View full article Login / Register Or Enter the code from the poll Annotation This research paper is published for general public. It is made up of various sources. Trustworthy, but the company can not authenticate. reliability The information may be changed at any time without prior notice. Data users need to be careful about the use of information. The Company will not be liable to any user or person for any damages arising from such use. The information in this report does not constitute an offer. Or advice on business decisions Anyhow. International Economy Indonesia Related Analysis View all 14 Mar 2018 International Economy Thailand must brace for trade disputes between the US, EU and China, etc. (Current Issue No. 2905) The US is pressing ahead with trade measures against trade partners globally. In addition to their new ‘safeguard tariffs’ on imported solar panels and large washing machines imposed early in 2018, and more recently on imported steel and aluminum, the US is now preparing to implement protectionist measures against Chinese products valued at around USD60 billion. This direction will likely add significant pressure to global trade, thus, KResearch views that all eyes should be closely kept on negotiations between the US and EU, both being among the largest economies in the world. 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