🎯 Main Takeaway

The current café trend in Southeast Asia is no longer limited to simply drinking coffee.

In major cities such as Jakarta, Bangkok, Ho Chi Minh City, Kuala Lumpur and Singapore, cafés have grown and evolved into workspaces, meeting places, tourist destinations, cultural landmarks and even symbols of the ever-expanding urban middle-class lifestyle.

Driven by a growing interest in speciality coffee, a digital lifestyle and exposure via social media, the Southeast Asian region is no longer merely a coffee producer. Instead, it is offering cultural experiences and flavours through café brands that are gaining recognition and achieving global acclaim.

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🔍 Why It’s on Our Radar

☕ Southeast Asia is building its own coffee culture
Indonesia and Vietnam are the world’s fourth and second-largest coffee producers, with Indonesia alone producing 12 million 60 kg bags in 2022/2023 (about 6% of global supply). But increasingly, high-quality beans are staying local—absorbed by specialty coffee networks, roasteries, and cafes across major cities. Coffee is no longer just an export commodity; it’s an experience, a community, and a lifestyle.

📈 The specialty coffee market is growing with the urban middle class
Urbanisation and rising purchasing power are driving demand for single-origin coffee and manual brewing methods. The global specialty coffee market is projected to grow from US$22.7 billion in 2026 to US$51.7 billion by 2033, signalling that premium coffee has significant room to grow. Cafes have become part of the region’s experience economy.

💯 Southeast Asian cafes are gaining global recognition
Singapore’s Apartment Coffee ranked #6 on the World’s 100 Best Coffee Shops 2026 list—the highest-ranked cafe in Asia. Indonesia’s Anomali Coffee also made the top 100 in the previous edition. Southeast Asia is no longer just following global coffee trends; it’s starting to shape them.

✈️ Cafes have become part of the travel experience
Cafe-hopping is now a tourist activity in its own right—from Bangkok’s Ari district to Bali’s coffee shops and Ho Chi Minh City’s egg coffee ritual. A city’s appeal is no longer defined solely by beaches, temples, or malls, but also by its social spaces: cafes, street food, night markets, and creative districts.

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🌏 Regional Snapshot: How Southeast Asians Made Cafés Part of Daily Life

Although they all have a growing café culture trend, each country offers a different ambience and story. Across Southeast Asia, cafés are becoming everyday social infrastructure—places where people work, meet, create, and spend their leisure time. Despite these differences, one common thread connects them all: cafés are increasingly embedded in the daily lives of urban communities.

🇮🇩 Indonesia - A blend of local coffee and modern lifestyle

In Indonesia, many cafes highlight the regional identity of coffee beans, from Gayo, Toraja, to Kintamani, while also offering comfortable spaces for working and gathering. In cities like Jakarta, Bandung, and Surabaya, cafes have become informal workspaces for students, freelancers, and startup employees. With relatively affordable prices, adequate internet, and a wide selection of speciality coffee, the work-from-café culture is becoming increasingly common.

🇸🇬 Singapore - Productivity and quality in one space

Although not a coffee producer, Singapore has managed to build one of the most advanced speciality coffee ecosystems in Asia. Additionally, space limitations have driven cafes to evolve into multifunctional places. Many young professionals utilise cafes for informal meetings, flexible work, or building professional networks. Cafes have become part of the work ecosystem and the increasingly integrated urban lifestyle.

🇹🇭 Thailand - Cafes as Destinations and Creative Spaces

In Thailand, cafes often become primary destinations, not just places to stop by. Starting from cafes with industrial designs, minimalist buildings hidden in small alleys of Bangkok, to coffee houses in Chiang Mai surrounded by mountains. Many popular cafes in Thailand have become tourist destinations in their own right due to their photogenic designs and concepts.

🇻🇳 Vietnam - When coffee culture meets the rhythm of the city

Unlike many other countries, coffee culture in Vietnam has been deeply rooted for decades. Vietnamese coffee traditions, from cà phê sữa đá to egg coffee, have become a strong foundation for the development of modern cafes and speciality coffee. Moreover, more and more workers and students are using cafes as places to study, work, or simply spend hours at the cafe. Coffee has become a part of the daily rhythm of society.

☕ Café List: Some of Southeast Asia’s Most Notable Cafés

🇸🇬 Apartment Coffee - Singapore

Apartment Coffee has become one of the influential names in speciality coffee in Asia. This café has even made it onto the list of the best cafés in Asia for two consecutive years and ranked #6 on the World’s 100 Best Coffee Shops list. Amid the trend of cafes increasingly relying on design and visuals, Apartment Coffee still prioritises product quality through brew quality, personal service, and an experience that makes customers feel as if they are enjoying coffee at a friend’s house.

🇲🇾 Story of Ono - Malaysia

Story of Ono, based in Petaling Jaya, is among the Southeast Asian cafes with the highest position on the World’s 100 Best Coffee Shops list, following Apartment Coffee. This cafe has successfully attracted the attention and interest of the international speciality coffee community due to its combination of high-quality coffee, a strong matcha menu, and minimalist space design.

🇵🇭 Yardstick Coffee - Philippines

Yardstick Coffee is one of the influential names in the local speciality coffee industry. Starting as an independent roastery, Yardstick Coffee has managed to develop into one of the most well-known coffee destinations in Manila and has made it onto the list of Best Coffee Shops in Asia 2026. The main attraction lies in coffee education, relationships with farmers and coffee bean suppliers, as well as efforts to introduce speciality coffee culture to a wider audience.

🇹🇭 Fika & Co. Cafe - Thailand

Thailand has long been known for its strong café culture, and Fika & Co. has become one of the latest examples to gain global attention. The inclusion of this café in the World’s 100 Best Coffee Shops list shows how Bangkok is increasingly being recognised as one of the centers of speciality coffee in Asia. This café is known for its balance between coffee quality, comfortable space design, and an atmosphere that supports the growing work-from-café culture in Bangkok.

🇮🇩 Anomali Coffee - Indonesia

As one of the pioneers of speciality coffee in Indonesia, Anomali Coffee plays an important role in introducing Indonesian coffee to a wider market. This café is known for showcasing various origins of Indonesian coffee, from Gayo to Toraja. Anomali helps elevate the diversity of Indonesian coffee and is the only Indonesian representative to be included in the World’s 100 Best Coffee Shops list in 2025.

🇻🇳 Cong Caphe - Vietnam

Not many coffee brands are as closely tied to their country’s cultural identity as Cong Caphe. With a design inspired by 1980s Vietnam and iconic menu items like coconut coffee, Cong Caphe has successfully transformed the coffee-drinking experience into a way for tourists to feel the nostalgic and local cultural side of Vietnam.

🌐 Bigger Picture

The massive café culture in Southeast Asia reflects a broader shift in the economy. As urban lifestyles continue to rise and cities become more digitally connected, consumers today are spending more money on experiences rather than just products. Coffee is one of the examples.

Before the café culture went viral, the economic value of coffee only came from the coffee beans that were harvested and exported. However, now the value of coffee has increased with branding, visual space design, hospitality, community, and the experience gained from a cup of coffee.

Southeast Asia is no longer just exporting coffee, but creating its own coffee culture.

📌 Bottom Line

The story of coffee in Southeast Asia is no longer just about what is grown on plantations. However, the story is now increasingly centred on what happens in cafes.

From Jakarta to Singapore, from Bangkok to Ho Chi Minh City, cafes have evolved into social spaces, workspaces, tourist destinations, and symbols of the region’s economic and cultural transformation.

🚀 Amid the growing speciality coffee market and changing urban lifestyles, café culture may become one of Southeast Asia’s most influential modern cultural exports in the coming decade.

🔗 Need More Angle?

• Cong Capche Our Story

• Food and Beverage Asia South East Asia’s cafe culture revolution: A blend of tradition, innovation, and technology

• Fulcrum SG Café Culture and Sustainable Development in Southeast Asia

• Grand View Research Specialty Coffee Market Size & Share | Industry Report, 2033

• Intelligence Coffee Asia’s coffee boom: the new centre of gravity?

• Perfect Daily Grind How specialty coffee is transforming Southeast Asian café culture

• Perfect Daily Grind Indonesia’s specialty coffee market is thriving

• Thaifex Horec Asia Southeast Asia’s Café Culture: Blending Tradition, Innovation, and Technology

• Time Out 13 Asian cafés make it to the World’s 100 Best Coffee Shops list

• Time Out Singapore’s Apartment Coffee is the number one coffee shop in Asia – for the second year in a row

• Tuktuk Box Coffee Culture in Southeast Asia

(DHM/BRZ/ELS)

🔍 Main Takeaway

The Hinrich Foundation reported that several Southeast Asian countries are recognized as part of an emerging nuclear power renaissance, especially in the development of small modular reactors (SMRs).

This region is also at the vortex of a geostrategic contest between the great nuclear powers, the United States and China, and involves several allies in East Asia and Europe, especially Russia.

Thus, the development of nuclear power would be an essential step to meet energy demand, especially after the crisis stemming from Middle East conflicts.

🤔 Why it Matters

• Southeast Asian countries are experiencing soaring energy demand, especially in electricity consumption, which increased by around 25%, even though 70-80% of their energy comes from coal and gas, according to a Boston Consulting Group report.

• Meanwhile, approximately 84% of oil and 83% of liquefied natural gas are transported through the Hormuz Strait, which Iran has closed due to Middle East conflicts.

It shows that Southeast Asia's reliance on fossil fuels is becoming increasingly vulnerable to its future.

Given that wars in the Middle East have weaponized energy imports, Southeast Asia needs to build energy independence, including by developing alternative, clean energy sources, such as nuclear power.

On the other hand, the advancement of digitalization and artificial intelligence would increase energy demand, as the development of data centers requires a massive supply of baseload energy, amounting to 945 terawatt-hours (TWh), according to the International Energy Agency (IEA).

⚡Nuclear Power Energy Superiority

• Nuclear power has the highest capacity factor of any energy source. This basically means nuclear power plants are producing maximum power of more than 91% in 2025. That’s about nearly 2 times more than fossil fuel, and almost 3 times or more reliable than wind and solar plants.

• Nuclear power plants require less maintenance than natural gas and coal plants, and reactors are also designed to operate for longer periods before refueling.

• Nuclear reactors produce electricity without releasing carbon dioxide and also reduce emissions from earlier stages. It makes nuclear energy rank amongst the cleanest power sources across the entire lifecycle.

• Unlike any other energy, nuclear power is also recognized as the safest one, considering the death rate from accidents and air pollution.

☢️ Southeast Asia Emerging Nuclear Power Countries

Several Southeast Asian countries have successfully completed Phase 1 of the International Atomic Energy Agency (IAEA) Milestones Approach—a three-phase framework that helps newcomer countries develop preparedness for a civilian nuclear power program—except Singapore, which is still in process.

Vietnam is the only country able to reach Phase 2 in the region, but Indonesia, Thailand, and the Philippines will follow. It means that SEA's nuclear capabilities are also potentially being developed further, including by deploying SMRs.

These ASEAN key member states are committed to strengthening the development of nuclear energy, including through cooperation with several partners:

🇮🇩 Indonesia

Capability Backgrounds:

• Indonesia hosts the most developed nuclear research in Southeast Asia, with several national research institutions, including the State Nuclear Research and Development Agency (BATAN).

• Indonesia is specifically targeting Generation IV technologies, such as High-Temperature Gas Reactors (HTGR) and Molten Salt Reactors (MSR).

• Indonesia’s government also aims to deploy the first SMRs by 2032 and to expand nuclear capacity to 45 gigawatts (GW) by 2060, mainly for electricity generation.

• This country has already completed Phase 1 of the Milestones Approach, though it has yet to proceed to Phase 2.

Cooperation Partner:

• 🇨🇳 China: A cooperation agreement was signed in 2016 to help in developing HTGRs in Indonesia.

• 🇩🇰 Denmark: Indonesia partnered with several Danish companies to co-develop thorium-fueled MSRs.

• 🇺🇸 United States: Indonesia signed an agreement with US Thorcon to co-develop thorium-fueled MSRs.

🇲🇾 Malaysia

Capability Backgrounds:

• The government had established the Malaysia Nuclear Power Development Steering Committee (MNPC) in 2011 and the Nuclear Energy Program Implementation Organization (NEPIO), as a requisite under the IAEA framework for a country to start a civilian nuclear power program.

• Malaysia also pursues the redevelopment of nuclear power after the MNPC was dissolved and Malaysia’s nuclear plans were indefinitely postponed in 2018.

• In 2025, Malaysia’s Minister of Economy, Rafizi Ramly, revived NEPIO to address the country's reliance on imported fossil fuels.

• Malaysia had embarked on Phase 1 of the IAEA Milestones Approach in 2017, supported by the MoU partnership-readiness with Japan and France.

• Malaysia is looking into SMR deployment and considering floating nuclear platforms, and targeted the first Nuclear Power Plant to be operational in 2031, also intended to embark Phase 2 of the Integrated Nuclear Infrastructure Review

Cooperation Partners:

• 🇯🇵 Japan: Malaysia-Japan expands nuclear energy cooperation, including reactor technology options, site selection, and business and institutional arrangements

• 🇺🇸United States: Malaysia gained US support to strengthen nuclear capabilities, including in areas of technical expertise, regulatory development, human capital training, etc.

🇵🇭 The Philippines:

Capability Backgrounds:

• The Philippines mothballed the Bataan Nuclear Power Plant in 1986 and did not seriously reconsider nuclear power until the late 2010s.

• During Rodrigo Duterte's administration, the Philippines advocated for nuclear energy to be part of its electricity mix. The government also issued an executive order to include nuclear energy as part of its plan to phase out coal-fired plants in 2022.

• Like Indonesia and Thailand, the Philippines also entered Phase I of the IAEA Milestone Approach.

• Considering SMR’s development, President Ferdinand Marcos Jr. passed the Philippine National Nuclear Energy Safety Act to establish the Philippine Atomic Energy Regulatory Authority (PhilATOM) as an independent regulatory body for nuclear energy and radioactive materials

Cooperation Partners:

• 🇨🇦 Canada: The Philippines formalized a partnership with the Saskatchewan provincial government, which focused on joint Nuclear Engineering curricula, training TESDA educators, and technical cooperation.

• 🇰🇷 South Korea: The Korean nuclear authority has been awarded a contract to study the possibility of rehabilitating the Bataan Nuclear Power Plants, which were initially designed to provide stable baseload electricity to its capital, Manila.

• 🇺🇸 United States: The “123 Agreement” between the US and the Philippines allows active collaboration to strengthen regulatory frameworks and support Small Modular Reactor (SMR) Technology.

• 🇦🇪 United Arab Emirates: Under the Emirates Nuclear Energy Corp. (ENEC), the UAE is cooperating with the Philippine government to share operational experience, as hundreds of Filipino professionals currently work at the Barakah Nuclear Plant

🇸🇬 Singapore:

Capability Backgrounds:

• The government established the Singapore Nuclear Research and Safety Initiative (SNRSI) in 2014 to conduct research in radiochemistry, radiobiology, and nuclear safety analysis to support the government’s capacity-building efforts in nuclear safety.

• Singapore released its energy roadmap in 2022, which included assessing nuclear as one of the four switches in its energy transition strategy. Singapore also committed S$10 billion to the Future Energy Fund.

• Singaporean planning to embark on an integrated nuclear infrastructure review (INIR) mission in 2027 as part of its participation in Phase 1 of the IAEA Milestones Approach.

Cooperation Partners:

• 🇺🇸 United States: Singapore signed a “123 Agreement” and is approved as a Generally Authorized Destination for U.S. civil nuclear tech exports. Singapore also had research partners with the Idaho National Laboratory and Battelle Memorial Institute.

• 🇬🇧 United Kingdom: Singapore signed an agreement with the United Kingdom’s Office for Nuclear Regulation to develop a nuclear regulatory cooperation and technical training agreement.

🇹🇭 Thailand:

Capability Backgrounds:

• Thailand established the Office of Atomic Energy for Peace (OAP) in 1961 as a regulator of nuclear research. Then completely conducted Phase 1 of the INIR mission as part of the IAEA Milestones Approach in 2010.

• Like Malaysia, Thailand also scrapped nuclear development by 2018 due to local protests. Then it was reintroduced into the Power Development Plan in 2024 to meet energy demand and align with the global trend toward SMR adoption.

• Thailand aims to power its growing data center sector with SMRs, though there is no target timeline for their first deployment.

Cooperation Partners:

• 🇨🇳 China: Thailand partnered with the Chinese Academy of Sciences to build the Tokamak-1, supporting ongoing nuclear fusion and plasma physics research.

• 🇰🇷 South Korea: Korean and Thai energy authorities activated a Memorandum of Understanding to explore SMR options, share safety interpretations, and provide personnel training.

• 🇺🇸 United States: Through the “123 Agreement,” the US helps Thailand embark on capacity-building initiatives such as the Foundational Infrastructure for the Responsible Use of SMRs Technology (FIRST) program.

🇻🇳 Vietnam:

Capability Backgrounds:

• Vietnam incorporated nuclear energy into the Power Development Plan (PDP), which led to the enactment of the general law and the establishment of a comprehensive legal and regulatory framework.

• Currently, Vietnam is the only Southeast Asian country to have successfully reached Phase 2 of the IAEA Milestones Approach.

• The Vietnam National Assembly revived the nuclear power plan in 2024, effectively reinstating nuclear energy in the national PDP, whilst passing the Law on Atomic Energy in 2025.

Cooperation Partners:

• 🇷🇺 Russia: Vietnam and Russia are cooperating to build the Ninh Thuan 1 plant, scheduled to be operational in 2031, which will utilize two Russian-designed VVER-1200 pressurized water reactors and feature a joint Center for Nuclear Science and Technology in Dong Nai.

• 🇺🇸 United States: Under the established Civil Nuclear Cooperation Agreement, U.S. firms are assisting Vietnam with nuclear safety systems, digital controls, and Small Modular Reactors (SMRs).

🌏 Southeast Asia Nuclear Development Greatest Partners

🇨🇳 China:

This East Asian nation has emerged as a strong competitor, capable of building reactors at a significantly lower cost thanks to its self-sufficient domestic supply chain, whilst aggressively promoting its Linglong SMR technology and waste management solutions similar to those of Russia

🇷🇺 Russia:

Russia wields dominant influence as the largest exporter of nuclear technology, controlling over 40 percent of the global uranium supply, whilst offering a Build-Operate-Own (BOO) model and guarantees for the take-back of spent fuel, which are highly attractive to new entrants

🇺🇸 United States:

The United States is relying on its technological leadership in small modular reactors (SMRs) through private-sector/Big Tech funding and strategic partnerships with allies to overcome the challenges of high costs and the limitations of its current supply chain

📌 The Bottom Line

Southeast Asia’s nuclear renaissance is a strategic pivot toward energy independence and decarbonization to meet surging digital and industrial demands. By adopting Small Modular Reactors and navigating geostrategic competition between global powers, the region is effectively addressing fossil fuel vulnerabilities.

As nations advance through IAEA milestones, nuclear energy will provide the reliable, clean baseload power necessary for the region’s long-term economic resilience.

📰 Need More Angles?

Boston Consulting Group Unlocking Green Energy Growth: Why Southeast Asia’s Power Market Need Reform

Clean, Affordable, and Secure Energy (CASE) for Southeast Asia Managing Energy Volatility: An Overview of Policy Responses Across Southeast Asia

Hinrich Foundation Going Nuclear: Statecraft, Security, and Safety in the Race for Asia’s Nuclear Energy Future

IAEA Five Reasons the Clean Energy Transition Needs Nuclear Power

Our World in Data What are the safest and cleanest sources of energy?

Recessary Nuclear energy renaissance in Southeast Asia: A role for China?

US Department of Energy Nuclear Power is the Most Reliable Energy Source and It’s Not Even Close

US Energy Information Administration Electric Power Monthly

(ADE/QOB)

📌 The Main Takeaway

The World Bank has reclassified Vietnam and the Philippines as upper-middle income economies in its latest income classification, released on 1 July 2026 based on 2025 Gross National Income (GNI) per capita.

While both crossed the same threshold, Vietnam did so through export-led industrial expansion, while the Philippines advanced through broad-based growth across its economy.

📈 Why It Matters

• 🌍 Beyond a Label: Upper-middle income status signals stronger economic capacity and deeper global integration, but it does not mean a country has become a “developed” nation.

• 💰 Global Benchmark: The classification influences how governments, investors, credit rating agencies, and multilateral lenders assess a country’s economic standing, financing needs, and risk profile.

• 📉 A New Trade-off: Moving beyond lower-middle income may reduce access to concessional financing, requiring countries to rely more on domestic resources and market-based funding.

• 🌐 More Than Statistics: Income classifications are widely used as a reference by policymakers, investors, and development institutions around the world.

🏦 The World Bank Countries Classification

• 📅 Annual Update: The World Bank revises country income classifications every 1 July using the latest available GNI per capita data.

• 📊 The Method: Rankings are based on Gross National Income (GNI) per capita calculated through the Atlas Method, which reduces the impact of exchange-rate volatility.

• 🌍 Four Income Groups: Economies are classified as low, lower-middle, upper-middle, or high income.

• 💵 2026 Threshold: Economies with a GNI per capita between US$4,636 and US$14,375 are classified as upper-middle income.

• 📌 What It Measures: The system tracks income levels, not overall development outcomes such as inequality, education, healthcare, or governance.

• 🔄 This Year’s Results: Of 218 economies, five advanced to upper-middle income, one moved from low to lower-middle income, and none were downgraded.

✨ Key Highlights

• 🌍 Five countries moved into upper-middle income, with no economy downgraded.

• 🇻🇳 Vietnam recorded one of Asia’s fastest growth performances to secure the upgrade.

• 🇵🇭 The Philippines returned after narrowly missing last year’s threshold by US$26.

🇻🇳 Vietnam: Export-Led Growth Continues to Deliver

• 📈 New Status: Reclassified from lower-middle to upper-middle income after its 2025 GNI per capita reached US$4,970, up from US$4,490 in 2024.

• 🚢 Export Boom: Merchandise exports expanded by more than 15% in both 2024 and 2025, underscoring the strength of its export-oriented manufacturing model.

• 🏭 Manufacturing Powerhouse: Electronics, machinery, smartphones, textiles, and footwear remain among Viet Nam’s leading exports, cementing its role in global supply chains.

• 📊 Rapid Growth: GDP grew by 7% in 2024 and 8% in 2025, making Viet Nam the fastest-growing economy in Southeast Asia last year.

• 💰 Rising National Income: Gross National Income increased by an average of 10% annually between 2021 and 2025, one of the strongest sustained growth performances in the region.

• 🎯 Looking Ahead: The government aims to sustain 10% average annual GDP growth through the rest of the decade as it pursues high-income status by 2045.

🇵🇭 The Philippines: Broad-Based Growth Across the Economy

• 📈 New Status: Reclassified from lower-middle to upper-middle income after recording a 2025 GNI per capita of US$4,850, up from US$4,470 a year earlier.

• 😮 A Narrow Miss: The Philippines missed last year’s upper-middle income threshold by just US$26, making this year’s upgrade especially notable.

• 📊 Steady Expansion: Real GDP grew by an average of 5.8% annually over the past five years.

• 🏗️ Economy-Wide Growth: Expansion across industry, services, agriculture, construction, and domestic demand led the World Bank to describe the country’s progress as an “economy-wide shift,” rather than a commodity boom or export surge.

• 🏢 Services Lead: The services sector remained the Philippines’ largest economic engine, contributing roughly 62% of GDP while industry and construction also posted solid gains.

• 🧑‍🌾 A Stable Income Source: Remittances from overseas Filipino workers (OFWs) continued to support national income, complementing domestic economic growth.

• 🏛️ Government View: The Department of Economy, Planning, and Development (DEPDev) attributed the upgrade to sustained growth, sound macroeconomic management, and long-term structural reforms, adding that the new status could strengthen the country’s credit profile and attract higher-quality investment.

🌏 What It Means for Southeast Asia

• 📈 A Stronger ASEAN: With Vietnam and the Philippines joining the upper-middle income group, seven of ASEAN’s eleven members are now classified as upper-middle or high income.

• 🚀 Growth Momentum Continues: The ASEAN+3 Macroeconomic Research Office (AMRO) projects Vietnam (7.4%) and the Philippines (5.3%) to remain among ASEAN's fastest-growing economies in 2026, well above the regional average of 4.6%.

• 🤝 No Single Path: Despite following different development models, both countries reached the same milestone, reinforcing that Southeast Asia has no one-size-fits-all blueprint for economic development.

⚠️ The Bigger Picture: Escaping the Middle-Income Trap

• 🚧 A New Challenge: Reaching upper-middle income is a major milestone—but advancing to high-income status is often far more difficult.

• 🇲🇾🇹🇭🇮🇩 ASEAN’s Experience: Malaysia has remained upper-middle income for 37 years, Thailand for 15 years, and Indonesia for 6 years, illustrating how countries can spend decades in the same income bracket.

• 🎓 The Expert View: Vu Khuong Minh of the Lee Kuan Yew School of Public Policy described the upgrade as an important milestone, but also the beginning of a much more demanding phase of development.

• 🏭 The Next Test: Sustaining progress will require stronger productivity, innovation, and higher-value industries—not just growth driven by low-cost labour or manufacturing expansion.

• 🏦 Fewer Safety Nets: As countries become wealthier, they typically gain less access to concessional financing, increasing pressure to finance development through domestic resources and private investment.

🤝 Beyond the Numbers

Moving into the upper-middle income category marks years of sustained economic progress, driven by stronger industries, rising incomes, and expanding opportunities.

But the bigger challenge lies ahead. Malaysia, Thailand, and Indonesia all reached this milestone years ago and remain in the same income bracket today.

For Vietnam and the Philippines, the next chapter is no longer about moving up, but about staying competitive and eventually breaking into the high-income group.

📰 Need More Angle?

• AMRO Asia Macroeconomic Prospects and Challenges

• Fortune The World Bank has elevated Vietnam and the Philippines to upper-middle-income status—but now they face ‘a far more demanding phase of development’

• The Straits Times Vietnam, Philippines raised to World Bank’s upper-middle-income status

• World Bank Who moves up and why? A closer look at the new release of the World Bank Group Country Income Classifications

• World Bank World Bank Country and Lending Groups

• World Bank Group The Middle-Income Trap: Myth or Reality?

(BRZ/QOB)

🎯 The Main Takeaway

The Asia Group released its latest report, “No Safe Harbor: Asia’s Continued Exposure to the Strait of Hormuz,” on June 29.

The report provides an in-depth analysis of how disruptions in the Strait of Hormuz could affect major Asian economies across key sectors in the short, medium, and long-term periods.

The assessment is expected to help governments, businesses, central banks, and policymakers prepare response strategies and scenario plans to reduce potential risks and ease the impact of a possible crisis.

📡 Why It’s on Our Radar

Iran has announced plans to close the Strait of Hormuz again, after its delegation walked out of the U.S.-Iran peace talks on Monday (6/22) in Bürgenstock, Switzerland.

The negotiations, mediated by Pakistan and Qatar, ended after Iran protested the U.S. President Donald Trump’s threat to resume attacks on the Islamic Republic if Hezbollah’s actions in Lebanon continue.

Iran has temporarily closed the Strait of Hormuz to international shipping, including oil tankers and commercial vessels since the conflict began, following the killing of Iran’s Supreme Leader Ali Khamenei on February 28.

The restrictions have continued through the fragile U.S.-Iran and Israel-Lebanon ceasefire, along with fragile peace talks in April, as well as the escalating tensions over alleged Israeli attacks on Lebanon in June.

Any ship wishing to pass through or transit the Strait of Hormuz must coordinate with the Islamic Revolutionary Guard Corps (IRGC) and pay a service fee to receive a designated safe-passage route from the authorities.

⭐ However...

Both sides agreed to continue negotiations over the future of the Strait of Hormuz, after signing a Memorandum of Understanding (MoU) on June 17, to extend the ceasefire for another 60 days.

During this period, Iran agreed to allow ships to transit the Strait of Hormuz free of charge, subject to strict security protocols and monitoring.

However, the negotiations are currently on hold and are continuing through indirect talks in Doha, with Qatar serving as the mediator.

In addition, the negotiations also include discussions on the release of Iran’s USD 6 billion in frozen assets, sanctions relief, and the continuation of its nuclear program.

⚠️ Why It Matters?

The Strait of Hormuz is the world’s most important energy chokepoint. Around 25% of global oil and 20% of liquefied natural gas (LNG) shipments pass through the strait, with up to 90% of these exports destined for Asian markets. Supply disruptions could increase the risk of energy shortages and crises in many countries.

Beyond oil and gas, the Strait of Hormuz is also a key transit route for petrochemicals, plastics, aluminum, helium, and sulfur. These commodities are essential raw materials for the manufacturing, agriculture, and consumer goods industries, making the strait critical to global supply chains and economic stability.

📉 As the Result...

Any disruption in the Strait of Hormuz could trigger widespread disruptions across global supply chains, affecting multiple sectors, including:

• Artificial Intelligence: AI depends on semiconductors, copper, aluminum, steel, and helium to produce microchips and build data centers. Qatar supplies around 30% of the world’s helium, so any disruption could slow AI development and data center expansion.

• Clean Energy: The EV industry needs nickel, lithium, cobalt, manganese, graphite, steel, and aluminum to make batteries and vehicles. Supply disruptions could slow EV production and the clean energy transition.

• Medicine and Healthcare: India supplies around 20% of the world’s generic medicines, including key Active Pharmaceutical Ingredients (APIs). Supply chain disruptions could delay the production and delivery of essential medicines and medical products worldwide.

• Metals and Critical Minerals: Around 25% of the world’s sulfur is produced by Gulf countries, and about 50% of global sulfur trade passes through the Strait of Hormuz. Sulfur is essential for processing critical minerals used in the electric and manufacturing industries.

These conditions could push up the prices of energy, commodities, and raw materials, leading to higher inflation. As a result, financial markets could become more volatile, business competitiveness could decline, investment could slow, and economic growth could weaken, particularly across Asia.

🧭 The Big Picture

The report examines the macroeconomic, political, and geopolitical repercussions of a potential closure of the Strait of Hormuz, as well as its impact on Asia’s manufacturing, agriculture, and energy sectors.

To provide a more focused analysis, the research covers Asia’s four largest economies—China, India, Japan, and South Korea—as well as five major Southeast Asian emerging economies: Indonesia, Malaysia, the Philippines, Thailand, and Vietnam.

🏡 Why This Hits Home?

Southeast Asia relies heavily on the Strait of Hormuz for its energy supply. Around 60% of the region’s crude oil and 30% of its liquefied natural gas (LNG) are imported from West Asia and the Arabian Peninsula, through this key shipping route.

Any disruption could increase the risk of an energy crisis and put more pressure on government budgets. As oil and gas prices rise because of tighter supply, governments may need to spend more on fuel subsidies to keep domestic energy prices stable.

A closure of the Strait of Hormuz could also hurt Southeast Asia’s manufacturing sector. Higher shipping costs and supply chain disruptions would increase production costs and slow industrial activity.

In addition, countries such as Indonesia, Thailand, the Philippines, and Vietnam export key raw materials—including nickel, lithium, cobalt, rubber, coal, palm oil, rice, coffee, filament, and fiber—that support industries such as automotive, agriculture, food, textiles, energy, and manufacturing across Asia and the world.

🌍 The Insights on Southeast Asia

The report highlights several key insights for Southeast Asia, including:

• Growing Fiscal Challenges: Southeast Asian countries have fewer financial resources and commodity reserves than Asia’s advanced economies. As energy prices rise, governments may have to spend more on fuel subsidies, putting greater pressure on state budgets.

• Growing Cost Pressures: Rising energy prices are increasing costs across Southeast Asia for manufacturing, logistics, and construction. As living costs continue to rise, inflation could also create political pressure in several countries.

• Growing Manufacturing Challenges: Southeast Asia remains an attractive manufacturing hub, but its reliance on imported energy could reduce its competitiveness. Countries that diversify their energy supply will be better positioned to attract investment.

• Shifting Foreign Policy: As the conflict impacts the economy, Southeast Asian governments are adopting a more balanced stance between the United States and China. Many countries are also strengthening ties with other regional partners to protect their economic and strategic interests.

🇮🇩 Indonesia: The Energy Challenge

Indonesia has diversified its energy sources, but the Strait of Hormuz crisis has exposed its vulnerability as a net energy importer. Rising global oil prices continue to put pressure on the country’s energy supply and economy.

To keep domestic fuel prices stable, the government has committed around USD 14 billion in fuel subsidies. It has also proposed increasing royalties on coal, nickel, and several other commodities to generate an additional USD 8.9 billion in state revenue.

While these measures have increased pressure on the state budget and raised concerns about fiscal sustainability and investor confidence, they are expected to support economic growth. Indonesia’s GDP growth forecast for 2026 has been revised up from 4.9% before the conflict to 5.0%, while inflation is projected to rise slightly from 2.9% to 3.0%.

🇲🇾 Malaysia: The Fiscal Pressure

Malaysia is better protected than many Southeast Asian countries, because it is a net energy exporter. However, rising LNG prices and crude oil supply disruptions are putting pressure on its refining and petrochemical industries.

Higher energy prices have sharply increased the government’s fuel subsidy costs. Although Petronas benefits from stronger export revenues, the fuel subsidy bill has grown tenfold, creating significant pressure on the country’s fiscal budget.

Despite these challenges, Malaysia’s economic outlook has improved. The country’s GDP growth forecast for 2026 has been revised up from 4.0% before the conflict to 4.7%, while inflation is projected to ease slightly from 2.2% to 1.9%.

🇹🇭 Thailand: The Growth Challenge

Thailand entered the crisis with weak domestic demand and slower economic growth than many of its regional peers. The Strait of Hormuz crisis has added pressure by increasing living costs and weakening consumer confidence.

The crisis is unlikely to trigger major political instability, but it has added to public concerns over weak economic growth, high household debt, and rising prices. To support the economy, the government approved a USD 12.2 billion emergency borrowing package.

Despite these measures, Thailand’s GDP growth forecast for 2026 has been revised down from 1.6% before the conflict to 1.5%, while inflation is projected to rise slightly from 0.7% to 0.9%.

🇵🇭 The Philippines: The Energy Burden

The Philippines depends heavily on the West Asia and Arabian Peninsula for its oil supply, importing more than 95% of its crude oil from the region before the Strait of Hormuz crisis. Its economy also relies on remittances from overseas workers in the Gulf.

As fuel prices increased, the government declared a national energy emergency and provided USD 350 million in fuel and transport subsidies. Higher living costs have also forced many households to rely more on credit cards and short-term loans.

Despite these measures, the Philippines’ GDP growth forecast for 2026 has been revised down from 5.7% before the conflict to 4.1%, while inflation is projected to rise from 2.6% to 4.3%.

🇻🇳 Vietnam: The Energy Strategy

Vietnam has responded to the Strait of Hormuz crisis by expanding its strategic oil reserves, lowering fuel import tariffs, and diversifying its crude oil supplies. However, the country still faces challenges if the disruption continues for a long period.

To keep fuel prices stable, the government has cut fuel import tariffs and used its fuel price stabilization fund. However, higher inflation and energy costs could reduce investment in technology and advanced manufacturing industries.

Despite these challenges, Vietnam’s GDP growth forecast for 2026 has been revised up from 5.6% before the conflict to 7.1%, while inflation is projected to rise from 3.2% to 4.9%.

💡 The Solutions and Countermeasures

The Asia Group recommends several short- and long-term measures to help Southeast Asian countries maintain energy and commodity supplies and reduce the risk of future crises.

• Short-term: Increase fuel subsidies through additional government funding or debt if necessary, and use strategic energy reserves to meet temporary demand and stabilize domestic prices.

• Long-term: Diversify energy imports by expanding partnerships with suppliers in Russia, Africa, and other regions, while accelerating investment in renewable energy to reduce dependence on the Strait of Hormuz.

📌 The Bottom Line

The Strait of Hormuz is not only an energy route, but also a key link in global supply chains. Any disruption could affect industries ranging from artificial intelligence and clean energy to healthcare and manufacturing.

For Southeast Asia, the issue is not only how to respond to today’s crisis, but also how to prepare for the next one. Countries that build stronger energy security and more resilient supply chains will be better placed to protect growth, attract investment, and stay competitive.

🔍 Need More Angles?

Bloomberg Technoz Bahlil Buka Taktik Tutup Beban Subsidi BBM: Lewat Royalti Minerba

International Energy Agency Southeast Asia Energy Outlook 2026

International Monetary Fund World Economic Outlook: Global Economy in the Shadow of War

The Asia Group NO SAFE HARBOR: Asia's Continued Exposure to Disruptions in the Strait of Hormuz

(NGO/QOB)

🎯 The Main Takeaway

The waters of Southeast Asia are a major driver of the region's economy. The Strait of Malacca is one of the world's busiest and most important shipping routes, carrying about a quarter of global maritime trade, and also plays a vital role in transporting oil and natural gas to countries across Asia.

However, climate change and growing pressure to decarbonize are threatening this economic engine. Rising sea levels are damaging coastal infrastructure, especially in Indonesia. At the same time, stricter global carbon rules are putting pressure on high-emission ports in countries such as Singapore and Malaysia.

As these challenges grow, Southeast Asia is taking steps to make its maritime sector more sustainable. The goal is to protect coastal areas from climate change, while keeping the region’s maritime economy strong.

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📡 Why It’s On Our Radar

In April 2025, the International Maritime Organization (IMO) approved a legally binding framework to cut greenhouse gas emissions from ships, with the goal of reaching net-zero emissions by around 2050.

After the rules were adopted in October 2025, countries such as Singapore began strengthening their maritime strategies by investing in research on zero-emission technologies and alternative fuels for ships.

This is a clear sign that the new rules will have a major economic impact on Southeast Asia. For the region’s maritime industry, sustainability is no longer a choice—it is essential for long-term growth and survival.

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⚠️ Why it’s Important

Rising sea levels caused by climate change have become a serious challenge across Southeast Asia, especially in Indonesia. For years, reports have warned that Jakarta, the country’s capital, has been sinking by as much as 30 centimeters each year.

Other areas, including Bangkok in Thailand, the Mekong Delta in Vietnam, and Manila in the Philippines, are also at risk from rising sea levels.

This shows that Southeast Asia faces two major challenges. The region must respond to stricter global climate rules, while also protecting its coastlines from the growing impacts of climate change.

🏡 Why This Hits Home?

Southeast Asia is uniquely located between the Pacific Ocean and the Indian Ocean, making the region one of the world’s most important maritime crossroads.

The region covers about 8.94 million square kilometers, or 2.5% of the world’s ocean surface, and has a coastline stretching more than 173,000 kilometers.

These waters are among the richest marine ecosystems on Earth. They are home to 76% of the world’s coral species, 37% of coral reef fish species, and 23 seagrass species.

Around 700 million people also depend on the ocean for their livelihoods through fisheries, ecotourism, and other marine-based industries.

As the impacts of climate change intensifies, Southeast Asia faces growing risks to its economy, coastal communities, and marine resources. Strong and sustainable maritime policies are essential to protect the region's future.

🚢 Latest Maritime Policies from Southeast Asia

🇮🇩 Indonesia: Seawall Project

Indonesia has sped up its long-delayed Seawall Project, with construction expected to begin in September 2026. The USD 80 billion project will build a 575-kilometer seawall along the northern coast of Java to protect the area from land subsidence, and rising sea levels.

Minister for Infrastructure and Regional Development Agus Harimurti Yudhoyono, said the project will also include large-scale mangrove restoration. This shows that Indonesia is combining major infrastructure with nature-based solutions, to build a more sustainable future.

🇸🇬 Singapore: Maritime Technology & Research Roadmap 2026

Maritime and Port Authority of Singapore (MPA) and Singapore Maritime Institute (SMI) have unveiled Singapore’s maritime research roadmap for 2026.

Backed by more than SGD 100 million in research funding, the roadmap shows Singapore’s commitment to meeting the International Maritime Organization’s global emissions targets. The roadmap focuses on four key priorities:

• Autonomous port operations: Using automation and artificial intelligence to make port operations safer and more efficient.

• Safe and efficient alternative fuels: Developing a reliable fuel ecosystem to support cleaner shipping.

• Smart ships: Building more connected and intelligent ships with advanced digital technologies.

• Smarter port services: Improving port services to create a faster, smoother, and more coordinated experience for ships.

The 2026 roadmap builds on Singapore's 2019 plan with new priorities for the maritime sector. The focus on alternative energy sets a clear sign, that Singapore is taking a sustainable approach towards its maritime policies.

🇲🇾 Malaysia: Maritime Masterplan 2026-2040

During Malaysia Maritime Week 2025, Malaysia introduced its new maritime policy framework, the Malaysia Maritime Masterplan 2026–2035. The plan highlights the government’s commitment to climate action, sustainability, and long-term growth in the maritime sector.

The masterplan focuses on three key priorities:

• Digitalization: Modernizing ports and maritime services through digital technology to improve port operations.

• Maritime decarbonization: Reducing carbon emissions from the shipping sector and supporting the transition to cleaner energy, in line with International Maritime Organization targets.

• Strategic fleet development: Strengthening Malaysia's domestic shipping fleet, to reduce reliance on foreign vessels and improve maritime resilience.

On 12 March 2026, Anwar Ibrahim also stressed the importance of sustainability in Malaysia’s blue economy. He highlighted blue renewable energy as a key sector to support the country’s future economic growth.

📌 The Bottom Line

At first glance, stricter climate rules may seem like a threat to Southeast Asia’s maritime economy. In reality, they are becoming a driver of innovation.

As Indonesia, Singapore, and Malaysia reshape their maritime policies, sustainability is no longer slowing economic growth—it is helping secure the future of ports, shipping, and regional trade.

The countries that lead in green ports, clean shipping, and climate-resilient infrastructure, will be better positioned to strengthen their competitiveness, protect their coastlines, and keep Southeast Asia at the center of global maritime trade.

🔍 Need More Angles?

• Antara News Giant Sea Wall to be combined with mangrove restoration : Minister

• Bernama Sailing Toward Sustainability Via Malaysia Maritime Masterplan 2026–2040

• Jakarta Globe Jakarta Is Sinking: Sea Levels Now Higher Than the City’s Coastline

• Jakarta Globe Prabowo to Kick Off $80 Billion Seawall Project after 30-Year Delay

• International Maritime Organization Draft regulations will set mandatory marine fuel standard and GHG emissions pricing for shipping to address climate change

• Sea Asia The Malacca Strait: Southeast Asia’s Quiet Grip on the World Economy

• The ASEAN Magazine One ASEAN Sea: Harnessing Regional Collaboration for Our Shared Future

• Watter Issues Indonesia to build a giant sea wall. It is meant to protect Java from rising sea levels

(FRD/NGO/ELS)

🎯 The Main Takeaway

Southeast Asia is enduring a dual climate emergency: extreme humid heat pushing the human body to its limits, and escalating wildfire haze threatening public health.

A Climate Central report reveals that parts of the region now experience at least six months of “dangerous” humid heat days annually, defined by a wet-bulb temperature of 25°C or higher—a threshold where the body’s cooling system becomes strained.

The duration of extreme weather has more than doubled globally, from an average of 10 days per year in the 1970s to 23 days today.

Meanwhile, 81,000 hectares of land have already burned in Indonesia this year amid scorching heat and a strengthening El Niño, with the government warning the situation will worsen through October.

Haze is drifting across the region, with Singapore, Malaysia, Indonesia, and Brunei facing a high risk of severe haze in the coming months.

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🌍 The Global Context: Europe and the World Feel the Heat

A NASA Earth Observatory visualization, created by Lauren Dauphin using GEOS data from NASA’s Global Modeling and Assimilation Office, confirms that this heatwave is no local anomaly.

Europe is in the grip of a severe heatwave, which scientists from World Weather Attribution have linked directly to climate change.

In France alone, the crisis has claimed 1,000 excess lives since 20 June—most of them elderly—and Health Minister Stephanie Rist has cautioned that the effects could persist for up to 10 more days.

Across 30 European countries, 45% of 854 cities have either broken or are on track to break their wet-bulb temperature records.

As Imperial College London researcher Theodore Keeping warned: “The science of how climate change is worsening heatwaves is settled.

Continued fossil-fuel emissions are directly responsible for the disruption people are experiencing this week.”

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📡 Why It’s on Our Radar

Southeast Asia’s vulnerability to this dual crisis is acute and deeply structural.

The Climate Central report makes clear that dangerous humid heat has shifted from an anomaly to a defining feature of daily life in parts of the region, pushing conditions closer to the limits of what the human body can safely endure. This is not a distant projection—it is the lived reality for millions.

The economic stakes are equally severe. The McKinsey Global Institute warns that Southeast Asia’s heavy reliance on outdoor labour makes it uniquely exposed to climate hazards.

Agriculture accounts for between 8 and 15 percent of GDP in Cambodia, Indonesia, and Thailand—well above the global average of 4 percent. As heat intensifies, productivity in these sectors will suffer directly, with cascading effects on food supply chains and rural livelihoods.

Compounding the problem is a chronic underinvestment in adaptation. The region currently spends approximately US$12 billion annually on climate measures, including cooling systems, irrigation, stormwater networks, and early warning infrastructure.

To maintain even a basic standard of protection comparable to that of developed economies, that figure would need to nearly triple to US$37 billion per year.

☀️ The Heat Crisis: Bangkok and Beyond

Bangkok is set to become Southeast Asia’s hottest major city by 2050, according to an ASEAN Centre for Energy report. Key projections:

• 2025: Around 45 “extreme heat days” (>35°C)

• 2050: Projected to rise to 120 days annually—nearly three times as many

• Average daily maximum temperature to climb from 33.3°C in 2000 to 38.1°C by 2050

The urban heat island effect makes central Bangkok up to 3°C hotter than the greener outer areas.

Without proper adaptation, heat-related economic losses in Bangkok could reach 6% of the city's GDP by 2050.

🔥 The Fire Factor: Indonesia’s Burning Crisis

Indonesia’s dry season has expanded significantly, with rainfall now below normal across most of Kalimantan, Sulawesi, Maluku, North Maluku, and Papua.

This is being driven by a strengthening El Niño, with BRIN researchers predicting a strong El Niño by July and a peak drought in August-September.

Key fire data:

• 81,000 hectares of land have burned so far this year, exceeding last year’s figures

• Forestry Minister Raja Juli Antoni warned the threat will grow “when later in July to October”

• 1,601 hotspots were detected across Indonesia as of early April, with numbers expected to rise

• 2,715 hotspots in Aceh province alone between January and May, with Nagan Raya seeing a 43-fold increase compared to the same period last year

The Coordinating Minister for Political and Security Affairs, Djamari Chaniago, has ordered tighter coordination to prevent larger fires.

🏠 Why This Hits Home

Southeast Asian communities are facing real-time consequences:

• Drought and water shortages – At least three districts in Java are already experiencing clean water crises, affecting over 1,600 residents. Karawang, Bogor, and Cilacap are among the worst affected.

• Health emergencies – Thailand’s heat index reached a staggering 54°C in some districts, heightening the risk of heatstroke. Bangkok’s heat index peaked at 51.9°C.

• Economic strain – Households across the region face higher electricity bills as air conditioning becomes essential. Some 90% of Bangkok survey respondents said their energy bills rose by 10-50% during heatwaves. Low-income families in poorly ventilated housing are most at risk.

• Mental health impact – Lack of sleep, chronic fatigue, and the stress of living under constant heat and fire threat are taking a toll on quality of life.

⚡ What’s at Stake

🏁 The Bottom Line

Southeast Asia is at the sharp end of global climate change. The combination of naturally occurring El Niño and human-caused warming is pushing the region toward unprecedented heat and haze.

The Climate Central report’s conclusion is stark: dangerous humid heat has become a defining feature of daily life in parts of Southeast Asia, pushing the human body to its limits.

With the dry season still to peak and El Niño set to strengthen, the worst of the heat and fire season may lie ahead.

The window to mitigate the worst impacts is closing fast—and the choices made now will determine whether Southeast Asia can adapt or be overwhelmed by the climate crisis.

🔎 Need More Angles

• ABC News Heat stress is intensifying worldwide, scientists say

• Bangkok Post Singapore, Indonesia, Malaysia, Brunei face high risk of severe haze

• China Daily Bangkok set to be SE Asia’s hottest major city by 2050

• CNA High risk of severe haze for rest of 2026 amid El Nino, biofuel demand and Indonesia budget cuts: Report

• Edge, The Climate: Malaysia must prepare for hot and dry weather with impending El Niño

• Kompas Parts of Indonesia are Entering the Dry Season, and El Nino Will Soon Become Active

• New York Times, The Climate Change Fueling Europe’s Ferocious Heat Wave, Scientists Find

• Reuters Record heatwave disrupts Europe as France warns death toll to rise

• South China Morning Post Asia’s ‘dangerous’ humid heatwaves push human body to its limits

• South China Morning Post Malaysia warns of health risks from heatwave, 2 related deaths recorded this year

• Star, The Bangkok heat index reaches 51.9°C, heightening heatstroke risk

• Strait Times, The Demand for air-conditioner servicing, repairs heats up in Malaysia amid prolonged hot weather

• Tempo Indonesia’s Dry Season Expands, Heavy Rain Unlikely Through June 22

• Tempo Singapore Think Tank Warns of Severe Haze Risk in Southeast Asia

• VNExpress High humidity pushes heat index of world’s most-visited city into ‘danger’ zone

(ELS/QOB)

🎯 Main Takeaway

On 22 June 2026, Indonesia’s Coordinating Ministry for Economic Affairs, the Embassy of Switzerland, and the United Nations Development Programme (UNDP) officially launched the second phase of the Sustainable Landscape Programme Indonesia (SLPI). As Indonesia and Switzerland celebrate 75 years of diplomatic relations, the continuation of this programme marks a milestone for efforts in strengthening sustainable landscape governance, rural community livelihoods, and resilient commodity value chains in Indonesia.

The achievements made during SLPI Phase I paved the way for SLPI Phase II. The continuation of this programme sends a clear signal that Indonesia is committed to protecting the landscapes that sustain its communities, which also opens job markets for many Indonesians in the present and for future generations.

With a commitment of CHF 1.6 million in funding, SLPI Phase II is set to run from 2026 to 2029, aiming to support five regions in Indonesia: Aceh, Riau, Central Kalimantan, West Kalimantan, and East Kalimantan. The programme links local action with national development goals and strengthens collaboration between relevant stakeholders. Despite their widely different climates, Indonesia and Switzerland share a partnership through SLPI, showing that committed international cooperation can effectively protect crucial landscapes that millions of people rely upon for their livelihoods.

“As Switzerland and Indonesia celebrate 75 years of diplomatic relations, we see SLPI as a strong example of how our partnership delivers practical results. Through Phase I, we demonstrated that sustainable landscape management can protect forests, improve livelihoods, and strengthen market opportunities. Through Phase II, we aim to sustain and scale these gains and embed them in the systems that will carry them forward.”
— H.E. Olivier Zehnder, Ambassador of Switzerland to Indonesia

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🌴 What is SLPI?

The Sustainable Landscape Programme Indonesia (SLPI) is a partnership between the Government of Indonesia, the Swiss State Secretariat for Economic Affairs (SECO) , and UNDP Indonesia, working together to support sustainable landscape management through multi-stakeholder collaboration across selected landscapes.

The first phase of SLPI was implemented from 2023 to 2025 and achieved significant progress in improving Indonesia’s sustainable landscape practices, including:

• 1.79 million hectares of forest conserved

• CHF 8.94 million in private co-investment

• Over 42 companies adopting sustainable practices

• Many workers reporting improved working conditions

The launch of Phase II signals that Phase I’s achievements were effective enough for the parties involved to move forward.

The transition to Phase II is important for Indonesia’s efforts to increase the sustainability of its landscapes, marked by changes in how SLPI approaches its supporting role. While Phase I proved that sustainable landscape management is effective and improves community wellbeing, Phase II aims to scale up and integrate these practices into the system.

“Phase II is our opportunity to showcase what sustainable landscape management looks like at the grassroots level, and to turn these lessons into institutional practice—formalising multi-stakeholder platforms within government and embedding them into our financing and planning systems so sustainable landscape management becomes the norm.”
— Dida Gardera, Senior Advisor to the Coordinating Minister for Connectivity and Service Sector, Coordinating Ministry of Economic Affairs

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⚠️ Why It’s Important

For commodity-producing nations such as Indonesia, addressing the diverse issues of land management is not a single-stakeholder issue. The challenge is not solely about rising global demand for commodities and reducing carbon emissions; it is also about safeguarding vital forests and respecting the culture and traditions of local communities. Often, this becomes a conflict between the government and local communities, as different interests and visions clash over the best solutions.

The big question is whether the three aspects of sustainability—economic, social, and ecological—can ever align.

Small and large stakeholders face their own dilemmas. Indigenous communities must choose between protecting their forests or pursuing economic benefits. Companies committed to ethical, sustainable sourcing may find that there are not enough certified products to continue production. At a larger scale, for the “green economy and development,” there are few platforms or mechanisms that coordinate institutional capacity, community connection, and company partnerships.

SLPI positions itself as the bridge to build a comprehensive system that integrates the economy, community, and ecology for all stakeholders.

“Sustainable development can only succeed when communities are part of the solution. Through SLPI, UNDP supports multi-stakeholder platforms that bring farmers, government institutions, and private sector actors together to share knowledge, align efforts, and work towards common goals that benefit both people and nature.”
— Aretha Aprilia, Head of Nature and Low Carbon Development, UNDP Indonesia

🌱 Transforming Landscape Governance

Sustainable landscape management should start with changing how landscapes are governed and managed. This new approach should embed an inclusive mindset that recognises the diverse stakeholders who shape and depend on the landscape.

• The Siak Pelalawan Landscape Programme exemplifies this transformation by having communities’ land-use rules officially embedded in regulations. As a result, 52 villages across two districts passed regulations protecting forests, peatlands, and mangroves. What were once informal agreements within community memory now exist as written law.

• The Mosaik Initiative ensures that no voice is left behind. It creates opportunities for traditionally underrepresented groups by connecting smallholders to certified markets. For a long time, farmer associations have been barred by limited financial resources and technical knowledge from gaining the certification needed to secure international production standards.

💪 Strengthening Systems

Within a nation, long-term sustainability depends on strong institutions and effective governance. It is important to have capable coordination, knowledge, and understanding for managing multi-stakeholder arrangements. SLPI has invested in building local capacities, fostering collaboration, and encouraging knowledge exchange.

• The SUSTAIN Kutim Initiative recognised the need for capable staff and partnered with UNDP to equip district government staff with essential facilitation and coordination skills. Staff learned to coordinate, prepare materials, facilitate sessions, and document activities without depending on external support. Thus, the skills remained within government institutions, enabling them to be applied to other challenges.

• Leuser Alas-Singkil River Basin (LASR) : Strengthening facilitation capacities can transform stakeholder engagement and collaboration. A notable example took place during a UNDP-supported workshop in Subulussalam in December 2024, where facilitators used “The Circle” technique to reduce hierarchy, encourage equal participation, and foster open dialogue, ultimately strengthening coordination and collaboration among stakeholders.

🌳 Sustaining impact

The long-term success of sustainable landscape initiatives depends on their ability to create lasting change beyond project timelines. Many initiatives deliver results while a project is running but struggle to maintain them once external support ends. SLPI shows that sustainable practices can become embedded within local systems and continue generating benefits long after external support ends.

In Aceh, community leaders and district governments worked together to secure legal recognition for customary forests. In Siak and Pelalawan, farmers, companies, and technology providers developed digital traceability systems to strengthen sustainable supply chains. Similar collective efforts in Seruyan and Kutai Timur enabled farmers to access certification, legal recognition, and financial resources.

Sustainable landscapes are built not only through short-term interventions but through locally driven collaboration that continues to deliver social, economic, and environmental benefits for years to come.

⏳ What was learned from SLPI I

Sustainable landscape management is not simply about bringing together skilled individuals and organisations. SLPI Phase I demonstrated that even when stakeholders share the same commitment, coordination remains a major challenge. Different actors often work with their own priorities, approaches, and timelines, making it difficult to align partners toward a common goal. Furthermore, what is planned at the policy level does not always translate smoothly into implementation on the ground, as local realities frequently create gaps between regulations and practice.

Another important lesson was that sustainable landscapes cannot be achieved by a single actor alone. Local communities, companies, and governments often hold different interests that must be continuously negotiated and aligned. At the same time, challenges related to infrastructure, facilitation, and capacity building can limit implementation efforts. Land-use conflicts further illustrate the complexity of landscape governance, showing that lasting solutions can only emerge through collaboration, continuous dialogue, and shared responsibility.

⭐ Beyond the Headlines

Sustainability is not just about surviving; nowadays, it has become a requirement to enter the global market. The world is changing. Technological advancement and social awareness are at their highest points. People realise that what they buy and use might not only impact themselves but also the future of humanity.

Partnerships and transactions may be cancelled as companies, governments, and consumers diligently work to track and verify the legal and sustainable origins of every commodity that passes through their doors. Beyond the headlines and market demands lies a much bigger challenge: ensuring that sustainability is not achieved at the expense of local communities, economic development, or environmental protection. The question is no longer whether sustainability matters, but how different stakeholders can work together to make it a reality.

🏠 The Regional Stakes

Southeast Asia is home to some of the world’s most important tropical forests and commodity-producing landscapes. The region supplies a significant share of global commodities such as palm oil, rubber, timber, and coffee, making it a crucial player in both the global economy and climate agenda. However, rapid economic growth, expanding agricultural production, and increasing global demand continue to place enormous pressure on forests, biodiversity, and local communities across the region.

Despite differences in geography, political systems, and levels of development, countries across Southeast Asia face remarkably similar challenges. As sustainability standards become increasingly important in international markets, the ability of Southeast Asian countries to balance economic growth with environmental protection and social inclusion will shape the future of the region nationally and internationally.

🏁 The Bottom Line

The continuation of SLPI, facilitated by the Indonesian government, the Embassy of Switzerland, and UNDP, sends a clear signal that transitioning towards sustainable landscape management has become a priority for Indonesia as markets shift towards viewing sustainable practices not just favourably but as mandatory.

SLPI Phase II has come at a crucial moment, when Indonesia is seeking to strengthen areas such as food security, climate change resilience, sustainable commodity production, economic opportunities for rural communities, and the preservation of natural resources that are fundamental to Indonesia’s long-term prosperity.

(FRD/DEV/ELS)

🎯 The Main Takeaway

Solving global challenges takes more than good ideas—it requires collaboration.

That was the message behind the Global Sustainable Development Congress (GSDC) 2026, which brought together more than 5,000 participants from over 100 countries in Tangerang, Banten, from June 22 to 25.

Hosted by Times Higher Education (THE) in partnership with SEAMEO, Indonesia’s Ministry of National Development Planning (Bappenas), and Sinar Mas Land, the congress featured 500 speakers and 200 exhibitors, bringing together government officials, policymakers, university leaders, researchers, business leaders, and civil society.

Under the theme “Collective Action for a Sustainable Future,” participants exchanged ideas, forged new partnerships, and identified practical actions to tackle climate change, accelerate the clean energy transition, reduce social inequality, and build more sustainable cities.

📡 Why It’s On Our Radar?

In September 2015, the United Nations (UN) adopted the 2030 Agenda for Sustainable Development, which officially came into effect on January 1, 2016.

The agenda outlines 17 Sustainable Development Goals (SDGs)—a shared global blueprint to protect the planet and improve people’s lives by 2030. It calls on both developed and developing countries to work together through stronger international partnerships.

The goals are supported by 169 targets that focus on ending poverty, improving healthcare and education, reducing inequality, expanding access to affordable and clean energy, combating climate change, protecting forests and oceans, and promoting sustainable economic growth.

⚠️ However…

Achieving the SDGs targets faces several key challenges, including:

• Ongoing conflicts: The global economy remains uncertain amid ongoing geopolitical tensions and regional conflicts.

• Funding shortage: The SDGs need over USD 5 trillion in annual funding. placing a heavy burden on government budgets.

• Growing inequality: Global wealth remains highly concentrated. The richest 10% own nearly 75% of global wealth, while the top 1% alone controls at least 37%.

• Rising temperatures: The global average near-surface temperature reached 1.43°C in 2025, ranking among the warmest years in 176 years of recorded observations.

• Transition costs: The global energy transition cost reached USD 2.3 trillion in 2025, and will need an average of USD 2.9 trillion annually from 2026 to 2030.

• Limited coordination: Governments, universities, companies, and NGOs often work toward similar goals with limited coordination.

📉 As the Result…

These challenges are affecting the world in several ways, including:

• Global uncertainty: Ongoing regional conflicts disrupt global supply chains and investment, slowing economic growth, while forcing millions of people to flee their homes and increasing the risk of poverty.

• Middle-income trap: Around 89% of the world’s adults remain in the middle- and lower-income groups, together holding only 25% of global wealth, limiting economic mobility and widening inequality.

• Partnership push: Funding shortages are pushing governments to work more closely with businesses, investors, and international partners to achieve the SDGs and finance the clean energy transition.

• Agriculture & health risks: Rising temperatures and extreme drought threaten food production and increase the spread of climate-related diseases such as dengue.

• Fragmented efforts: Fragmentation can slow implementation and reduce impact.

💡 To Solve the Problem…

The congress launched the Sustainability Impact Network, a global coalition of more than 1,600 universities from 116 countries, alongside policymakers, business leaders, and NGOs working toward the UN SDGs.

By linking university research with policymaking, business innovation, and community action, the initiative aims to turn ideas into long-term, measurable solutions, strengthen global collaboration, mobilize funding, and accelerate progress toward the 2030 Agenda for Sustainable Development.

The forum also launched the Sustainability Impact Ratings 2026, a global ranking that measures how universities contribute to the UN SDGs through their research, teaching, community engagement, and institutional stewardship.

🧘 In Addition...

The four-day congress also featured the One Health and Well-being Zone, highlighting the importance of human health, resilience, and well-being in achieving the Sustainable Development Goals (SDGs).

Hosted by Hong Kong Baptist University (HKBU), the interactive space offered traditional Chinese massage, Tai Chi, Baduanjin, mindfulness, Karate, and the daily “Walk to Live Well” campaign led by senior university representatives.

The zone gave participants the opportunity to engage in practical wellness activities while exploring how research and innovation can improve public health and support sustainable development.

📈 Even More…

The Asia-Pacific Sustainable Business Summit was also launched during the congress, bringing together more than 1,000 senior leaders from 650 companies and brands. The summit focused on developing long-term practical solutions and sustainable business models to support low-carbon, inclusive, and resilient economies across the Asia-Pacific.

The event also saw the signing of several memorandums of understanding (MoUs) and partnerships on green city development and sustainable urban planning. The agreements involved C40 Cities, the Jakarta provincial government, and international partners, strengthening collaboration to build more sustainable and climate-resilient cities.

🏡 Why This Hits Home?

ASEAN leaders adopted the ASEAN Community Vision 2025 in November 2015 and renewed it with the ASEAN Community Vision 2045 in May 2025. The long-term roadmap aligns with the UN 2030 Agenda for Sustainable Development and strengthens the region’s commitment to the Sustainable Development Goals (SDGs).

The vision is built on five pillars: Political-Security, Economic, Socio-Cultural, Connectivity, and Institutional Strengthening. Together, they aim to improve living standards, promote peace and sustainable development, deepen regional integration, and strengthen ASEAN’s centrality, connectivity, and resilience.

Indonesia has also aligned its development agenda with the UN Sustainable Development Goals (SDGs) through the National Medium-Term Development Plan (2025–2029) and the National Long-Term Development Plan (2025–2045).

The roadmap aims to raise income per capita, boost competitiveness, reduce poverty, inequality, and greenhouse gas emissions, while improving people’s wellbeing, expand access to education, jobs, and technology, fostering innovation, strengthening Indonesia’s global role, and achieving net-zero emissions by 2060.

🌍 The Regional Stake

Government officials, policymakers, business leaders, academics, and civil society across Southeast Asia are encouraged to contribute by sharing ideas, research, data, insights, and practical solutions. Their input can help strengthen policies, improve implementation, and accelerate progress toward the Sustainable Development Goals.

Stakeholders from outside Southeast Asia are also welcome to join through partnerships and cross-border collaboration. Together, they can strengthen education, skills development, build a future-ready workforce, advance sustainable development, promote shared prosperity, and support the transition to a net-zero economy.

📌 The Bottom Line

The GSDC is not just a forum where leaders exchange ideas. It is a foundation for turning research into policy, partnerships into investment, and shared ambitions into measurable action.

As global challenges become more complex, solving them requires governments, universities, businesses, and communities to work together with a common purpose to create lasting global impact.

The congress offers optimism that, despite conflict, inequality, and climate risks, collective action can still accelerate progress toward the SDGs and build a more resilient, inclusive, and sustainable future for Southeast Asia and beyond.

🔍 Need More Angles?

ASEAN Secretariat ASEAN Community Vision 2045

Bappenas RPJPN 2025-2045

BloombergNEF Energy Transition Investment Trends

Global Sustainable Development Congress Collective action for a sustainable future

United Nations The Sustainable Development Agenda

United Nations Transforming our World: the 2030 Agenda for Sustainable Development

UN Statistics The Sustainable Development Goals Report 2025

UN Trade and Development The costs of achieving the SDGs: About

World Bank March 2026 Global Poverty update from the World Bank: New data and updated poverty numbers

World Inequality Report Global Economic Inequality

World Inequality Report World Inequality Report 2026

World Meteorological Organization State of the Global Climate 2025

(NGO/QOB)

🎯 The Main Takeaway

On 24 June 2026, diplomats, policymakers, and academics gathered in Jakarta for the China-Indonesia Think Tank and Media Forum, co-hosted by the Foreign Policy Community of Indonesia (FPCI), the Chinese Embassy, and the China Public Diplomacy Association (CPDA). Key speakers included Vice Minister Prof. Stella Christie and Ambassador Wang Lutong, who emphasised a strategic shift toward human capital development as the next pillar of bilateral cooperation.

To bridge the gap between large-scale investment and domestic capability, Indonesia is pursuing industry-matched vocational education and the “Sekolah Garuda” talent pipeline—with China offering 50 scholarships to top Indonesian students at elite universities, including Tsinghua.

Currently, 1,146 active academic agreements exist between Indonesian and Chinese institutions, providing a solid foundation for sustainable growth.

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📡 Why It’s on Our Radar

This forum signals a fundamental shift in the China-Indonesia relationship—moving beyond infrastructure and raw materials toward human capital development, technology transfer, and shared regional governance. For Southeast Asia, the partnership offers a potential blueprint for South-South cooperation, balancing economic growth with ASEAN Centrality.

The emphasis on vocational education aligned with industrial needs and direct scholarship pathways reflects Indonesia’s push for economic sovereignty. Meanwhile, media cooperation and party-to-party dialogue suggest an expanding relationship that touches politics, security, and information flows—with implications for the broader region.

As Indonesia navigates great power competition, how it manages this partnership will influence ASEAN’s collective posture toward China. The forum’s outcomes will likely shape investment patterns, educational exchanges, and diplomatic alignment across Southeast Asia in the coming years.

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💸 The Evolution of Economic Cooperation

While the Jakarta-Bandung High-Speed Railway remains the pioneer of China-Indonesia relations, speakers emphasised that the economic relationship must evolve. Over the past two years, cooperation has expanded beyond raw mineral processing into energy transition (green economy), food security, maritime development, and digital technology.

However, Indonesian delegates raised persistent friction over value chains. While Chinese commerce has traditionally focused on raw imports, Indonesia is strongly advocating for a partnership of equals.

Indonesia expects future investments to prioritise local manufacturing and protect its economic sovereignty. To achieve a win-win solution, both sides agreed to lean into massive university-industry partnerships, taking a page out of China’s book, where tech and innovation hubs now drive 13.4% of its GDP.

🤝 Political and Geopolitical Alignment

The forum looked back at a long history of connection, pointing to the ancient Maritime Silk Road, the Spice Routes, and Admiral Zheng He’s historic expeditions. Because both nations share the history of overthrowing colonial rule, they have mutual respect for each other’s independence. Speakers noted that their shared values resemble Indonesia’s own motto: Bhinneka Tunggal Ika—Unity in Diversity.

Key agreements include:

• Party-to-Party Dialogue: The Communist Party of China (CPC) maintains active institutional dialogue mechanisms with major Indonesian political parties, including PDIP and Gerindra. These dialogues are strictly oriented toward “public service”—focusing on poverty reduction and anti-corruption strategies.

• Comprehensive Security: Cooperation has matured to include joint efforts in ecological preservation, green energy development, traditional military security (defense equipment/alutsista), and anti-terrorism.

• Global South Leadership: The partnership aims to serve as a blueprint for South-South cooperation, actively consolidating ASEAN Centrality amid shifting regional dynamics.

📰 Media Cooperation: Beyond News Coverage

Media cooperation is central to the evolving partnership. Chinese Ambassador Wang Lutong described the media as a “communication bridge” between societies, essential for reducing misunderstandings and building trust. This can be achieved through journalist exchanges, content collaboration, fact-checking, and institutional partnerships.

Veteran journalist Bambang Harymurti added that the dominance of Western narratives in international news is weakening, creating space for Asian media to present regional perspectives. The goal is not to replace one narrative with another but to foster a greater diversity of accurate, fact-based reporting.

The expansion of cooperation between Indonesian and Chinese media organisations through joint coverage projects, journalist training, and regular dialogues has become essential in line with deepening bilateral ties.

🤝 ASEAN Centrality and Regional Stability

Stronger Indonesia-China ties should reinforce ASEAN’s centrality, not undermine it. ASEAN remains the main platform for dialogue and conflict management in the Indo-Pacific, with Indonesia playing a key role in maintaining this strategic position.

China supports ASEAN’s central role and views Indonesia as a vital partner for peace, stability, and inclusive development. Bilateral cooperation must align with broader regional priorities: economic resilience, connectivity, green development, and maritime cooperation.

Rather than framing the partnership through great power competition, both sides should focus on collaboration that benefits the entire region and creates shared opportunities for all ASEAN member states.

🏡 Why This Hits Home

Indonesia’s relationship with China is entering a new phase. Infrastructure projects marked the first stage; future cooperation will focus on education, technology, and talent development. For Indonesia, the challenge is to ensure this partnership builds long-term domestic capability, not just attracts investment.

As Southeast Asia’s geopolitical landscape grows more complex, Indonesia can leverage its strategic position to strengthen ASEAN Centrality while deepening ties with key partners. Balancing economic growth with regional stability will remain a top priority.

🔮 The Bottom Line

The 2026 forum marks a fundamental shift in the bilateral relationship—away from a reliance on hard infrastructure and raw material exports toward human capital, high-tech manufacturing, and shared regional governance.

Indonesia’s core objective is to convert Chinese investment and academic opportunities into lasting domestic capability and economic sovereignty. The challenge is to ensure this alliance strengthens, rather than compromises, ASEAN stability.

(AKO/DHM/ELS)

🎯 The Main Takeaway

The geopolitical bridge between Moscow and Jakarta is stronger than ever.

In a joint media briefing held at the Russian Ambassador’s residence in Jakarta on Wednesday (6/24), Russian Ambassador to Indonesia H.E. Sergei Tolchenov and Russian Ambassador to ASEAN H.E. Evgeny Zagaynov outlined a massive wave of recent high-level state visits, upcoming joint military exercises, and a newly signed five-year ASEAN-Russia comprehensive action plan.

The message is clear: despite Western economic pressures, Russia is successfully positioning itself as an indispensable strategic, industrial, and energy partner for both Indonesia and the wider Southeast Asian region.

🏛️ Grounded in History: Russia-Indonesia Relations

The current partnership is built on a deep historical foundation of 76 years of diplomatic ties, officially established on February 3, 1950.

• A Renaissance of Strategic Partnership: Following the landmark 2025 anniversary year, the strategic partnership was formalized through a joint declaration approved during negotiations between President Vladimir Putin and President Prabowo Subianto in Saint Petersburg on June 19, 2025.

• Surging Economic Cooperation: Bilateral trade volume experienced positive growth, increasing by 16.2% to reach $4.02 billion USD. This spike stems directly from the 13th Meeting of the Russia-Indonesia Joint Commission co-chaired by First Deputy PM Denis Manturov and Coordinating Minister Airlangga Hartarto in Jakarta. A monumental milestone was achieved with the official signing of the Free Trade Agreement (FTA) between the Eurasian Economic Union (EAEU) and Indonesia in Saint Petersburg.

🌏 Shaping Regional Architecture: Russia-ASEAN Evolution

Moscow’s institutional ties with Southeast Asia have transitioned through clear developmental phases to form a structured multilateral partnership.

• The Early Dialogue Framework: Formal relations began in July 1991 when the Minister of Foreign Affairs of the Russian Federation attended the Opening Session of the 24th ASEAN Ministerial Meeting (AMM) in Kuala Lumpur as a guest of the host government. Russia was subsequently elevated to a full Dialogue Partner of ASEAN during the 29th AMM in Jakarta in July 1996.

• Legal and Institutional Foundations: To solidify its commitment to regional stability, Russia officially acceded to the Treaty of Amity and Cooperation in Southeast Asia (TAC) on November 29, 2004, in Vientiane, Laos. This established a legally binding framework based on peaceful coexistence and mutual respect. The institutional architecture was further reinforced in December 2011 with the establishment of the Mission of the Russian Federation to ASEAN in Jakarta.

• Elevation to Strategic Partnership: A major diplomatic milestone occurred during the 3rd ASEAN-Russia Summit in November 2018 in Singapore. There, regional leaders officially issued a Joint Statement elevating the dialogue framework to a Strategic Partnership, locking in deep, long-term cooperation across political, security, economic, and socio-cultural domains.

📡 Why It’s on Our Radar

Southeast Asia has become a primary arena in the shift toward a multipolar world.

Indonesia, under the leadership of President-elect Prabowo Subianto, is actively maintaining an independent, non-aligned foreign policy. Over the last 12 months alone, Prabowo has visited Russia three times for direct talks with Vladimir Putin.

Concurrently, economic reliance is surging: trade turnover between Russia and ASEAN has grown by 54% over the past decade, now exceeding $20 billion USD, making regional stabilization and supply chain resilience a high-stakes priority for both sides.

“Both ASEAN and Russia are among the most important poles of this multipolar world that already exists.” — H.E. Evgeny Zagaynov, Russian Ambassador to ASEAN

⚠️ However...

Navigating this deepening relationship comes with significant geopolitical friction and logistical hurdles:

• Sanctions Pressures: Western-led secondary sanctions force regional economies, like Singapore, to walk a tightrope, balancing official restrictions against profitable, practical economic cooperation with Moscow.

• Energy Delays: Despite intense high-level political talks regarding oil and gas supplies, practical business-to-business (B2B) implementation remains stalled. Indonesia recently shifted its energy mediation focal point from Pertamina to Lemigas, but concrete technical requests regarding oil grades, volumes, and payment mechanisms have yet to be finalized.

• Geopolitical Spillover: The ongoing conflict in Ukraine continues to shadow diplomatic ties. Russia faces continuous pressure to defend its security policies and targeting parameters against international criticism regarding civilian casualties and regional stability.

“Russia is a reliable and sustainable provider of oil and gas... If there will be any specific request, we will be ready to discuss.” — H.E. Sergei Tolchenov, Russian Ambassador to Indonesia

💡 To Solve the Problem…

Both parties are implementing institutional, military, and digital frameworks to transform political goodwill into concrete realities:

• 🏭 INNOPROM 2026: Indonesia will serve as the official partner country at Russia’s premier industrial expo in Yekaterinburg next month. Minister of Industry Agus Gumiwang Kartasasmita will lead a massive delegation of 200 state and private business representatives to showcase Indonesian industrial products at a dedicated national pavilion.

• ⚓ Exercise ‘Oruda 2026’: To solidify defense ties, the Indonesian Navy has confirmed it will dispatch warships to Vladivostok on July 24–29 to participate in the second bilateral “Oruda” maritime military exercises alongside the Russian fleet.

• 📄 Kazan Declaration 2026: Endorsed at the recent ASEAN-Russia Summit in Kazan, this landmark document establishes the Comprehensive Plan of Action (CPA) 2026–2030. It expands cooperation into emerging high-tech sectors, including smart cities, artificial intelligence (AI), biological security, and digital transformation.

“The plan of action reflects the growing maturity and evolving nature of our strategic partnership by expanding cooperation into new and emerging areas.” — H.E. Evgeny Zagaynov, Russian Ambassador to ASEAN

🚩 Key Future Milestones to Watch

• EAEU-Indonesia FTA Ratification: Russia and Belarus have fully ratified the Free Trade Agreement between Indonesia and the Eurasian Economic Union. The document is currently awaiting final legislative ratification from the Indonesian parliament (DPR RI) and remaining EAEU states.

• Bilateral Labor Migration: Recognizing Russia’s aging demographics, talks have commenced with the Indonesian Ministry of Manpower to establish formal, transparent intergovernmental frameworks to safely bring Indonesian workers into Russian regional industries.

• Diplomatic Expansion: Following a historic first-ever meeting between Vladimir Putin and Timor-Leste Prime Minister Xanana Gusmão in Kazan, initial discussions are underway for Timor-Leste to open an embassy in Moscow, with Russia eyeing a reciprocal embassy in Dili in the foreseeable future.

“In my country also, the population is aging... Russian companies are looking for such possibilities [for labor force] in Southeast Asia, including Indonesia.” — H.E. Sergei Tolchenov, Russian Ambassador to Indonesia

📌 The Bottom Line

Russia’s diplomatic offensive in Jakarta proves that isolation is a matter of perspective. By diversifying from traditional security ties into advanced digital markets, industrial exhibitions, and direct energy frameworks, Moscow and Jakarta are actively building the foundation of a multipolar Eurasian-ASEAN partnership that operates independently of Western institutional oversight.

📰 Need More Angles?

ASEAN Secretariat, Overview of ASEAN-Russia Dialogue Relations

Kompas, 76 Years of Friendship Between Russia and Indonesia

(JUN/QOB)

🎯 The Main Takeaway

On 18 June 2026, Quacquarelli Symonds (QS) released its World University Rankings (WUR) 2027 — evaluating 1,504 institutions across 106 higher education systems globally.

For Southeast Asia, the numbers tell a layered story:

• 🏆 85 ASEAN universities feature in the table — but only three sit inside the global Top 100

• 🚫 Cambodia, Laos, and Myanmar remain absent from QS WUR 2027 entirely

• 📊 Malaysia leads the region in volume (32 ranked); Singapore leads in elevation (two universities in the Top 15)

The list is less a competition between schools, and more a map of where the region has invested over decades, and where it hasn’t.

⚠️ Why It Matters

Southeast Asia is in the middle of its demographic window. The working-age population is still expanding, the average age sits near 30, and over 70% of the region is now online.

Universities sit at the center of whether that demographic potential converts into productive economies, civic strength, and innovation capacity.

🔎 Why It’s on Our Radar

• 🎓 Higher education is the bridge between a young population and a knowledge economy — without strong institutions, the demographic dividend risks becoming demographic pressure.

• 🛂 Global student flows are shifting eastward as the “Big Four” destinations (US, UK, Canada, Australia) tighten visas and study caps — pushing students toward regional alternatives.

• 💼 Foreign investment and innovation ecosystems increasingly track tertiary capacity, not just labor cost.

• 🌏 In a region where political cycles can be volatile, universities offer one of the few institutions with multi-decade time horizons.

📊 The QS Framework

The QS World University Rankings, produced annually by London-based Quacquarelli Symonds since 2004, is one of three globally referenced league tables alongside Times Higher Education (THE) and the Academic Ranking of World Universities (ARWU).

The 2027 edition scores institutions across nine indicators grouped into five lenses:

• 🔬 Research and Discovery (50%) — Academic Reputation (30%) and Citations per Faculty (20%)

• 💼 Employability and Outcomes (20%) — Employer Reputation (15%) and Employment Outcomes (5%)

• 🏫 Learning Experience (10%) — Faculty/Student Ratio

• 🌍 Global Engagement (15%) — International Faculty (5%), International Students (5%), International Research Network (5%)

• 🌱 Sustainability (5%)

QS reports that International Research Network and Sustainability recorded the highest mean scores (56) globally in 2027, while Academic Reputation and Employer Reputation remain the lowest (26 and 27).

📍 The National Picture

A snapshot of where each ASEAN country’s strongest institution lands in QS WUR 2027:

• 🇧🇳 Brunei: Universiti Brunei Darussalam, #=345, score 42.1 (2 ranked)

• 🇮🇩 Indonesia: Universitas Indonesia, #=191, score 56.7 (20 ranked)

• 🇲🇾 Malaysia: Universiti Malaya, #56, score 81.2 (32 ranked)

• 🇵🇭 Philippines: University of the Philippines, #=402, score 38 (5 ranked)

• 🇸🇬 Singapore: National University of Singapore, #10, score 96.2 (4 ranked)

• 🇹🇭 Thailand: Chulalongkorn University, #212, score 54.6 (13 ranked)

• 🇻🇳 Vietnam: Duy Tan University, #=504, score 32.2 (9 ranked)

Each country’s leading name says something distinct: Singapore’s research-intensive elite tier, Malaysia’s combination of public flagships and rising private universities, Thailand’s medical-and-research depth at Chulalongkorn and Mahidol, the Philippines’ single public anchor, Vietnam’s notable private-sector lead, and Indonesia’s broad but plateauing system.

🚫 The Absent Three

Cambodia, Laos, and Myanmar do not appear anywhere in QS WUR 2027.

QS does not publicly detail why specific systems remain unranked, and the absence sits alongside a wider regional pattern across the table: not all Southeast Asian higher education systems generate the data footprint — publications, citation pipelines, reputation surveys, internationalisation metrics — that QS draws on.

The gap is structural, even if the reasons behind it are not laid out in the ranking itself.

🔍 However, the Ranking Contains Debate

QS WUR is not without critics:

• 🇰🇷 In 2023, 52 South Korean universities boycotted QS over a newly introduced International Research Network indicator, arguing it failed to reflect their institutional performance

• 🌐 A broader global movement has pushed back on major rankings, citing concerns over transparency, methodology, and reputation-heavy weighting

• 🔒 QS does not allow universities to formally withdraw — even institutions that stop submitting data continue to be ranked using publicly available information

That structural asymmetry helps explain why Southeast Asian universities’ relationship with rankings remains pragmatic rather than contested.

💼 What’s at Stake for ASEAN

Higher education isn’t only an academic question — it sits at the heart of the region’s economic positioning.

• 📈 Tertiary access varies widely across the region, from highly developed systems in Singapore to expanding but still maturing systems elsewhere

• 🧩 Skills mismatch persists — vocational and university graduates don’t always land in the fields they trained for, a gap repeatedly flagged by ASEAN-BAC and regional labor reports

• 🧳 Outbound student flows remain heavy, with Indonesia, Malaysia, and Vietnam consistently among the region’s largest senders of students abroad

• 🌐 Regional hubs are absorbing displaced mobility — QS notes that Singapore, Malaysia, Hong Kong, and South Korea all improved their average International Student Ratio in 2027 as the “Big Four” study destinations tightened policies

The opportunity is real. The institutional capacity to capture it remains uneven.

🌐 The Regional Stakes

Southeast Asia, envisioned under the ASEAN Higher Education Space Roadmap, calls for greater harmonisation across the region’s tertiary systems. What that could mean in practice:

• 🤝 Credit transfer mechanisms and joint degrees between ASEAN universities

• 🔬 Cross-border research consortia targeting regional challenges — climate, public health, AI governance

• 📚 Mutual accreditation frameworks that reduce friction in regional mobility and ease brain drain pressures

• 🌱 Co-investment in sustainability research — already an emerging strength for several ASEAN institutions in QS metrics

• 🛠️ Stronger industry–university linkages to close the persistent skills gap flagged by ASEAN-BAC

Without coordinated investment, two outcomes become more likely:

• 📉 Continued concentration of regional excellence in just two or three states

• 🪟 A closing demographic window without the institutional density to capture it

❤️ Why This Hits Home

🇸🇬 For prospective students, rankings shape decisions — where to apply, what to study, whom to trust with tuition.

🇮🇩 For governments, rankings shape budgets — research grants, internationalisation strategies, talent retention policy.

🌏 For ASEAN, rankings are a mirror, not a verdict. They reveal what universities have built—and what entire systems have invested in or neglected over decades.

🔮 The Bottom Line

QS WUR 2027 shows Southeast Asia as anchored (Singapore, Malaysia), in momentum (Indonesia, Vietnam, Thailand), and with structural absences (Cambodia, Laos, Myanmar).

The global debate over how universities should be measured isn’t going away. Neither is the region’s demographic window.

The challenge for ASEAN is to use the rankings without being defined by them. Thus, when the list is published, the work continues.

📰 Need More Angles?

• ASEAN Secretariat ASEAN Roadmap 2025

• RAND Corporation Banking the “Demographic Dividend”: How Population Dynamics Can Affect Economic Growth

• The PIE News Korea boycotts QS Ranking but “a lot to be proud about”

• The Conversation University ranking systems are being rejected. African institutions should take note

• Times Higher Education Is South-east Asia higher education’s next global hotspot?

• QS Insights QS World University Rankings 2027 results

(BRZ/QOB)

🎯 The Main Takeaway

The Asian University Basketball League (AUBL) has unveiled its elite 12-team lineup for the 2026 championship, set to tip off from August 2-9 at Binjiang Gymnasium in Hangzhou, China.

The tournament features six returning powerhouses from the inaugural 2025 edition and six first-time participants, including debutants from the Philippines (University of the Philippines) and Australia (University of Sydney).

Meanwhile, Institut Perbanas Jakarta has secured Indonesia’s spot for the AUBL 2027 season after winning the men’s title at Campus League Basketball Season 1 The Nationals on June 13, defeating Universitas Kristen Satya Wacana (UKSW) 47-45 in overtime at UPH Basketball Court, Tangerang. The women’s title went to Universitas Surabaya (Ubaya), who beat Soegijapranata Catholic University (SCU) 59-51.

Last year, National Chengchi University (NCCU) of Chinese Taipei won the inaugural AUBL championship, defeating Tsinghua University 82-79 in a thrilling final.

Sung Hsin-Hao was named Finals MVP after a monster performance of 29 points, 12 rebounds, and 6 assists. NCCU finished the tournament a perfect 5-0, while Tsinghua closed with a 4-1 record.

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📡 Why It’s on Our Radar

AUBL is rapidly emerging as Asia’s answer to the NCAA, backed by a star-studded roster of investors including Joe Tsai (Brooklyn Nets owner), Marc Lasry (former Milwaukee Bucks co-owner), David Blitzer (Philadelphia 76ers co-owner), and basketball legend Yao Ming.

The league’s debut in 2025 drew over 65 million livestream views and more than 29,000 in-person fans, signaling strong regional appetite for elite collegiate competition.

For Southeast Asia, the tournament represents a significant milestone. The inclusion of the Philippines and Australia for the first time expands the league’s footprint across the region, while Indonesia’s representative, Perbanas, will compete in the 2027 edition against top university programs from across Asia-Pacific.

🏆 The 2026 AUBL Championship Field

Returning Powerhouses (6 teams):

• National Chengchi University (Chinese Taipei) – Reigning AUBL 2025 champions; record 74-game winning streak and six consecutive UBA titles (2021-2026)

• Tsinghua University (China) – Five CUBAL national championships; AUBL 2025 runners-up

• Hakuoh University (Japan) – Three JUBF All-Japan University titles; third place in AUBL 2025

• Peking University (China) – CUBAL national champions (2014-15, 2017-19 three-peat, 2024-25)

• Yonsei University (Korea) – Five consecutive U-League titles (2016-2020); AUBL test event champions

• National University of Mongolia (Mongolia) – MCBA Division I champions (2022, 2023)

First-Time Participants (6 teams):

• 🇵🇭 University of the Philippines – Four UAAP national titles (1940, 1986, 2022, 2024)

• 🇦🇺 University of Sydney – Australian University Basketball League champions (2022), runners-up (2024, 2025)

• 🇯🇵 Waseda University (Japan) – 103-year-old program; JUBF national runners-up (2025)

• 🇰🇷 Korea University – 14 MBC Cup titles; five consecutive U-League titles (2021-2025)

• 🇨🇳 Shanghai Jiao Tong University – Yao Ming’s alma mater; CUBAL Southeast Region champions

• 🇭🇰 The Chinese University of Hong Kong – Ended 33-year title drought in 2025-26

🇵🇭 Spotlight: University of the Philippines Fighting Maroons

The University of the Philippines (UP) Fighting Maroons bring a storied basketball tradition to the AUBL.

Founded in the early 20th century, UP is one of the founding members (1938) of the University Athletic Association of the Philippines (UAAP)—the premier sports league in the country—and was also a founding member of the NCAA Philippines in 1924.

Championship History:

• UAAP Champions (4): 1940, 1986, 2022, 2024

• NCAA Champions (4): 1924, 1925, 1926, 1929 (winning three consecutive titles from 1924-1926)

The Fighting Maroons endured a long championship drought after their 1986 title—a victory that remains legendary in Philippine sports history—before reclaiming UAAP glory in 2022 and following it up with another title in 2024.

UP’s participation in the AUBL marks their first appearance in a pan-regional collegiate tournament, following their UAAP runner-up finish in 2025 and setting the stage for a new generation of Fighting Maroons to test themselves against the continent’s best.

🏀 Indonesia’s Path to AUBL: Perbanas’ Triumph

Perbanas entered The Nationals as a third-place team from the Jakarta-Tangerang regional but defied expectations. The final against UKSW was a defensive battle, with scores tied 40-40 at the end of regulation. In overtime, Muhammad Haikal Malik—named tournament MVP—sank the decisive two-pointer to seal a 47-45 victory.

The win earned Perbanas the right to represent Indonesia in the AUBL 2027 season, which will follow a home-and-away format starting November 2026. They will compete in Conference B alongside teams from Australia, Hong Kong, and Macau.

🎯 What’s at Stake

AUBL’s rapid growth reflects a broader shift: Asia’s university sports ecosystem is professionalising. With investors like Tsai, Lasry, and Yao Ming backing the league, AUBL is positioning itself as a talent pipeline to professional leagues such as the CBA and B.League. For student-athletes, the tournament offers exposure to international scouts and a stage to compete against the continent’s best.

“Getting rejected by an NCAA college remains one of the regrets of my playing career. With AUBL, I’m proud to be able to support the right platform for student athletes in Asia.”
— Yao Ming, AUBL Investor

The inclusion of UP, with its rich UAAP pedigree, adds significant competitive depth and prestige to the tournament, creating a natural rivalry with other regional powers like National Chengchi University and Tsinghua University.

🔮 The Bottom Line

The AUBL 2026 tournament is set to be a landmark event for Asian university basketball, showcasing the region’s growing talent and ambition.

For Indonesia, Perbanas’ victory provides a historic opportunity to compete against the continent’s elite programs on a global stage.

With the University of the Philippines bringing its UAAP championship pedigree and passionate fanbase, the tournament’s Southeast Asian flavor is stronger than ever.

As the league transitions to a home-and-away format in November 2026, the future of Asian collegiate sports is being written—and Southeast Asia is playing a leading role.

🔎 Need More Angles?

• AUBL AUBL Unveils Elite 12-Team Lineup for August 2026 Championship

• Campus League Hasil Akhir Basketball The Nationals Season 1

(ELS/QOB)

🎯 The Main Takeaway

On June 16th, 2026, UNESCO held a global press briefing to address the escalating challenges families face in the digital age, launching a new practical guide designed to help parents navigate their children's online lives. Attended by 40 participants from around the world, the briefing featured a high-profile panel including UNESCO’s Assistant Director-General for Communication and Information, Mariya Gabriel; Chief of Media and Information Literacy, Adeline Hulin; and CLEMI France Assistant Director, Virginie Sassoon. The session highlighted critical data regarding youth exposure to social media, skyrocketing AI usage, and the growing debate over institutional phone bans.

During the first session by Mariya Gabriel, UNESCO’s Assistant Director-General for Communication and Information, there are three numbers that capture the current moment:

• Parental Anxiety: Parents worldwide are deeply worried about their children’s excessive screen time.

• US AI Companion Surge: In the US, a majority of children have used AI companions completely without their parents’ knowledge, leaving families feeling overwhelmed.

• UK Social Media Baseline: In the UK, around 40% of children already have social media profiles operating with minimum control or supervision from their parents.

These alarming trends have sparked concern worldwide, particularly as online crimes targeting children continue to increase.

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📵 The Failure of Bans and Age Restrictions

On these platforms, algorithms aggressively amplify harmful content, including cyberbullying, self-harm, and violence. Current age restriction systems fail to stop children from being exposed to this landscape. Bans are not enough because children’s digital lives extend far beyond social media platforms. For instance, 90% of children in Uruguay play on their phones, while 70% on their computer, and there is no big gender gap. This results in severe sleep deprivation and a lack of physical movement.

According to UNESCO, teenagers are adopting AI tools at a massive rate. In the UK, AI usage among teens surged from 37% to 77% in the span of just a single year—entirely without parental guidance. Bans alone cannot solve the issue or protect children; instead, youth need to be empowered, protected, and supported.

Beyond supporting a ban, parents need proactive guidance before giving their children smartphones (such as establishing clear family rules). Furthermore, parents must navigate the era of online influencers by discussing why their children follow certain figures and what information those influencers actually provide.

🚸 Balancing Online and Offline Care

While maintaining a neutral political stance on the issue, UNESCO believes that restrictions and bans cannot replace active digital education. Furthermore, the agency insists that bans should never substitute for “safety by design” standards—which means building technology that naturally protects children by removing features like infinite scrolling and targeted advertising. Bans can, however, serve as leverage to encourage tech platforms to adopt these safety standards. Ultimately, safety shouldn’t rely on platforms alone, it requires collective development.

A major challenge in addressing this issue is the lack of global data. We have a lot of data, but it’s more geographically focused. Addressing this, a large network of experts and practitioners from the global North to the global South mobilized to create a practical book filled with illustrations and key takeaways for families.

The goal is to ensure parents actively manage this aspect of their children’s lives. Parents need to care for their children’s online lives just as much as they care for their offline lives. They must understand the exact digital environments their children experience—how AI companions, algorithms, and tools function—and use the right strategies to engage with them.

While constant surveillance can provide parents with a temporary sense of security, it often feels overly controlling and restrictive to children. The panel emphasized the need to find a healthy, respectful balance between protection and independence.

🗝️ Key Takeaways on Guidance

• Shifting from Restrictions to Dialogue

  The current generation cannot simply be controlled by rules and restrictions; they require genuine guidance and open dialogue regarding how these platforms function.

• Overcoming Parental Misinterpretations

  Parents frequently misinterpret what their children are doing online. A youth survey revealed that while parents assume social media is purely for entertainment, children are actually using it to learn English and gain broader knowledge. This highlights why rules without explanation fail, and why open dialogue is essential.

• Proactive vs. Reactive Conversations

  Data shows that 9 out of 10 children encounter harmful content online, making proactive communication vital. Currently, only 47 percent of parents have conversations with their children before an issue occurs online; the vast majority only talk about digital risks after something bad has already happened.

📚 Does UNESCO plan to push for mandatory media literacy in school curricula?

While the new publication is primarily framed as a parent’s guide, the discussion highlighted a critical need to extend these resources directly to teachers. Attendees questioned whether the guide provides explicit strategies for the classroom, given that teachers are on the front lines of seeing how screen fatigue and digital distraction affect students daily. UNESCO confirmed that adapting these resources for schools is a top priority in the coming weeks. The goal is to build a bridge between home and school environments so that educators and parents are utilizing the same framework when guiding children through digital challenges.

A global survey conducted last year revealed a strong commitment among member states to integrate media and information literacy into school curricula. However, many countries still focus heavily on basic digital skills rather than critical thinking skills, and a large geographic disparity remains.

Recent UNESCO data indicates that more than half the countries in the world already ban the use of mobile phones in schools. While UNESCO does not endorse blanket bans on smartphones in all circumstances, it does support restrictions—including targeted bans—to prevent device use from obstructing learning.

The organization argues that smartphones should only be used in schools when there is a clear, meaningful educational justification. UNESCO hopes to translate these global insights and commitments into concrete, actionable curriculum steps very soon.

💭❓ General Q&A, Technical Guidelines, and Future Actions

📜Language Availability and Public Partnerships

The parent guide is currently available in English, Spanish, and French, with an Arabic version and other languages planned as translation partnerships develop. UNESCO is also partnering with France Télévisions to increase global accessibility.

👩‍🏫 Involvement of Tech and AI Developers

Tech companies and AI developers are involved in these discussions indirectly. UNESCO maintains specific guidelines that interface with private organizations, technology sectors, and governments to ensure they are held accountable and act as part of the solution.

🧷The Move Toward Default Safe Modes

There is a massive, cross-sector agreement among child development experts that relying entirely on parental configuration settings is an unsustainable safety strategy. Many parents—particularly single parents, working-class families, or those lacking technical literacy—simply do not have the time or specialized knowledge to manage intricate privacy matrices. Therefore, tech platforms must be mandated to implement automatic, default safe modes for users under the age of 18, ensuring that “Safety by Design” is a fixed standard rather than an optional setting.

🏠Why This Hits Home

This isn’t just a summary of global briefing, but a reality check for what’s happening in living rooms right now. The fact that a huge majority of kids are using AI companions without their parents knowing—and that teen AI usage doubled in a single year—proves that technology is moving way faster than standard parenting rules.

The stats on reactive parenting also hit hard. When fewer than half of families discuss online safety before a problem happens. UNESCO’s insights challenge the assumption that kids are just wasting time online, revealing that many are actually trying to learn. It’s a sharp reminder that shielding kids doesn’t come from building higher walls or taking away devices, but from changing how we talk to them about what they see every day.

🛑The Bottom Line

Bans and restrictions are a temporary band-aid on a fast-evolving problem. We simply cannot forbid our way out of online risks. Keeping kids safe requires a real team effort: tech companies must be forced to build automatic “Safety by Design” features so the entire burden doesn’t fall on exhausted parents, schools need to teach critical digital thinking rather than just basic tech skills, and parents have to treat their kids’ online lives with the same proactive care as their offline lives. At the end of the day, the goal isn’t constant surveillance, but open, honest dialogue that gives kids the tools to navigate the digital world safely on their own.

(AKO/ELS)

💡 The Main Takeaway

The Indonesian Rupiah (IDR) recently absorbed a historic shock, breaching the psychological threshold of Rp 18,000 per US dollar for the first time. According to Bloomberg and Bank Indonesia’s JISDOR (Jakarta Interbank Spot Dollar Rate), the currency hit an intraday low of 18,209/USD on June 9, 2026.

However, based on official Bank Indonesia (BI) announcements, aggressive market interventions and back-to-back interest rate hikes which pushed the BI benchmark rate to 5.75% on June 18 have temporarily halted the freefall.

As of late June, the Rupiah is stabilizing in the 17,700–17,800 range, but the crisis exposed deep vulnerabilities driven equally by global volatility and domestic fiscal complacency.

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📡 Why It’s on Our Radar

As Southeast Asia’s largest economy, Indonesia acts as a regional bellwether. Based on demographic and economic data from Statistics Indonesia (BPS), a currency crash directly disrupts domestic consumption for 278 million people.

Furthermore, it signals to international investors how vulnerable broader emerging markets are to shifting global capital flows and internal policy risks.

🏗️ The Rupiah Context: Structural Vulnerabilities

According to structural economic data from the Ministry of Finance and Bank Indonesia, the Rupiah is traditionally highly sensitive to external pressure due to two realities:

• 💸 Foreign Capital Reliance: Based on Ministry of Finance debt composition data, Indonesia relies heavily on foreign portfolio investments to finance its government bond market (SBN). When global sentiment sours, capital flight disproportionately hits the Rupiah.

• 🛢️ Fossil Fuel Dependency: Despite being a major commodity exporter, data from the Ministry of Energy and Mineral Resources confirms Indonesia is a net importer of crude oil and refined fuel. Spikes in global oil prices create massive domestic demand for US dollars to pay for energy imports, which actively drains foreign exchange reserves.

📜 Historical Context: A Currency Prone to Shocks

Based on historical economic records from the World Bank, the IMF, and Bank Indonesia, the current plunge is not the first time the Rupiah has faced massive structural pressure. Since independence, it has weathered several historic depreciations:

• 1965 (Hyperinflation): According to Indonesian economic history archives, severe economic mismanagement and political turmoil triggered hyperinflation rates exceeding 600%, culminating in a drastic currency redenomination to stabilize the economy.

• 1997–1998 (Asian Financial Crisis): Based on data from the International Monetary Fund (IMF), regional contagion and massive unhedged foreign corporate debt led to the Rupiah plummeting from roughly 2,400/USD to over 16,800/USD. The resulting economic collapse led directly to the fall of the Suharto regime.

• 2008 & 2013 (Liquidity Shocks): According to Bloomberg global market data, panic capital flight during the 2008 Global Financial Crisis pushed the Rupiah past 12,000/USD. Later, in 2013, the US Federal Reserve’s “Taper Tantrum” permanently pushed the currency past the 14,000/USD threshold.

• 2020 (COVID-19): Based on Bank Indonesia market tracking, global pandemic lockdowns caused a sharp, sudden plunge past 16,500/USD as investors liquidated emerging-market assets.

🔍 The Crucial Distinction: While the 2026 breach of 18,000/USD is a nominal record low, it is fundamentally different from the 1998 crisis. Based on Bank Indonesia’s latest official reports, Indonesia currently holds over $140 billion in foreign exchange reserves, whereas reserves were nearly depleted in 1998. The banking sector is highly capitalized, making this a managed slide rather than an overnight systemic collapse.

🌪️ What Drove the 2026 Record Low?

According to financial analysts and recent market data, the plunge past 18,000/USD was triggered by a perfect storm of external headwinds and self-inflicted domestic pressures.

🏛️ The Domestic Drag: Fiscal & Policy Risks

Market data indicate investors actively punished the Rupiah for perceived poor fiscal management, demanding an “Indonesia-specific policy risk premium” due to several recent missteps:

• Bloated Spending vs. Weak Revenues: Based on state budget reviews by the Ministry of Finance, the government pushed an aggressive budget expansion to fund massive new initiatives, such as the “Free Nutritious Meals” program. With actual tax revenue collections weakening compared to the previous year, rating agencies anticipated heavier debt issuance and wider fiscal deficits.

• Policy Unpredictability: According to market alerts from global index providers, transparency concerns such as the centralization of strategic commodity exports through the new Danantara sovereign wealth fund and MSCI index reviews spooked foreign investors.

• Loss of Macro Credibility: Based on tracking data for Indonesian Government Securities (SBN), an eroding sense of fiscal discipline led to aggressive sell-offs by foreign institutional investors, who dumped Indonesian bonds and pulled capital out of the country.

🌍 The Global Shocks: Energy & Rates

These domestic vulnerabilities were compounded by unforgiving global conditions:

• Geopolitical Energy Crisis: According to global commodities-tracking data, the escalating conflict in the Middle East has sharply increased global oil prices. This drastically increased the dollar-denominated cost of Indonesia’s energy imports right as domestic revenues were stalling.

• The “Higher for Longer” US Dollar: Based on US Federal Reserve policy tracking, US interest rates remained stubbornly high. Global capital naturally flowed to safe-haven US Treasury yields. The combination of high US yields and domestic fiscal uncertainty made Indonesian assets highly unattractive.

What’s at Stake for Indonesia and the SEA Economy?

For Indonesia:

• Squeezed Middle Class: Based on inflation tracking by Statistics Indonesia (BPS), a weak Rupiah is driving import inflation. To manage the soaring cost of oil, the government hiked non-subsidized fuel prices (Pertamax) by 32% in early June. This acts as a direct tax on logistics and basic consumer goods.

• Aggressive Monetary Tightening: Bank Indonesia’s rapid rate hikes to 5.75% have successfully stabilized the currency, but according to banking sector forecasts, these higher borrowing costs will squeeze domestic credit, slowing down real estate, manufacturing, and business expansion.

For the SEA Economy:

• According to regional financial analysts, a severely weakened Rupiah risks triggering localized capital flight if investors perceive systemic weakness in Southeast Asian assets. However, contagion has been limited so far because regional peers have differing fiscal fundamentals and varying degrees of dollar-denominated debt.

🛑 The Bottom Line

The breach of the 18,000 threshold was a harsh wake-up call. While Bank Indonesia’s emergency rate hikes successfully stopped the panic, they are only a temporary fix.

Based on the convergence of data from global markets and domestic fiscal trackers, the Rupiah’s historic plunge was a symptom of both external headwinds and internal complacency.

Until the government realigns its fiscal ambitions with its actual revenue, and global energy markets stabilize, the Indonesian economy will remain fundamentally on the defensive.

Need More Angles

• Antara BI hikes rate by 25 bps to stabilize rupiah amid global tensions

• Bank Indonesia BI-Rate Naik 50 bps menjadi 5,25%: Memperkuat Stabilitas, Mendorong Pertumbuhan Ekonomi

• Indonesia-Investments Bank Indonesia Raises Benchmark Rate to 5.75% in Continuous Move to Stabilize Rupiah

• International Monetary Fund (IMF) The IMF and Recent Capital Account Crises: Indonesia, Korea, Brazil (2003).

• IMF eLibrary The Three Crisis Cases

• JakartaGlobe Bank Indonesia Lifts BI Rate to 5.75%

• Kompas Penyebab Rupiah Menguat ke Bawah Rp 18.000 Per Dollar AS

• Tempo Bank Indonesia Hikes Rate Again to 5.75 pct to Save Rupiah

• World Bank Archive Indonesia in Crisis: A Macroeconomic Update (July 1998)

(ARS/QOB)

🎯 Main Takeaway

The Southeast Asian Games Showcase is once again part of the Summer Game Fest (SGF) 2026 lineup, featuring 36 games from Southeast Asian development studios.

This event may seem like just another typical game showcase. However, this showcase reflects a larger shift. Southeast Asia is no longer merely known as one of the world’s largest gaming markets, but is also beginning to be recognized as a region that produces games, studios, and creative talent capable of competing on a global stage.

This marks the second consecutive year that the Southeast Asian Games Showcase has secured a spot within the Summer Game Fest ecosystem, one of the most prestigious platforms in the global gaming industry.

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🔍 Why it’s in Our Radar

The Southeast Asian Games Showcase made its debut at Summer Game Fest in 2025 as a platform to introduce Southeast Asian developers to a global audience. Its first edition featured more than 40 games from various countries across Southeast Asia.

In 2026, the Southeast Asian Games Showcase returns with 36 new games from Indonesia, Malaysia, the Philippines, Singapore, Thailand, and Vietnam. Its presence for two consecutive years demonstrates that this showcase is becoming an integral part of the international gaming industry landscape, not just a one-time trial.

Summer Game Fest itself is one of the most influential events in the global gaming industry. The event is attended by major publishers, investors, international media, and millions of viewers worldwide.

The presence of the Southeast Asian Games Showcase serves as recognition that Southeast Asia has a maturing and growing gaming ecosystem that deserves a spotlight in the global gaming industry.

From over 40 games in the inaugural 2025 edition to 36 in 2026, this showcase demonstrates a consistent effort to place Southeast Asian developers on the global stage.

📌 Why This is Matters

Southeast Asia is a massive gaming market. According to Statista data, Southeast Asia has over 100 million gamers and is projected to generate approximately US$5.5 billion in gaming industry revenue by 2025. This figure is even projected to rise to over US$7 billion by 2030.

The gaming industry trend in Southeast Asia itself is inseparable from mobile gaming. In the first quarter of 2025, the region recorded nearly 1.93 billion mobile game installations. Indonesia is the largest contributor in Southeast Asia, accounting for around 870 million installations.

In recent years, games such as Mobile Legends: Bang Bang, Free Fire, PUBG Mobile, Roblox, and Honor of Kings have dominated the Southeast Asian market. These games are not only commercially popular but have also shaped gaming culture, online communities, the regional esports ecosystem, and local game developers.

The size of the gaming market in Southeast Asia has ultimately given rise to local game studios that are beginning to gain global recognition. Some of the most notable games include:

• Coffee Talk - Indonesia

• A Space for the Unbound - Indonesia

• Troublemaker - Indonesia

• No Straight Roads - Malaysia

• TCG Card Shop Simulator - Malaysia

• Cat Quest - Singapore

The success of these games demonstrates that Southeast Asia is no longer merely a consumer of global games but is now creating products capable of breaking into international markets.

🎮 Games Featured in Southeast Asian Games Showcase 2026

🇮🇩 Indonesia - Rich in storytelling and steeped in local culture

Indonesia stands out with games steeped in local culture and emotional storytelling. From sepak takraw games (Sepak U) to projects with unique aesthetics that have made their mark at international festivals (Kidbash: Super Legend), Indonesian developers always find unique ways to touch players’ hearts.

Featured games:

• Kidbash: Super Legend

• Neko Station

• Late Night Duty

• Lost & Found

• Kooeh: A Timeless Delight!

• Montabi

• Sepak U

• Hellheart Breaker

• In Full Bloom

• Scarlet Record

• Merry Crisis

• Verde

🇵🇭 Philippines - Specialists in cozy, tear-jerking games

The Philippines continues to solidify its position in narrative-driven games and emotional experiences. Following the huge success of the melancholic Until Then, their games consistently focus on beautiful visuals, intimate stories, and deep emotional exploration.

Featured games:

• Until Then – Afterimages DLC

• Am I Nima

• Cable City

• Puni the Florist

• Growing My Manhole

• Building Relationships

• Memoirium

• Just a Shadow Game

• Mirth Island

🇲🇾 Malaysia - A Global Hit Maker

Malaysia has demonstrated its ability to produce games with strong commercial appeal, ranging from simulations to action-rhythm titles. The country has successfully created a global phenomenon with millions of copies sold through the TCG Card Shop Simulator and is set to release the highly anticipated action-rhythm sequel, No Straight Roads 2.

Featured games:

• TCG Card Shop Simulator

• No Straight Roads 2

• GigaBash Mobile

• Table Flip Simulator

• Duo Quest

• OverHours

• KuloNiku: Bowl Up!

• Dungeon Hotpot

🇸🇬 Singapore - Unique, conceptual, and out of the box

Singapore stands out for its experimental and boldly unconventional game concepts. They don’t hesitate to push the boundaries of conventional genres to deliver clever, puzzle-filled psychological games like Prove You’re Human.

Featured games:

• Prove You’re Human

• Meaningless Random Numbers

• Work Work Work

🇻🇳 Vietnam - A visual masterpiece with magical aesthetics

Vietnam stands out for its artistic quality and strong world-building. Led by Hoa 2, which boasts visuals as beautiful as those of Studio Ghibli animations, Vietnamese developers excel at creating detailed and atmospheric fantasy worlds.

Featured games:

• Hoa 2

• Nightmare Circus

• Nol

🇹🇭 Thailand - The King of Action and Mythology

Thailand specializes in high-intensity action games with top-notch production quality. Through games like 13Z: The Zodiac Trials, they excel at blending solid combat mechanics with modern takes on mythological themes.

Featured games:

• 13Z: The Zodiac Trials

🌎 Regional Stakes

• From Consumer to Producer

For years, Southeast Asia has been known for its large player base. However, the economic value in the gaming industry lies not in playing games, but in creating products, IP, technology, and global distribution. As more regional studios successfully break into international markets, the economic value that Southeast Asian countries can generate will also grow.

• Building Digital Soft Power

Video games are increasingly becoming a global cultural medium. Several games from Southeast Asia have brought local identities to international audiences, such as Indonesia’s A Space for the Unbound and Coffee Talk, which highlight local life and culture, or the Philippines’ Until Then, which showcases Filipino youth experiences and culture. The success of these games demonstrates that the gaming industry can serve as a new platform for Southeast Asia to introduce its stories and identity to the world.

• Strengthening the Regional Creative Economy

The growth of the gaming industry not only benefits developers but also creates opportunities within this ecosystem for programmers, animators, illustrators, music composers, writers, content creators, esports professionals, and local publishers. In other words, the gaming industry can serve as a key driver of the region’s digital creative economy.

• Opening Access to Global Investment

Events like Summer Game Fest bring together Southeast Asian game development studios with international publishers, investors, and media. The more frequently regional developers appear on the global stage, the greater their chances of securing funding, strategic partnerships, and access to international markets.

• Putting Southeast Asia on the global gaming industry map

Until now, the global gaming industry has been dominated by North America, Europe, Japan, and South Korea. Through the Southeast Asian Games Showcase, Southeast Asia is beginning to establish itself as a region that not only consumes but also creates.

🏠 Why This Hits Home

This development shows that the future of Southeast Asia’s digital economy is determined not only by the number of users but also by the region’s ability to create its own products, technologies, and intellectual property.

For the creative industries and generations in Southeast Asia, the success of regional developers on the global stage proves that works originating in the region can compete and reach international audiences.

📝 The Bottom Line

The Southeast Asian Games Showcase 2026 is more than just an exhibition of 36 new games.

This showcase reflects how the Southeast Asian gaming industry is evolving from a consumer market into a production hub. Backed by a large player base, the growth of the digital economy, and the maturing local developer ecosystem, the region is beginning to produce games and IP capable of capturing the attention of a global audience.

Its second appearance at Summer Game Fest also demonstrates that Southeast Asia is no longer viewed merely as a source of users and revenue for the global gaming industry, but as a region that contributes to the creation of new works, talent, and innovations.

🧾 Need More Angle?

• Digipen The ‘Cat-venture’ Continues as The Gentlebros Launch Cat Quest II

• Eraspace Simak Ulasan Game A Space for the Unbound, Sarat Pesan Sosial!

• Games GG Almost 2 Billion Game Installs During Q1 2025

• Games Radar Summer Game Fest schedule 2026: all the dates, times, and where to watch the showcases

• Gamigion SensorTower Southeast Asian Mobile Gaming Market Report 2025

• Gosugamers TCG Card Shop Simulator confirms PS5 and Nintendo Switch 2 release, adds playable Tetramon TCG

• Kakuchopurei SEA Games Showcase 2025: All Games & Announcements

• Monster Vine Southeast Asian Games Showcase Returns June 6 With Summer Game Fest

• Slimepress Southeast Asian Games Showcase 2026- Here’s What You Missed

• Statista Gaming market in Southeast Asia - statistics & facts

• Tatlerasia Polychroma Games brings Filipino culture to gaming with ‘Until Then’

• Techsabado SPECIAL REPORT | Southeast Asia gaming hits scale as mobile, creators reshape industry

• Video Games Chronicle Southeast Asian Games Showcase: Here’s all 36 games shown in today’s presentation

(DHM/QOB

🎯 The Main Takeaway

Indonesia’s state energy company Pertamina raised Pertamax (RON 92) prices by 32.1% to Rp16,250 per liter on June 10, ending months of government-imposed price freezes that had shielded consumers from global oil volatility.

The government defended the move as a necessary fiscal safeguard, with Cabinet Secretary Teddy Indra Wijaya noting that global oil prices had “risen sharply since March” and that the government had “held back price increases for months.”

Yet economists warn the real burden falls on Indonesia’s middle class—the primary users of non-subsidized fuel—potentially slowing domestic consumption and economic growth.

The political fallout is already visible. On June 15, hundreds of students took to the streets of Central Jakarta, demanding a halt to costly flagship programs, lower fuel prices, and a clear strategy to strengthen the rupiah. Police deployed around 6,600 security personnel across the city as protests spread to the State Palace and Senayan Legislative Complex.

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📡 Why It’s on Our Radar

The conflict between the US-Israel and Iran, which erupted on February 28, effectively closed the Strait of Hormuz—a chokepoint that normally handles about 20% of global oil and LNG supplies.

The disruption sent global oil prices soaring, with Brent crude peaking at around $120 per barrel, up from approximately $70 before the war.

Southeast Asia, heavily reliant on Middle Eastern oil, has been hit disproportionately hard. A tentative US-Iran framework deal announced on June 14 has since sent oil prices tumbling—Brent fell to around $83 per barrel—but experts warn that normal shipping flows and price stability could take months to restore.

🌍 The Global Oil Market Context: A Fragile Truce with Lingering Effects

The fuel price shocks gripping Southeast Asia are a direct consequence of the US-Israel war on Iran that began on February 28, 2026. The conflict effectively closed the Strait of Hormuz, a chokepoint through which roughly 20% of the world’s oil and LNG supplies normally pass.

Brent crude, the global oil benchmark, surged from around $70 per barrel before the war to a peak of about $120 during the height of the conflict.

A Framework Deal, but Not Yet Normalcy
On June 14, a tentative US-Iran framework deal was announced, sparking a rapid market reaction. Brent crude fell by more than 5% to $82.84 a barrel, and global stock markets rallied sharply. The official signing ceremony, brokered by Pakistan, is scheduled for June 19 in Switzerland.

However, analysts caution that a return to pre-war shipping levels will not be immediate. Key challenges remain:

• Demining and Safety: Mines must be cleared from the strait, a process that could take weeks to six months, before shipping can resume safely. Shipping companies have been largely reluctant to move their vessels during the ceasefire, and hundreds of tankers remain stuck in the Gulf.

• Logistical Backlog: Restarting oil production, loading ships, and clearing the backlog of vessels will take weeks.

• Market Volatility: The lack of detailed terms in the deal has injected “unease and uncertainty.” A full-scale peace agreement may still be a long way off, and a toll system or other Iranian demands could re-emerge.

• Food Prices and Fertiliser: The war has also disrupted fertiliser supplies, a by-product of oil, putting pressure on global food prices. While the ceasefire “should help ease immediate pressure,” the crop season has already begun in several regions, meaning deliveries will likely be too late for some agricultural crops.

The regional impacts of these global trends are now visible in local fuel price data across Southeast Asia, which shows a wide divergence in retail price increases over the war period.

📊 The Regional Snapshot: Diverging Fates

⚖️ What’s at Stake: Indonesia’s Middle-Class Squeeze

Purchasing Power at Risk
The Institute for Development of Economics and Finance (Indef) warns that the hike’s “main impact” will be on middle-class purchasing power, not inflation. With Bank Indonesia’s benchmark rate at 5.5% and the rupiah under pressure, higher fuel costs reduce real income and could slow domestic consumption, which accounts for over 50% of GDP.

A Shift to Subsidized Fuel
Padjadjaran University economist Yayan Satyakti projects 10% of Pertamax users will switch to subsidized Pertalite (Rp10,000 per liter)—a move that could strain government quotas. The Rp6,250 gap between Pertamax and Pertalite is “quite significant,” Satyakti noted.

Budgetary Impact
For a household filling 100 liters monthly, the hike adds Rp395,000 to monthly expenses; for motorcycles consuming 30 liters, it’s an extra Rp119,000. Economist Rahma Gafmi from Airlangga University warns this could force middle-class households to delay non-essential spending on holidays, dining out, and electronics.

🏠 Why This Hits Home

While Finance Minister Purbaya Yudhi Sadewa insists the inflationary impact will be “minimal” since Pertamax isn’t used for public transport or freight, economists warn of secondary effects: higher operational costs for businesses that rely on private vehicles for logistics.

The government maintains that subsidized fuels (Pertalite and Biosolar) remain unchanged at Rp10,000 and Rp6,800 per liter, respectively. This suggests a policy of targeting relief at lower-income groups while shifting market costs to those who can better absorb them—a strategy that may yet prove politically sustainable if the Hormuz truce holds.

🔮 The Bottom Line

Indonesia’s fuel price adjustment is a painful correction after months of absorbing global oil shocks. However, the government now faces a dual challenge: managing the economic fallout of high energy costs while containing growing public discontent.

The student protests on June 15—demanding lower fuel prices, a halt to costly flagship programs like the free nutritional meal initiative, and a clear economic strategy—signal that political pressure is mounting. With around 6,600 security personnel deployed across Jakarta, the government is clearly taking the unrest seriously.

For Indonesia’s middle class, the immediate challenge is absorbing a 32% hike while navigating rising living costs and stagnant wage growth.

Need More Angles

• Bangkok Post Thai fuel prices to stay high until Q4

• BBC How could the US-Iran deal affect oil prices and the cost of food?

• BBC Oil prices fall and shares jump after US-Iran deal announced

• Cambodianess Cambodia Could See 1.1 Million More People Fall Into Poverty, World Bank Warns

• CNA Indonesia raises price of widely used fuel by 32%, adds to cost-of-living concerns

• Edge, The Opinion: When fuel prices sting, subsidies alone won't do

• GMA News Diesel, kerosene rollback set Tuesday, June 16, 2026; gasoline mixed

• Global New Light of Myanmar Fuel prices fall for 3 straight weeks

• Jakarta Post, The More student protests against costly programs, fuel price hikes

• Khmer Times Fuel prices drop in Cambodia

• Nation, The OR and Bangchak cut Thai petrol, gasohol and diesel prices

• New Strait Times, The Vietnam says fuel costs widen first-half trade deficit, 2026 GDP target maintained

• PrabowoSubianto.com Why Has Pertamax Price Been Adjusted? Understanding the Difference Between Subsidized and Non-Subsidized Fuel

• Rappler DOE: Bringing fuel prices to pre-war levels may take up to 12 months

• South China Morning Post Iran war ‘stark wake-up call’ for fossil fuel-dependent Southeast Asia: IEA report

• Star, The Fuel prices June 11-17: Unchanged across the board

• Strait Times, The Shock at the pump: Indonesia’s Pertamax price hike fuels cost worries for middle class

• Tempo Indonesia’s Middle Class Faces Biggest Hit From Pertamax Fuel Price Hike

• VNExpress Gasoline prices fall 1.21%

(ELS/QOB)

🎯 The Main Takeaway

Makan pagi dengan ketan. Minum kopi di teras depan.

(Breakfast with sticky rice. Coffee on the front porch.)

Hari ini YUMEE dan ESDF kita resmikan. Demi perempuan raih harapan.

(Today, we’re launching YUMEE and ESDF to help women achieve their dreams.)

Yup, the message behind this ‘pantun’ is simple: young women entrepreneurs have the potential to thrive when given the right skills, support, and opportunities.

Recognizing this potential, the Ministry of National Development Planning, together with UNDP Indonesia and Temasek Foundation, launched the Youth Ultra-Micro Entrepreneurs Empowerment (YUMEE) and Entrepreneurial Skills Development Fund (ESDF) programs in Jakarta on Thursday (6/11) in Jakarta.

The two initiatives reflect a shared commitment to helping entrepreneurs—particularly women-led and ultra-micro businesses—build stronger skills, access financing, and reach wider markets, paving the way for business growth, job creation, and more inclusive economic development across Indonesia.

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📡 Why It’s on Our Radar

Indonesia has a young and growing population, with nearly 64 million people aged 16–30, representing about 20% of the country’s population.

At the same time, more than 65 million MSMEs, including ultra-micro sectors that drive the Indonesian economy, account for 97% of jobs and around 60% of GDP.

Women lead approximately 65% of these businesses, highlighting the importance of supporting women and youth entrepreneurs to strengthen economic growth and create new opportunities.

⚠️ However...

Many young women who run MSMEs, especially in rural and underdeveloped areas, face significant barriers to growing their businesses, including:

• 🛠️ Skill development: Limited access to training, mentorship, and business development opportunities, often caused by financial constraints and insufficient funding.

• 🛒 Market access: Difficulty reaching larger markets and expanding their customer base.

• 💰 Formal financing: Limited access to loans, credit, and other formal financial services needed to start or expand a business.

• 📚Financial literacy: Limited knowledge of financial management, budgeting, and investment planning.

Another major barrier is motivation. Many young people hesitate to pursue entrepreneurship due to a lack of confidence and the absence of mentors who can help them navigate the challenges of starting and growing a business.

💡 To Solve the Problem…

The Indonesian government, through the Ministry of National Development Planning (Bappenas), has launched two empowerment programs: YUMEE and ESDF.

• 👩YUMEE (Youth Ultra-Micro Entrepreneurs Empowerment): Funded by Temasek Foundation, the program provides entrepreneurship training for young women who own ultra-micro businesses. It focuses on business development, digital skills, financial literacy, market access, productive grants, and intensive mentoring to help entrepreneurs grow their businesses.

• 💵 ESDF (Entrepreneurial Skills Development Fund): Funded through the Joint SDG Fund under the UN Joint Program. The program builds on the YUMEE initiative by providing advanced support for entrepreneurs. It focuses on innovative financing mechanisms, entrepreneurial skills development, business resilience, and sustainable business growth.

The program is initially limited to 100 participants during its one-year pilot phase and will be implemented in DKI Jakarta, Central Java, Central Kalimantan, West Sulawesi, and East Nusa Tenggara.

📑 How to Join the Program?

To join the programs, participants must meet the following criteria:

✅ YUMEE:

Young women aged 16–30 from all backgrounds and regions in Indonesia who are interested in entrepreneurship are eligible to apply, with priority given to those who already own or operate ultra-micro businesses.

Participants who meet these requirements will receive progressive entrepreneurship training, mentorship, and business development support to help prepare them for starting or growing a business.

✅ ESDF:

Participants must successfully complete the YUMEE program and obtain a certificate of completion, while demonstrating a strong commitment to entrepreneurship and growing their business.

Participants who meet these requirements will be eligible for additional financial support and capital assistance to help expand and strengthen their businesses.

🚩 The Goal…

After completing the programs, participants are expected to achieve:

• 🤝 Better support: Gain access to mentorship, guidance, and financial support to accelerate business growth.

• 🔑Better access: Expand access to markets (physical, digital, local, international), financing opportunities, and business support services such as capacity building, production, and packaging.

• 🧠More knowledge: Develop new skills and gain practical knowledge on business strategies, innovation, risk management, and relevant policies.

• ⚙️ Greater adaptability: Build the ability to respond to rapid changes in the business environment and leverage new opportunities in the digital economy.

• 💪More confidence: Strengthen their confidence and credibility as entrepreneurs, enabling them to navigate business challenges and pursue growth opportunities.

• ♻️Greater sustainability: Build resilient and sustainable businesses that can thrive over the long term, improving the well-being of entrepreneurs, their families, and their communities.

In short, the programs aim to help young women entrepreneurs gain the skills, support, and confidence needed to grow sustainable businesses, access new opportunities, and improve their livelihoods.

🏡 Why This Hits Home?

Indonesia aims to create 19 million new jobs, achieve 8% economic growth, and reduce the poverty rate to 4.5% by 2029, under the National Medium-Term Development Plan (RPJMN) 2025–2029, prepared by the Ministry of National Development Planning (Bappenas).

The country is also pursuing its long-term vision of Golden Indonesia 2045 through the National Long-Term Development Plan (RPJPN) 2025–2045. The vision seeks to position Indonesia among the world’s top five economies, increase per capita income to as much as USD 30,300, and reduce the poverty rate to below 1%.

Both development plans prioritize digital transformation, economic productivity, economic innovation, and economic integration, while also promoting quality education, gender equality, and inclusive societies.

Through these efforts, the government seeks to strengthen workforce competitiveness and productivity through training and capacity building, encourage entrepreneurship, and expand job opportunities—particularly in the MSME sector—to drive sustainable and inclusive economic growth.

🌍 The Regional Stakes

According to Temasek Foundation, the program is expected to expand to other countries across Southeast Asia in the future, extending its impact beyond Indonesia and benefiting more communities across the region.

The initiative is also expected to inspire foundations, development partners, and other stakeholders in ASEAN member states to pursue similar collaborations. By scaling and replicating such programs, the region could support more entrepreneurs, create more jobs, and promote inclusive and sustainable economic growth.

📌 The Bottom Line

YUMEE and ESDF are more than just entrepreneurship programs. They are a collective effort to ensure that young women entrepreneurs continue to believe in their potential, pursue progress, and turn their talents into opportunities—regardless of the challenges they face.

The programs embody the spirit of Tidak Kehabisan Akal—the ability to find opportunities amid limitations, transform obstacles into possibilities, and remain resourceful in times of uncertainty.

At the same time, they uphold the value of gotong royong, fostering partnership, trust, and a shared belief that success is achieved together.

Indah nian kain sutera. Dipakai elok di hari raya.

(Silk fabric is truly beautiful. It looks lovely when worn on festive occasions.)

Mari bermitra saling bekerja. Demi wirausaha pemuda tangguh dan berjaya.

(Let’s partner up and work together to foster resilient and successful young entrepreneurs.)

🔍 Need More Angles?

Kementrian Keuangan Mendorong Pertumbuhan Ekonomi lewat KUR dan Insentif UMKM

Kementrian Perencanaan Pembangunan Nasional Indonesia Emas 2045, Rencana Pembangunan Jangka Panjang Nasional Tahun 2025 - 2045

Kementrian Perencanaan Pembangunan Nasional Ringkasan Rencana Pembangunan Jangka Menengah Nasional Tahun 2025 - 2029

Kementrian Pemuda dan Olahraga Laporan Indeks Pembangunan Pemuda 2025

Statistics Indonesia Unemployment Rate by Age Group, 2025

(NGO/QOB)

🎯 The Main Takeaway

From June 5–7, Jakarta hosted the Jakarta Future Festival (JFF) 2026 at Taman Ismail Marzuki (TIM), bringing together more than 500 collaborators from government agencies, universities, research institutions, businesses, communities, media organizations, and the creative sector under the theme “Navigating Resilience.”

Organized by Jakarta’s Regional Development Planning Agency (Bappeda DKI Jakarta), the festival was designed as a platform for citizens and stakeholders to discuss the future of the capital as it approaches its 500th anniversary in 2027.

The event was officially opened by Jakarta Governor Pramono Anung at Graha Bhakti Budaya, TIM. During the opening ceremony and subsequent press engagements, organizers emphasized that resilience is no longer simply about surviving crises, but about adapting, innovating, and collaborating in response to global challenges such as geopolitical uncertainty, climate change, technological disruption, and social transformation.

Atika Nur Rahmania, Head of Bappeda DKI Jakarta: “Resilience is not merely about enduring challenges, but about how we adapt, innovate, and continue moving forward amid uncertainty.”

Bappeda Head Atika Nur Rahmania stressed that building a resilient city cannot be achieved by the government alone. Instead, it requires active participation from residents, academics, businesses, civil society organizations, and policymakers working together to shape Jakarta’s long-term future.

Over three days, the festival attracted more than 80,000 visitors and featured over 52 discussion sessions involving more than 250 speakers and moderators from Indonesia and abroad. Topics ranged from urban governance, housing, healthcare, and education to digital transformation, creative industries, sustainability, and the future of public spaces.

Beyond policy discussions, JFF 2026 featured more than ten thematic programs, including Jakarta Forecast, Urban Talks, Urban PolicyLab, Urban Workshop, Urban Study Case, Community Playground, Research and Innovation Booth, Urban Market, and Sound of the City. Public activities included free health screenings, children’s programs, community engagement initiatives, innovation showcases, and performances by leading Indonesian artists, including Kahitna, Barasuara, Yura Yunita, Endah N Rhesa, and Maliq & D’Essentials.

The festival forms part of Jakarta’s broader effort to strengthen its Urban Knowledge Management Ecosystem and encourage a shift from traditional top-down policymaking toward a more collaborative approach to city-building. Organizers framed the event around four key pillars: Shaping, Deliberating, Showcasing, and Engaging.

🏙️ What Is Jakarta Future Festival?

Jakarta Future Festival (JFF) is an annual public forum and innovation festival initiated by the Jakarta Provincial Government through Bappeda DKI Jakarta. The event serves as a platform for dialogue, collaboration, and knowledge-sharing among policymakers, academics, businesses, communities, and citizens on issues shaping Jakarta’s future.

The festival was launched in 2024 as part of Jakarta’s efforts to strengthen its Urban Knowledge Management Ecosystem and adopt a more participatory approach to urban development. Rather than functioning solely as a policy conference, JFF combines public discussions, exhibitions, workshops, cultural performances, and community activities to encourage broader civic engagement.

JFF was conceived against the backdrop of Jakarta’s ongoing transformation as it prepares for its post-capital era following the relocation of Indonesia’s national capital to Nusantara. The festival also supports Jakarta’s long-term vision of becoming a globally competitive, inclusive, and sustainable city ahead of its 500th anniversary in 2027.

Each edition of the festival focuses on future-oriented themes and brings together local and international stakeholders to discuss emerging challenges and opportunities related to urban governance, economic development, technology, sustainability, and social resilience.

📡 Why Is It on Our Radar?

Jakarta Future Festival reflects the city government’s growing ambition to position Jakarta as a globally connected, resilient, and future-ready metropolis.

During the opening ceremony, Governor Pramono Anung highlighted the importance of transportation, connectivity, and regional integration in supporting Jakarta’s future development.

Pramono Anung, Governor of Jakarta: “Connectivity between Jakarta and its surrounding cities has reached 93%, demonstrating the importance of regional integration in supporting mobility and economic growth.”

Key updates shared during the event included:

• Regional Connectivity: Integration between Jakarta and neighboring cities—Bogor, Depok, Tangerang, and Bekasi—has reportedly reached 93%.

• Affordable Public Transport: Fourteen intercity public transportation routes currently connect Jakarta with surrounding regions, with fares ranging from Rp2,000 to Rp3,500.

• Regional Standing: Jakarta is currently ranked second among Southeast Asian cities and eighth in Asia for connectivity.

• Future Infrastructure Projects: The provincial government plans to continue strategic transportation developments, including rail access to Jakarta International Stadium (JIS) and the expansion of mass-transit infrastructure.

These initiatives are intended to strengthen Jakarta’s role as the economic and mobility hub of the Greater Jakarta region while improving accessibility and quality of life for residents.

⚠️ Why It Matters?

As Jakarta prepares for its 500th anniversary in 2027, the city faces mounting challenges, including climate risks, urban congestion, and economic transformation and demographic change.

JFF 2026 demonstrates how Jakarta is addressing these issues through a more participatory governance model. Rather than relying solely on government-led planning, the festival encourages collaboration between policymakers, researchers, businesses, communities, and citizens.

The event also reflects a broader trend among global cities: an increasing use of public forums, innovation festivals, and civic engagement platforms to crowdsource ideas and build consensus around long-term urban development strategies.

🏙️ What Happened at the Festival?

The festival featured more than 52 sessions and discussions covering a wide range of urban issues, including:

• Urban governance and public policy

• Housing and sustainable development

• Healthcare and education

• Digital transformation and artificial intelligence

• Creative economy and cultural industries

• Climate resilience and environmental sustainability

• Public spaces and community engagement

More than 250 speakers and moderators participated, representing government institutions, academia, industry, civil society organizations, and international partners.

🎭 Beyond Policy Discussions

Unlike traditional policy conferences, JFF 2026 combined public engagement with policy dialogue.

Visitors could participate in:

• JFF for Kids

• Free health screening services

• Community-led activities

• Research and innovation exhibitions

• Urban Market showcases

• Cultural and music performances through the Sound of the City program

The entertainment lineup featured prominent Indonesian musicians, including Kahitna, Barasuara, Yura Yunita, Endah N Rhesa, and Maliq & D’Essentials, helping attract broader public participation beyond policy and academic circles.

🏡 Why This Hits Home?

Jakarta is home to more than 10 million residents and serves as the center of a metropolitan region of over 30 million people. Decisions made today regarding transportation, housing, climate adaptation, public services, and economic development will shape the city’s future for decades.

By bringing together government officials, experts, businesses, and ordinary citizens in a single forum, Jakarta Future Festival seeks to foster a shared conversation about what Jakarta should look like in the next century.

The festival also signals the city government's effort to make urban planning more transparent, inclusive, and responsive to public aspirations.

📌 The Bottom Line

Jakarta Future Festival 2026 was more than a public event—it was a large-scale experiment in collaborative city-making.

With more than 80,000 visitors, 500 collaborators, and 250 speakers, the festival showcased Jakarta’s ambition to become a more resilient, connected, and globally competitive city ahead of its 500th anniversary.

While festivals alone cannot solve complex urban challenges, JFF demonstrates how Jakarta is combining policy innovation, public participation, and knowledge-sharing into a single platform to shape the city’s future.

As Jakarta looks toward 2027 and beyond, the success of that vision will depend not only on infrastructure projects and government policies, but also on how effectively the city can engage its residents in building a more inclusive and resilient urban future.

(JUN/FRD/QOB)

🏀🌟Key Takeaway

24 U-18 basketball teams across Asia Pacific are officially selected to participate in the NBA Stars Invitational 2026, a basketball tournament organized by NBA Singapore in collaboration with Sport Singapore (SportSG) and the Singapore Tourism Board (STB), to be held from 22 to 28 June at the OCBC Arena.

They are ready to compete in a round-robin preliminary round before advancing to the semifinals and finals via a single-elimination bracket, ultimately competing for the championship title.

📈🚀Why It’s in Our Radar

The Asia-Pacific basketball youth ecosystem is undergoing rapid transformation, driven by heavy investment from global organizations such as the NBA and FIBA.

The region is the second-largest global basketball market after the United States, with an expanding player base of more than 30 million boys and girls.

Furthermore, the Asia Pacific basketball market size is projected to grow sustainably by 4.3% from 2025 to 2030, and revenue increased significantly from USD 154.3 million to USD 198.3 million during the period.

🌏🏫List of Participating Teams

Participating teams were selected through collaboration with national basketball federations and leagues, as well as through local qualifying tournaments held in Bangkok, Melbourne, Taipei, and Tokyo.

The competition will be divided into the boys’ and girls’ divisions, each consisting of 12 teams from 12 Asian and Pacific countries, and 9 high school basketball clubs representing Southeast Asia. This is a list of participating teams based on region and country:

🌴🏀 Southeast Asia

1. Indonesia

- Jubilee School Jakarta (♂ and ♀ teams)

2. Malaysia

- Bukit Jalil Sports School (♂ team)

3. Philippines

- Far Eastern University - Diliman High School (♂ team)

- University of Santo Tomas (♀ team)

4. Singapore

- Hwa Chong Institution (♂ and ♀ teams)

- Institute of Technical Education (♂ team)

- Nanyang Polytechnic (♀ team)

5. Thailand

- Assumption College Thonburi (♂ team)

- Watnoinoppakhun School (♀ team)

🌸🏀 East Asia

1. China

- Tsinghua University High School (♂ team)

- Yali High School (♀ team)

2. Hongkong

- Heep Yunn School (♀)

3. Japan

- Tottori Johoku High School (♂ team)

- Seika Girls’ High School (♀ team)

4. South Korea

- Kyungbock High School (♂ team)

- Gwangju Speer Girls’ High School (♀ team)

5. Taiwan

- Tongtex Secondary High School (♂ team)

- Yangming High School (♀ team)

🌏🏀 Other Parts of Asia Pacific

1. Australia

- Berwick College (♂ team)

- Rowville Secondary College (♀ team)

2. India

- The Velammal International School (♂ team)

- Royal International School (♀ team)

🌟🎓Youth Development Session

Los Angeles Lakers forward Rui Hachimura and NBA Champion Mitch Richmond will join Jeremy Lin and Laurent Jackson to participate in a coaches clinic, a Her Time to Play consultation, and a leadership panel discussion to support skill and mental development for youth basketball players during the event.

Those are a part of a series of community programs presented by the Karim Family Foundation Invitational (KFF), Official Community Partner of the NBA Rising Stars. The event will also feature performances by the Houston Rockets Hype Squad “Anti-Gravity” and the Orlando Magic mascot, Stuff.

Hachimura and Richmond emphasized that the NBA Stars Invitational 2026 should be a significant opportunity for early-stage players from the Asia Pacific to develop their skills and pursue a global professional career.

“As someone who played high school basketball in Japan, I understand how valuable an opportunity like this is in the early stages of a player’s career, and I’m excited to be a part of a program that helps inspire the next generation of players in the Asia-Pacific region,” Hachimura said.

🎯🏆 The Bottom Line

The NBA Stars Invitational 2026 reflects the growing strategic importance of Asia-Pacific in the global basketball landscape.

Beyond serving as a regional competition, the tournament functions as a talent development platform that connects promising young athletes with elite-level coaching, mentorship, and international exposure.

With participation from 12 countries and support from NBA stars and development programs, the event underscores the NBA’s long-term commitment to nurturing the next generation of basketball talent.

As basketball participation and market growth continue to accelerate across the region, initiatives such as the NBA Stars Invitational are likely to play an increasingly important role in shaping future professional players and strengthening the sport’s ecosystem throughout Asia-Pacific. 🏆🌏🏀

🔎 Need More Angles?

Complex How the NBA is Cultivating Basketball Culture in Southeast Asia

Grand View Research Asia Pacific Basketball Gear Market Size & Outlook

Jr NBA Asia Pacific

Market Reports World Basketball Market Size, Share, Growth, and Industry Analysis, Regional Insights and Forecast From 2026 To 2035

(ADE/QOB)

🎯 The Main Takeaway

On May 7, hundreds of students at Mataram University in West Nusa Tenggara gathered to watch a cinema. However, before the screening could begin, security personnel and university officials suddenly stopped the event and ordered the students to leave, without providing a clear reason.

A few days later, on May 12, dozens of students at Khairun University in North Maluku were watching the same cinema when security officers and an apparatus of the Indonesian Army arrived and dispersed the crowd. Authorities said the event did not have permission to hold a gathering outside the university’s operating hours.

The two incidents were among dozens of reported cases of intimidation and disruption during screenings of the documentary ‘Pesta Babi’ across Indonesia.

🐷 What Is ‘Pesta Babi’?

‘Pesta Babi’ or Pig Feast: Colonialism in Our Time is a documentary film released in May this year. Directed by Dhandy Dwi Laksono and Cypri Paju Dale, the film was produced in collaboration with Ekspedisi Indonesia Baru, Greenpeace Indonesia, Jubi Media, LBH Papua Merauke, Pusaka Bentala Rakyat, and Watchdoc.

The 95-minute documentary tells the story of Indigenous communities in South Papua and their struggle to defend their ancestral lands from deforestation, land appropriation, and military operations linked to the government’s National Strategic Projects.

Through these stories, the film argues that colonial practices persist in the modern era—not through foreign powers, but through policies and actions carried out by authorities within the same nation.

📡 Why Is It on Our Radar?

Several environmental issues highlighted in the film reflect real challenges facing Indonesia:

• Vast forest resources: Indonesia has around 96 million hectares of forest, making it one of the world's top 10 countries for forest area, and the largest in Southeast Asia, much of it located in Papua.

• Rising deforestation: Indonesia’s deforestation rate has increased over the past five years, reaching its highest level in 2025. An estimated 433,751 hectares of forest were lost, a 66% increase from 2024.

As a result, these environmental pressures endanger biodiversity, disrupt natural ecosystems, and threaten the livelihoods of Indigenous communities that rely on forests.

📍 Why Papua?

Papua has several unique characteristics that make it one of the world's most important ecological and cultural regions:

• Indonesia’s largest forest: Papua, has around 30 million hectares of forest, accounting for about 32% of Indonesia’s total forest cover, much of it protected for conservation.

• Unique plant life: Papua is home to more than 20,000 plant species, with around 55% found nowhere else.

• Rich wildlife: Papua hosts over 152,000 animal species, including birds, mammals, reptiles, amphibians, fish, and insects. At least 35% are endemic to the island.

• Diverse Indigenous tribes: More than 250 Indigenous tribes live across Papua, maintaining their ancestral traditions and cultural heritage.

• Growing environmental threats: Papua faces growing environmental pressure from Indonesia's National Strategic Projects program, which could convert up to 2.5 million hectares of forest in South Papua, making it one of the largest deforestation projects in the world.

As a result, these assets face growing threats from deforestation, ecosystem disruption, and the potential impacts on Indigenous communities.

⚠️ What Is a National Strategic Project?

A National Strategic Project (PSN) is a major development project designated by the Indonesian government as a national priority.

It involves the government, state-owned enterprises, and private companies, covering sectors such as infrastructure, energy, industry, special economic zones, and public facilities.

First launched under President Joko Widodo in 2016 and continued by Prabowo Subianto, the program aims to boost economic growth, increase public welfare, improve connectivity, and expand development across regions.

🌾 What Are the National Strategic Projects in Papua?

Several National Strategic Projects have been planned in South Papua, potentially affecting around 2.5 million hectares of forest to support Indonesia’s food and energy security goals.

Key projects include:

• 1.3 million hectares for food security: Converting forest into farmland, including rice fields.

• 560,000 hectares for bioethanol production: Developing sugarcane plantations for renewable energy.

• 400,000 hectares for biodiesel production: Establishing oil palm plantations.

• 380,000 hectares for livestock farming: Creating grazing and farming areas to increase meat production.

The projects are spread across several districts in the province, including Ilwayab, Tanah Miring, Jagebob, Fofi, and Waropko.

📢 Indigenous Communities’ Response

According to Greenpeace Indonesia, one of the film's collaborators, Indigenous communities in South Papua are divided in their views, with some supporting the projects and others rejecting them.

Those who oppose the projects argue that they threaten ancestral lands that have supported their livelihoods, culture, and identity for generations.

To show their opposition, Indigenous groups have installed around 1,800 red crosses across their customary lands, hoping to protect their forests, reduce environmental damage, and encourage dialogue with the government.

However, many communities believe their protests have had little impact. The government has continued land-clearing activities, and is needed to support national development goals.

🔔 The Concerns

The film highlights several concerns raised by Indigenous communities about the projects:

• Ecosystem damage: Large-scale deforestation could harm forest ecosystems and threaten endemic plants and animals that depend on them.

• Climate impact: Forest loss can reduce carbon absorption and increase greenhouse gas emissions, potentially contributing to climate change.

• Cultural Loss: Many Indigenous communities rely on forests for their livelihoods, cultural traditions, and traditional knowledge. Forest loss could affect these ways of life and cultural heritage.

• Limited support for farmers: Participants in rice farming programs reportedly received an initial assistance of around IDR 900,000, leaving them to cover additional costs themselves.

• Unfair jobs: Many skilled and managerial positions are reportedly filled by workers from outside Papua, while locals often work in lower-paid manual labor roles.

• Displacement concerns: The film alleges that some Indigenous families who opposed the projects were pressured to leave their customary lands as development expanded.

Together, these concerns have fueled debates over land rights, economic benefits, and the social impacts of large-scale development projects in Papua.

🚨 The Controversy

The film sparked public debate over several issues surrounding the Papua projects:

• Limited consultation: Local communities reportedly received little information or consultation before development activities began. In one case, around 2,000 excavators were brought in to clear the forest and build a 135-kilometer road.

• Military involvement: The film shows the military not only providing security but also participating in construction work and establishing bases near project sites.

• Large security presence: The film highlights the deployment of around 56,000 military personnel and 26,000 police officers in Papua, despite separatist groups being estimated at fewer than 1,500 members.

• Fear of repeating past failures: Critics point to several large-scale food estate projects that struggled to meet their goals:

  • Soeharto (1995): The One Million Hectare Peatland Project in Central Kalimantan failed and caused environmental damage.

  • Susilo Bambang Yudhoyono (2010): The MIFEE project in Merauke aimed to develop 1.2 million hectares for food and energy production, but achieved limited results.

  • Joko Widodo (2015–2020): Food estate projects included 1.2 million hectares of rice fields in Merauke, 31,000 hectares of cassava farms in Central Kalimantan, and 30,000 hectares of shallot and potato farms in North Sumatra. Some of these projects failed to reach production targets, while others were later converted to different land uses.

Together, these issues have fueled concerns about transparency, environmental impacts, Indigenous rights, and the long-term effectiveness of large-scale development projects in Papua.

💥 The Impact

Since its premiere in Auckland, New Zealand, on March 7, 2026, Pig Feast: Colonialism in Our Time has been screened through community-led events across Indonesia, mainly in small venues rather than commercial theaters, before being officially released on YouTube on May 22.

The documentary has attracted strong public interest, generating over 13 million views on YouTube and more than 10,000 screening requests nationwide. However, at least 20 screenings were reportedly disrupted or canceled following interventions by military personnel, public order officers, security officials, or university administrators.

Authorities have cited concerns over sensitive content related to separatism and environmental issues, while some organizers were told that the events lacked the required permits.

Despite these disruptions, the Indonesian government has stated that there is no official ban on the documentary. Yusril Ihza Mahendra said the government has never issued any directive prohibiting the film’s screening or related public viewing events.

Pig Feast: Colonialism in Our Time is one of many controversial documentary films to emerge from Southeast Asia. Other notable examples include:

🇹🇭 Thailand: Come and See (2019)

Story:

The documentary explores the relationship between Buddhism, politics, and national identity in Thailand through the 2016–2017 standoff between Thailand’s military-backed government and followers of Wat Phra Dhammakaya.

It examines the rise of the Dhammakaya movement, a major Buddhist organization with millions of followers that has faced criticism over its teachings and political ties. Through interviews and on-the-ground footage, the film raises questions about religious freedom, state power, and Buddhism's role in modern Thailand.

The Controversy:

• The documentary examines accusations against the Dhammakaya movement and its leaders, including alleged financial misconduct, stolen assets, and fundraising practices. Temple leaders have denied the allegations.

• Many followers viewed government investigations and military operations as politically motivated and unfairly targeted the temple and its religious activities. While authorities argued they were necessary to address alleged legal and financial issues.

The Impact:

• Authorities launched major operations around the temple and sought to arrest its spiritual leader, Phra Dhammachayo, over alleged financial misconduct.

• The documentary sparked debate over religious freedom and state power, and its release in Thailand was delayed for nearly 2 years due to a lengthy censorship review.

• The film reignited public debate about the relationship between religion, politics, and the military-backed state in Thailand.

🇵🇭 The Philippines: The Kingmaker (2019)

Story:

The documentary explores the lasting influence of the Marcos family on Philippine politics and public memory, focusing on Imelda Marcos and her continued political influence after the fall of the Marcos regime.

It revisits the rule of Ferdinand Marcos, including martial law, corruption allegations, and human rights abuses, while examining the family’s political comeback and concerns about historical revisionism and misinformation.

The Controversy:

• The documentary presents a critical view of Imelda Marcos and Ferdinand Marcos, focusing on allegations of corruption, human rights abuses, cronyism, and wealth accumulation during the Marcos era.

• Supporters of the Marcos family argue the film is politically biased and overlooks the administration’s achievements.

• The documentary also sparked debate over its extensive interviews with Imelda Marcos, with some praising the access and others arguing it gave her an opportunity to justify or reshape historical narratives.

The Impact:

• The documentary was not banned by the administration of Rodrigo Duterte and was screened at public and private events across the Philippines.

• The film fueled debate over democracy, political dynasties, and the Marcos family’s political comeback.

• Supporters of the Marcos family dismissed it as biased; critics viewed it as an important warning against historical revisionism.

🇮🇩 Indonesia: The Act of Killing (2012)

Story:

The documentary examines the 1965–1966 mass killings in Indonesia after the G30S/PKI incident, which reportedly killed hundreds of thousands of people accused of being communists.

It follows Anwar Congo, a former executioner, as he recounts and reenacts his role in the killings of suspected communists. The film also highlights how many perpetrators were never prosecuted and remained respected figures during the New Order era.

The Controversy:

• The film sparked controversy by featuring former perpetrators of the 1965–1966 killings, including Anwar Congo, and invited them to reenact their actions on camera.

• The documentary challenges the New Order government’s version of history, including the narrative presented in Pengkhianatan G30S/PKI.

• It also drew criticism from members of Pemuda Pancasila, which is prominently featured in the film.

• The documentary highlights allegations of mass killings, persecution, and other human rights abuses during Indonesia’s anti-communist purge.

The Impact:

• The film faced strong opposition in Indonesia, with some officials and groups calling for a ban, arguing that it could promote communist ideas.

• Although it received international acclaim, the documentary was never given a nationwide theatrical release or broadcast on national television.

• Several screenings organized by universities, community groups, and human rights organizations were reportedly disrupted, canceled, or pressured by authorities and mass organizations.

• The controversy reignited public debate over the 1965–1966 anti-communist purge, freedom of expression, and Indonesia’s unresolved human rights issues.

🇰🇭 Cambodia: Enemies of the People (2009)

Story:

The documentary follows journalist Thet Sambath as he investigates the crimes of the Khmer Rouge and uncovers stories hidden for decades. After losing several family members under the regime, he spent years interviewing former officials, perpetrators, and survivors.

Through rare interviews with Nuon Chea, the film examines how the Khmer Rouge’s radical “Year Zero” policy led to mass executions, forced labor, starvation, and the deaths of up to two million people in Cambodia.

The Controversy:

• The documentary sparked controversy for its rare interviews with former Khmer Rouge leaders, including Nuon Chea, and on-camera confessions from former executioners involved in mass killings.

• Critics argued that giving perpetrators a platform could humanize them, while supporters said the testimonies provide valuable evidence about how the genocide occurred. The film raises difficult questions about responsibility, accountability, and the legacy of the Khmer Rouge regime.

The Impact:

• The documentary reignited debate in Cambodia about the Khmer Rouge genocide and its lasting impact on the country.

• Although Cambodia’s Ministry of Culture and Fine Arts denied a wide theatrical release in 2010, the film received international acclaim for its investigative reporting and rare testimonies from survivors and former perpetrators.

• Human rights groups also criticized the restrictions, arguing the documentary should be more widely accessible.

🇲🇲 Myanmar: Burma VJ - Reporting from a Closed Country (2008)

Story:

The documentary follows the 2007 Saffron Revolution, a pro-democracy movement led by Buddhist monks against Myanmar’s military government. Filmed by around 30 anonymous journalists, it is narrated by “Joshua,” a former state newspaper employee who secretly documented the protests.

More than 100,000 people joined the demonstrations after fuel price hikes increased living costs. The movement reflected decades of frustration with military rule and renewed demands for democracy and political freedom.

The Controversy:

• The film documents the military’s response to the 2007 protests, including arrests, intimidation, and the use of force against demonstrators.

• It highlights the military government's efforts to restrict foreign journalists, limit media coverage, and shut down communication networks during the protests.

• The documentary reveals events that were largely hidden from the public and the international community, challenging the government’s account.

The Impact:

• The documentary drew international attention to the 2007 Saffron Revolution and increased scrutiny of Myanmar’s military government.

• After the protests, authorities targeted journalists, activists, monks, and democracy supporters, forcing some into hiding or exile.

• The film helped preserve evidence of the protests and became an important record of Myanmar’s struggle for democracy, human rights, and press freedom.

🇲🇾 Malaysia: The Last Communist (2006)

Story:

The documentary follows Chin Peng from his early anti-colonial activism to his leadership of the Malayan Communist Party insurgency, and his later years in exile near the Malaysia–Thailand border, where he was never allowed to return permanently to Malaysia.

Through interviews, memories, songs, and performances, the film reconstructs his life and presents different perspectives on his role in history and the legacy of communism in Malaysia and Southeast Asia.

The Controversy:

• The documentary sparked controversy because it focuses on Chin Peng, a highly divisive figure in Malaysian history.

• Critics, including leaders from Barisan Nasional, argued that the film could appear sympathetic to the communist insurgency and reopen painful memories of the Malayan Emergency.

• Supporters, however, argued that the documentary is not pro-communist but an exploration of exile, reconciliation, and historical memory.

• The debate reflected broader disagreements over how Malaysia should remember Chin Peng, communism, and its national history.

The Impact:

• The documentary was approved by Malaysia’s Film Censorship Board but was banned by the Ministry of Home Affairs just days before its planned nationwide release in May 2006.

• Authorities argued that its portrayal of Chin Peng and the Malayan Communist Party could threaten national security and public order.

• The decision drew criticism from filmmakers, academics, and civil society groups, who argued that it undermined freedom of expression and public discussion of history.

📌 The Bottom Line

Controversial documentaries are not just films—they are battlegrounds where history, politics, religion, and human rights collide. Across Southeast Asia, they have challenged official narratives, amplified marginalized voices, and forced societies to confront uncomfortable truths.

Yet the greatest impact of these films is often not what appears on screen, but the debates they spark afterward. The more they are criticized, censored, or disrupted, the more they raise questions about freedom of expression, historical memory, and who gets to tell the story.

🔍 Need More Angles?

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(NGO/QOB)