Indonesia pushes asset forfeiture bill to boost poverty alleviation

A crowd of demonstrators gathered outside the Indonesian Parliament in Jakarta, urging lawmakers to pass the Asset Forfeiture Bill and impose severe punishments on corrupt officials. The protest, which occurred on Thursday, August 27, 2026, was described as largely orderly.

In response to the public's demands, the Indonesian Parliament has opened a channel for dialogue and committed to finalizing the Asset Forfeiture Bill by December 15, 2026. This legislative push is seen as a critical step in the government's strategy to combat poverty.

Budiman Sudjatmiko, Head of the Poverty Alleviation Acceleration Agency (BP Taskin), emphasized that the bill's passage extends beyond mere law enforcement. He views it as a fundamental calculation of the state's capacity to fund poverty alleviation initiatives. President Prabowo Subianto is fully committed to eliminating budget leakage, Sudjatmiko added.

Sudjatmiko explained that corruption creates two primary problems: leakage and crime. By eliminating the leakage of criminal proceeds through asset forfeiture, the government can redirect more funds directly to poverty alleviation programs. He further noted that corruption results in a double loss for the state: the loss of public funds and the erosion of the state's capacity to provide services and development. Therefore, asset forfeiture serves as a tool to restore the state's fiscal capacity, enabling more effective execution of programs directly benefiting the poor.