Indonesian national development and environmental policy

Rachmat Pambudy, the Minister of National Development Planning and Head of Bappenas, has outlined strategic priorities for Indonesia’s economic and environmental development.

In August 2026, the Minister emphasized the need for an integrated ecosystem within the palm oil industry. He stated that downstreaming efforts must be supported by strengthening upstream sectors, including plantation management and productivity, to ensure economic benefits reach the community. In Riau, local government efforts are focusing on infrastructure, industry governance, and price regulations for smallholders.

By September 2026, the focus shifted toward labor and climate policy. Pambudy advocated for the prioritization of ‘green jobs’ to combat climate change. He proposed redefining green job criteria to include indicators such as low carbon emissions and efficient energy use, specifically tailored to Indonesia’s domestic conditions. He urged the development of national classifications to ensure the country is not ‘dictated’ by international organizations regarding its labor policies.