Key insights and market outlook
President Prabowo Subianto announced that the Indonesian government has regained control of 4 million hectares of land after revoking corporate permits. This move aligns with the government's commitment to Article 33 of the 1945 Constitution, which states that vital natural resources should be controlled by the state for the people's prosperity.
In a significant policy announcement, President Prabowo Subianto revealed that the government has successfully regained control of 4 million hectares of land previously held by corporations. This was achieved through the revocation of land use permits, marking a major step in Indonesia's land reform efforts.
President Prabowo emphasized that this action is in line with Article 33 of the 1945 Indonesian Constitution, which mandates that vital natural resources be controlled by the state to ensure the prosperity of the people. The government's move is seen as a fulfillment of this constitutional obligation.
This land recovery effort has significant implications for Indonesia's natural resource management. By regaining control over such a large tract of land, the government can potentially redirect its use towards more public benefit, such as conservation or community-based agriculture.
The decision is expected to have both economic and environmental implications. It may affect corporations that previously held the land, potentially impacting their operations and the broader economy. Environmentally, it could lead to better conservation practices if the land is managed more sustainably by the state.
Land Permit Revocation
Natural Resource Reclamation