ASIATODAY.ID, JAKARTA – President Prabowo Subianto has issued a firm warning to corporations and government officials alike: the state must not be overpowered by private interests.
Speaking at a Plenary Cabinet Meeting at the State Palace on Monday, December 15, 2025, Prabowo reaffirmed that Article 33 of Indonesia’s 1945 Constitution remains the fundamental pillar of the nation’s economic system—particularly in managing natural resources.
His remarks reflect growing concern that Indonesia, despite its vast mineral wealth, has long failed to fully benefit from it, as profits from mining and forestry concessions continue to flow abroad instead of strengthening the domestic economy.
“We need corporations and private enterprise, but they must not dictate policy or overpower the state,” Prabowo said.
Article 33 Is a Constitutional Mandate, Not a Slogan
Prabowo stressed that all economic regulations—ranging from ministerial decrees to laws—must align with the Constitution. Any rule contradicting the 1945 Constitution, especially Article 33, must be revised or abandoned.
He criticized officials who rigidly adhere to regulations without questioning whether they truly serve national and public interests.
“The Constitution must not become a mere slogan. Article 33 governs the real economic life of our people,” he emphasized.
Article 33 mandates that Indonesia’s economy be organized as a collective endeavor based on the principle of kinship, with strategic sectors and vital natural resources controlled by the state for the greatest benefit of the people.
Mining and Forestry Permits Under Comprehensive Review
As a concrete measure, Prabowo revealed that the government has reclaimed more than four million hectares of land previously controlled through illegal or abusive concessions.
He ordered ministries to halt the extension of permits—including:
Mining Business Licenses (IUP)
Cultivation Rights (HGU)
Forest Concession Rights (HPH)
Industrial Plantation Forest permits (HTI)
If they fail to deliver tangible benefits to the public or violate constitutional principles.
“This year, no forestry or mining permits have been extended. All licenses are under review,” Prabowo stated.
Export Earnings Drain Seen as Threat to National Interests
One of the strongest points in Prabowo’s address was his criticism of concession holders who park export proceeds from natural resources overseas instead of repatriating them to Indonesia.
According to him, such practices undermine national sovereignty and deprive the country of much-needed capital.
“They receive mining and land concessions, earn massive profits, yet refuse to place those earnings in Indonesia. That does not serve the national interest,” he said.
Prabowo warned that tolerating such behavior would constitute a failure of governance.
Law Enforcement and State Apparatus Put on Notice
The president also instructed law enforcement agencies, the military, and the police to take firm action against internal actors involved in protecting illegal resource exploitation.
“Illegal activities must be confronted decisively. There must be no state officials shielding the plunder of Indonesia’s natural wealth,” Prabowo declared.
Towards ‘Indonesia Incorporated,’ Not Elite Capture
Concluding his address, Prabowo called for a unified national effort to ensure that economic growth benefits all citizens—not just a small elite.
“We want Indonesia Incorporated—working together for shared prosperity. It cannot be acceptable for a handful of people to enjoy the nation’s wealth while millions struggle,” he said.
The administration’s stance signals a policy shift toward stronger state control over natural resources, aiming to ensure that Indonesia’s mineral and forestry wealth translates into domestic economic resilience, social justice, and sustainable growth. (AT Network)
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