Indonesian Parliament Faces Fresh Anger Over New Allowance Increase

Indonesian Parliament Faces Fresh Anger Over New Allowance Increase

Preface

The issue of lawmakers' compensation in Indonesia has sparked significant public outrage, following new developments. After widespread protests concerning the excessive pay of MPs, another layer of frustration has emerged with the announcement of a new recess allowance increase. The aim here is to delve into the reasons behind this allowance hike and the public's reaction in Indonesia.

Lazy bag

Indonesian lawmakers face backlash after a nearly doubled recess allowance. Public anger reignites with calls for accountability amidst rising costs.

Main Body

In recent weeks, Indonesia has been at the center of public scrutiny as lawmakers have approved a significant increase in their recess allowances, just after protests erupted over their lavish compensations. The newly approved allowance stands at approximately 702 million rupiah, a substantial rise from the previous 400 million rupiah. This revision aims to support lawmakers in fulfilling their official duties during parliamentary recesses, including engaging with constituents and gathering feedback.

Historically, the controversy around lawmakers’ earnings is not new to Indonesia. The initial protests in August were sparked by outrage over a $3,000 monthly housing allowance, an amount considered exorbitant compared to Jakarta's minimum wage. This announcement led to broader demonstrations focusing on issues such as corruption and economic inequality within Southeast Asia’s largest economy.

The justification for this new hike, according to Indonesian officials, is the increased activities and rising living costs, including food and transport. Sufmi Dasco Ahmad, Deputy House Speaker, emphasized that the previous allowance failed to reflect the climb in living expenses.

Furthermore, to mitigate increasing public distrust, the House of Representatives plans to launch a publicly accessible app. This innovation will require lawmakers to report their expenditure of the recess funds, hence offering Indonesian citizens a transparent view of how public resources are utilized.

Interestingly, allowance provisions are not unique to Indonesia; other countries like Australia also provide similar compensations, albeit different in scope and amounts. The Australian electorate allowance varies substantially depending on the constituency size, ranging from $25,000 to $37,000 annually.

The recent developments are indicative of increasing dissatisfaction among Indonesians, with criticism directed at what is perceived as the political elite's impunity. Despite the abolition of the housing allowance, the emergence of another substantial financial benefit has reignited frustrations. Reports have also emerged regarding lawmakers receiving an extra 54 million rupiah inadvertently due to administrative errors. Authorities assured this was remedied by reclaiming the funds, but this added confusion has not helped pacify the public’s skepticism.

The broadening schism between the political elite and the populace raises questions about future elections and the criteria upon which Indonesians will base their decisions to elect public figures. The significant challenge remains: how can the Indonesian government restore trust and confidence among its people amidst ongoing economic disparities?

Key Insights Table

AspectDescription
Allowance IncreaseRecess allowances almost doubled to support MPs during official duties.
Public ReactionThe increase sparked public anger, viewing it as excessive amidst economic concerns.
Last edited at:2025/10/14

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