Indonesia is in the throes of its most severe political unrest in decades, as mass protests have erupted across the country in response to revelations about lavish perks for lawmakers. The crisis, which has left at least seven people dead and many more injured, has shaken the nation’s political establishment and forced President Prabowo Subianto to make rare concessions while simultaneously threatening a harsh crackdown on unrest.
The turmoil began on August 25, 2025, when reports surfaced that all 580 members of Indonesia’s House of Representatives had been receiving a monthly housing allowance of 50 million rupiah—about $3,000 to $4,700, depending on the source—since September 2024. This sum is nearly 10 times the minimum wage in Jakarta and about 20 times that in some of Indonesia’s poorer regions, according to Reuters and The Jakarta Globe. For many Indonesians struggling with rising living costs, taxes, and unemployment, the allowance felt like a slap in the face.
Outrage quickly spilled onto the streets of Jakarta and then spread to other major cities, including Yogyakarta, Bandung, Semarang, Surabaya, Makassar, and Medan. Demonstrators, many of them students and gig workers, demanded not only the repeal of the housing allowance but also broader reforms: wage increases, tax cuts, and action against corruption. The protests were marked by chants, banners, and a palpable sense of betrayal by a political class seen as out of touch with ordinary citizens’ struggles.
The situation escalated dramatically after a police vehicle from the Mobile Brigade unit ran over 21-year-old ride-hailing driver Affan Kurniawan during a protest in central Jakarta on August 29. The incident, captured on video and widely shared on social media, showed the armored car speeding through a crowd and failing to stop after striking Kurniawan, who was reportedly delivering food at the time. He later died in the hospital. As BBC and Reuters reported, his death became a rallying cry for protesters and highlighted the deep class divide between Indonesia’s working poor and its political elite.
“The focus on the housing allowance has opened the floodgates for a more intense focus on politicians’ salaries and, more importantly, whether they are worthy of them,” Elisabeth Kramer wrote for Indonesia at Melbourne. “The argument is that if politicians do not understand what it is like to live as an ordinary person in Indonesia, how can they possibly represent ordinary people’s interests?”
As protests intensified, so did the violence. Riot police responded with tear gas, water cannons, and tactical vehicles. Protesters fought back, throwing rocks and bottles, setting fires, and in some cases, ransacking and burning government buildings. In Makassar, three people died after an angry mob set fire to the regional parliament complex. Looters broke into the homes of prominent politicians, including Ahmad Sahroni and Nafa Urbach of the NasDem party, parading stolen goods on social media. Even Finance Minister Sri Mulyani Indrawati’s house outside Jakarta was not spared; a crowd overpowered soldiers guarding her gated community, broke in, and made off with electronics, paintings, clothing, and furniture, according to Antara and The Jakarta Globe.
By the end of the weekend, at least seven people had died in the unrest, including a university student in Yogyakarta who was killed during clashes with riot police. The violence and destruction rattled investor confidence, triggering a sell-off in Indonesia’s stocks and currency markets.
Faced with mounting public anger and the risk of further destabilization, President Prabowo Subianto took to the airwaves on Sunday, August 31. Flanked by leaders of eight political parties, he announced that lawmakers’ perks and privileges—including the controversial housing allowance—would be revoked. “Leaders in parliament have conveyed that they will revoke a number of parliament policies, including the size of allowances for members of parliament and a moratorium on overseas work trips,” Prabowo said, as reported by Reuters. The changes were set to take effect by Monday, September 1.
Prabowo, who canceled a planned trip to China to address the crisis, framed the move as a response to public demands and a step toward restoring trust in government institutions. “The parties have reached consensus to revoke these privileges,” he said. “I sincerely ask all citizens to trust the government and remain calm. The government is determined to always fight for the interests of the people and the nation.”
However, Prabowo’s conciliatory tone was accompanied by a stern warning. He ordered the police and military to take “firm action” against those responsible for violence, looting, and destruction of property, warning that such acts could constitute treason and terrorism. “When demonstrations turn anarchic, destroying public facilities, endangering lives, and attacking private homes or public institutions, this becomes a serious violation of law,” he declared. “The state would not tolerate attempts to destabilize the country.”
Security was tightened nationwide, with soldiers and police deployed to guard key locations. Authorities announced that seven officers were being investigated in connection with Affan Kurniawan’s death. Meanwhile, student groups and other protesters insisted that the government’s concessions did not go far enough, demanding deeper reforms to address inequality and corruption.
The crisis has cast a harsh light on Indonesia’s enduring class divides and the sense among many that the political system serves the few at the expense of the many. As Erin Cook observed in her newsletter Dari Mulut ke Mulut, the death of Affan Kurniawan “highlighted the gaping class divide between the people that actually make Indonesia function, including the country’s vast network of ojol drivers, and a political elite that is perceived as distant and indifferent to the struggles of ordinary people.”
Despite the turmoil, President Prabowo has so far managed to avoid becoming the focal point of public anger. Analysts note that Prabowo remains especially popular among young Indonesians, thanks in part to a savvy social media presence and a campaign image that cast him as a relatable “grandpa” figure. But as the unrest drags on, questions loom about how long his popularity will last and whether the concessions announced will be enough to satisfy a restless public.
For now, Indonesia’s government has taken a step back from the brink by revoking lawmakers’ perks and promising accountability for abuses. But the protests have exposed deep fissures in the nation’s democracy and a growing demand for leaders who understand—and address—the everyday realities of their people.