Indonesia’s Street Unrest and Its Rippling Blow to Tour and Travel in Borneo

 

Mass demonstrations by the people in Jakarta and other major cities in Indonesia demanded justice and better economic change. Documentation: Kompas.com

On August 28, 2025, Indonesia’s capital, Jakarta, was engulfed in one of the largest waves of protest since the Reformasi era. 

Thousands of citizens poured into the streets, rallying against lawmakers’ extravagant privileges and rising economic burdens. 

Labor unions, students, ojek drivers, and civic activists converged in front of Parliament, demanding justice, fairness, and relief from rising living costs.

The flashpoint came after revelations that members of parliament were enjoying housing allowances worth nearly $3,000 per month—a symbol of elite privilege in stark contrast to stagnant wages and mass layoffs. Tensions escalated when Affan Kurniawan, a motorcycle taxi driver uninvolved in the protest, was struck and killed by a police armored vehicle. His death became a rallying cry, crystallizing the sense of inequality and government indifference.

What began as a peaceful demonstration soon spiraled into chaos. Buses and government buildings were set ablaze, malls shuttered, and at least five people lost their lives. 

The scale of destruction prompted President Prabowo to cancel a planned visit to China, cut back lawmakers’ perks, and vow harsher measures against rioters. Yet, for many, the concessions were seen as cosmetic. Distrust in state institutions had already reached a breaking point.

For international observers, the violence in Jakarta was more than a domestic political storm. It was a warning bell: if Indonesia’s democratic institutions falter, so too could its economic engine—and with it, the country’s fragile tourism sector, from Bali to Borneo.

Shockwaves Across the Economy and Tourism

The unrest jolted financial markets almost instantly. The Jakarta Composite Index plunged over 2% on August 29, followed by a sharper 3% drop just days later. The rupiah weakened to its lowest level in weeks, forcing Bank Indonesia to intervene in the foreign exchange market and regulators to loosen rules for corporate stock buybacks.

For investors, the message was stark: Indonesia’s stability could no longer be taken for granted. But for tour operators, hotel owners, and travel agencies, the damage was just as visceral. International tourists, already cautious after global geopolitical shocks, saw images of burning buses and armored vehicles in Jakarta flash across news feeds. Travel advisories tightened, and planned bookings began to evaporate.

Tourism, one of Indonesia’s most resilient industries, depends heavily on perceptions of safety and stability. When demonstrations paralyze the capital, ripple effects hit regional hubs. Domestic flights see cancellations. Travel agencies experience sudden drops in inquiries. Tourists who had planned multi-city itineraries—Jakarta, Yogyakarta, Bali, and Borneo—rethink their trips altogether.

In Jakarta itself, malls like Sarinah, Plaza Senayan, and Atrium Senen closed or shortened hours. TransJakarta buses stopped running. MRT lines were restricted. These interruptions highlight a crucial fact: modern tourism depends on functioning urban mobility. When that collapses, the signal to foreign travelers is unmistakable—this is not the time to visit Indonesia.

Borneo’s Tourism Takes a Hit

While Jakarta grabbed the headlines, Borneo quietly absorbed its own blows. Protests in Pontianak—including the torching of a police post inside Ayani Mega Mall—sent shockwaves through West Kalimantan’s tour industry. Arrests surged, hotels reported cancellations, and local guides began receiving calls from anxious clients abroad.

Though reports from Palangka Raya, Banjarmasin, Sintang, and Sanggau were less visible in international media, the implications were real. These cities form part of Borneo’s growing travel corridor, linking eco-tourism adventures, cultural journeys, and river tours. A climate of unrest—even if localized in one or two cities—can tarnish the entire island’s reputation.

For small tour operators, the timing was cruel. August is peak travel season, with European and Asian tourists flocking to Borneo’s rainforests, river cruises, and orangutan sanctuaries. The protests coincided with what should have been one of the busiest weeks of the year. Instead, bookings dropped, some travelers rerouted to Malaysia’s Sarawak or Sabah, and local drivers, guides, and artisans lost critical income.

The damage goes beyond short-term losses. Tourism in Borneo is built not just on attractions but on trust. When travelers see footage of riots in Jakarta followed by images of burning property in Pontianak, the nuance between Java’s political crisis and Borneo’s peaceful landscapes disappears. To many, Indonesia is viewed as a whole. And when Indonesia looks unstable, Borneo’s eco-lodges and river tours look risky too.

The Long Road Back for Tour & Travel

The Indonesian government has attempted to stabilize both markets and morale. Stimulus packages promise discounted transportation, housing support, and food subsidies. Authorities highlight strong economic fundamentals—Q2 growth at 5.12%, the fastest in two years—as evidence that the turmoil is temporary. But for the tour and travel industry, recovery will take more than statistics.

Rebuilding confidence requires a multipronged effort:

1. Security assurances: Tourists need clear signs that unrest is contained, with airports, hotels, and key travel corridors operating smoothly.
2. Regional branding: Provinces like West Kalimantan, Central Kalimantan, and South Kalimantan must differentiate their tourism message, showing that Borneo remains safe and welcoming despite Jakarta’s troubles.
3. Partnership with local operators: Travel agencies, airlines, and online booking platforms must coordinate campaigns to reassure travelers, especially in long-haul markets like Europe and North America.
4. Community resilience: Local guides, boat operators, and homestay owners are the backbone of Borneo’s tourism economy. Their survival during downturns—through microcredit, grants, or cooperative support—will decide whether the sector bounces back.

For now, tour operators in Borneo are left navigating cancellations, renegotiating with clients, and hoping the unrest does not flare again. The region’s lush rainforests, longhouses, and river journeys remain as enchanting as ever—but until Indonesia’s political streets are calm, convincing the world of that enchantment will be an uphill battle.

The August protests revealed something profound: in a globalized age, the line between politics and tourism is thin. When Jakarta burns, Borneo trembles—not because its jungles have changed, but because the image of Indonesia itself has. The survival of Borneo’s travel dream depends not just on the beauty of its landscapes, but on the stability of its democracy.

 by Rangkaya Bada