Indonesia’s finance minister floats, then withdraws, Malacca Strait toll proposal Indonesia’s finance minister Purbaya Yudhi Sadewa raised the idea of imposing a levy on ships passing through the Strait of Malacca during a financial symposium in Jakarta on April 22, 2026, suggesting it could align with President Prabowo Subianto’s directive for Indonesia to play a more active role in the global economy. He noted that whereas Indonesia sits on a strategic global trade route, ships currently pass through the strait without being charged, questioning whether that arrangement remains appropriate. The proposal drew immediate attention due to its similarity to Iran’s recent move to charge vessels transiting the Strait of Hormuz, a critical energy chokepoint handling about a quarter of the world’s seaborne oil shipments. The Strait of Malacca, bordered by peninsular Malaysia, Singapore, and Indonesia’s Sumatra island, is the shortest route between the Indian and Pacific oceans and one of the busiest trade corridors globally, with over 100,000 transits recorded in the past year. However, Purbaya quickly walked back the suggestion, emphasizing that Indonesia would not seek to monetize international shipping routes simply because it can. He stressed that such a move would face significant legal, geopolitical, and practical constraints, particularly given the strait’s status under international law guaranteeing freedom of navigation. Littoral states have long reaffirmed their commitment to keeping the waterway safe and open for all vessels. The finance minister reiterated Indonesia’s commitment to a “free and active” foreign policy, avoiding actions that could provoke wider geopolitical entanglements. He also affirmed that recent transits of U.S. Warships through the strait had been lawful and consistent with the principle of unimpeded passage. Purbaya concluded that turning the strait into a source of revenue is neither straightforward nor appropriate, and Indonesia has no intention of pursuing such a measure. His remarks underscored the country’s preference for cooperation over unilateral action in managing shared maritime spaces.
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