Prabowo, Luhut Discuss US-Israel-Iran Conflict and Economic Impact on Indonesia

Jakarta – President Prabowo Subianto and Chair of the National Economic Council (DEN) Luhut Binsar Pandjaitan convened a meeting on March 11, 2026, to address the potential economic repercussions of the escalating conflict in West Asia, particularly involving the United States, Israel, and Iran. The discussion too encompassed Indonesia’s national energy supply situation.

Escalating Tensions in West Asia

The meeting followed a period of heightened tensions in the region, beginning with military actions by the United States and Israel against Iran on February 28, 2026. According to reports, Iran subsequently launched retaliatory attacks against Israel and neighboring countries from U.S. Military bases.

Indonesia’s Economic Resilience

Cabinet Secretary Teddy Indra Wijaya stated that President Prabowo received Luhut and other DEN members, along with relevant ministers, to discuss global economic developments and the potential impact of the Middle East conflict on both the global and Indonesian economies. Strategic steps to strengthen national economic resilience were also a key focus of the discussion.

National Energy Supply

The meeting addressed concerns regarding the national energy supply, with assurances that the domestic supply of oil and gas remains sufficient to meet national needs. The government plans to continue monitoring global energy price developments and prepare mitigation measures to control any potential impact on the State Budget. Prabowo emphasized the importance of accelerating energy self-sufficiency programs to reduce reliance on global energy supplies.

Luhut’s Perspective on Iran

During a plenary cabinet session on Friday, March 13, 2026, Luhut Binsar Pandjaitan described Iran as an “Aryan nation” that would not be easily conquered. He suggested that while the number of missiles launched by Iran had decreased, the nation had developed inexpensive drones capable of being deployed from various locations. Luhut characterized the conflict as a “war of technology” and highlighted the increasing role of artificial intelligence.

The “Dalang” Behind the Conflict

Luhut also suggested that a more powerful, unnamed “nation” was behind the conflict.

Key Takeaways

• The Indonesian government is closely monitoring the US-Israel-Iran conflict and its potential economic impact.
• Indonesia’s national oil and gas supplies are currently sufficient.
• Efforts are underway to enhance national economic resilience and energy self-sufficiency.
• Luhut Binsar Pandjaitan views Iran as a resilient nation with advanced drone technology.