Fortifying the role of finance after Indonesia’s floods

INDONESIA continues to be on the frontline of extreme weather.

In late February, days of intense rainfall caused flash floods and landslides across Bali. Severe rainstorms also affected Java and other regions. The destruction followed close on the heels of devastating monsoon rains in Aceh and Sumatra in late 2025, which claimed the lives of more than 1,000 people and left 26,000 displaced.

While relief efforts are still under way, the need for a resilient recovery and reforms in disaster management is moving up the national agenda. The country’s financial sector will be key to delivering this objective.