Indonesia Raises Fuel Prices by About 30%

The video discusses the new Indonesian president's decision to raise fuel prices, marking his first major policy move. This decision aims to overhaul the economy by reducing fuel subsidies, which currently account for a significant portion of government spending. The increased fuel prices are expected to save the government billions and improve infrastructure, education, and health sectors. However, the move has sparked public protests and criticism, highlighting the political sensitivity of fuel subsidies. Historically, attempts to remove these subsidies have led to unrest, but the president aims to phase them out within three years.

What was the primary reason for the new president of Indonesia to raise fuel prices?

• To reduce oil imports

• To support local oil companies

• To overhaul the economy

• To increase government revenue

How does the government plan to use the funds saved from reduced fuel subsidies?

• To increase military spending

• To invest in technology startups

• To improve infrastructure and education

• To provide tax cuts for businesses

Who primarily benefited from the fuel subsidies in Indonesia before the recent changes?

• Wealthy Indonesians

• Middle-class citizens

• Foreign investors

• Low-income families

What is one of the challenges mentioned regarding the removal of fuel subsidies in Indonesia?

• Lack of government support

• Environmental concerns

• International pressure

• Public protests and riots

What historical event is mentioned as a cautionary tale for removing fuel subsidies?

• The 2010 oil spill

• The 1998 riots after fuel price hikes

• The 2008 global recession

• The 1998 financial crisis