Sovereignty in Test: Transformation of Indonesia's Economic Policy 2024-2026 within the Framework of Article 33 of the 1945 Constitution

Abstract

Indonesia’s economic policy transformation during 2024–2026 has renewed debate over whether greater state control promotes economic sovereignty and equitable prosperity. This study aimed to assess the alignment of national economic policies with Article 33 of the 1945 Constitution, interpret emerging economic developments through international comparisons, and identify institutional conditions that support inclusive development. A qualitative descriptive-analytical approach combined doctrinal constitutional analysis, policy document review, and purposively selected comparative cases from Norway, Malaysia, Chile, Mexico, Alaska, India, and Brazil. Secondary data included legislation, Constitutional Court decisions, official statistics, institutional reports, and academic publications. The data were organized into a policy matrix, evaluated against constitutional principles, and examined through source triangulation. The findings indicated that downstream industrialization, state-owned enterprise consolidation through Danantara, village cooperatives, food security initiatives, nutrition programs, social transfers, and regional partnerships had the potential to advance constitutional economic objectives. However, alignment at the policy design level did not necessarily demonstrate effective implementation or equitable outcomes. Comparative evidence highlighted transparency, independent oversight, professional management, and equitable benefit distribution as essential institutional conditions. Regional disparities further underscored the importance of ensuring that economic benefits reached eastern Indonesia. The study concluded that achieving economic sovereignty required accountable policy implementation, continuous evaluation, and inclusive governance to translate expanded state economic authority into equitable public prosperity.